Jennifer Baskiter is president and CEO of Plants&More.com, an Internet company that sells plants and flowers. The success of her startup Internet company has motivated her to expand and create two divisions. One division focuses on sales to the general public and the other focuses on business-to-business sales to hotels, restaurants, and other firms that want plants and flowers for their businesses. She is considering using return on investment as a means of evaluating her divisions and their managers. She has hired you as a compensation consultant. What issues or concerns would you raise regarding the use of ROI for evaluating the divisions and their managers? (You may select
Q: The CEO and his top managers have asked themselves two important questions: a. do customers value…
A: Strategy - Strategy is the plans or actions that are made by the High-level management which is also…
Q: Jacobs Inc. is a relatively new company that has established a position in the highly competitive…
A: Profits of a company will be depends on the following factors: 1. Product produced by the company.…
Q: WebSmart is a relatively new Internet company that sells educational products on the web. The firm…
A: Price to Sales multiple can be used for valuation of a startup company with growing sales revenues,…
Q: Taylor Construction builds custom homes in Dallas, Texas. Brandon Taylor knows that his future…
A: Balanced scorecard: It is a tool to measure the performance that relates a company’s strategy to…
Q: Mr. Kevin Dates is the owner of an expanding business operating in bakery industry located in…
A: NPV is a techniques in Capital Budgeting which help in decision making on the basis of future Cash…
Q: Strategic decisions and management accounting. Consider the following series of independent…
A: Cost leadership implies producing products at the lowest cost without compromising on the quality of…
Q: Yatta Net International has manufacturing, distribution, retail, and consulting divisions. Projects…
A: The likelihood that actual results will differ from expected results is referred to as risk. To…
Q: Quick Stop operates 1,000 convenience stores throughout the United States. The company’s slogan is…
A: Management Control System: The management control system is a system made to collect information…
Q: Platino Bhd is a Malaysian-based company that focuses on engineering services, property development,…
A: Equity investments are the investments which includes investing the money in purchasing the shares…
Q: Speed Racer in Victoria makes bicycles for people of all ages. The frames division makes and paints…
A: As Per Given Data The Speed Racer In victoria has 2 Divisions 1. Frame Division…
Q: The top managers at Latoya's Lanterns are evaluating two new projects: Project A involves a…
A: The process of business decision making is rather a complex one, often requiring, apart from…
Q: Agro Equipment Ltd. is a successful company engaged in manufacturing and marketing agricultural…
A: The various instruments that the company could issue in order to raise capital from the financial…
Q: Cecily Good is the director of the Young Minds Childcare Centre and recently hired you as the…
A: Contribution Margin=Revenues-Variable Cost
Q: If the company is successful in achieving challenging targets for these performance measures, will…
A: Strategic Performance Measurement System: Strategic performance measurement system is an approach…
Q: The Lin Company is decentralized, and divisions are considered investment centers. Lin has one…
A: The amount of sales minus the variable costs that were incurred for a production is treated as…
Q: Sembotix Company has several divisions including a Semiconductor Division that sells semiconductors…
A: Main objective of each and every department in the company is to minimize the cost (maximize profit)…
Q: Bluestone Metals, Inc., is a metal fabrication firm that manufactures prefabricated metal parts for…
A: Lean Manufacturing Model -is a method of production which focuses mainly on cost reduction,…
Q: You are the Cookie division controller for Auntie M’s Baked Goods Company. Auntie M recently…
A: 1. Brandon's strategy isn't one that he should pursue. Customers may notice the deteriorating…
Q: Mr. Kevin Dates is the owner of an expanding business operating in bakery industry located in…
A: Internal Rate of Return ( IRR) is a Capital budgeting techniques under which we can calculate the…
Q: Incorporating Stakeholder Impacts into Business SustainabilityAnalyses and DecisionsJack’s Apps…
A: A good growing company is one that is constantly bringing invitations and carrying out necessary…
Q: You are the Division A controller for Company A Baked Goods Company. Company A recently introduced a…
A: Definition: Process costs: It is a method of cost accounting, which is used where the production is…
Q: Ducan pizzas is a chain of pizza stores pizza are made fresh in syore and then deliverd to customers…
A: Strategic Performance Measurement System: Strategic performance measurement system is an approach…
Q: Is Dave behaving unethically by trying to force the Semiconductor Division into a price break?…
A: To understand the mechanics of cost and profit, we first need to understand two different types of…
Q: Assume that you are the division controller for Auntie M’s Cookie Company. Auntie M has introduced a…
A: Solution- Based on the information provided in the case study, it can be seen that the main…
Q: Hurney Corporation manufactures plastic water bottles. It plans to grow by producing high-quality…
A: A ) Hurney’s strategy is cost leadership strategy. The strategy of the company which adopt this…
Q: Is this an ethical strategy for Brandon to pursue? What are the potential implications of this…
A: Process costs: It is a method of cost accounting, which is used where the production is…
Q: ABC bank offers a Business Grant to encourage a fresh graduate to become an entrepreneur. However,…
A: The complete explanation are as follows.
Q: Cempaka Enterprise manufactures pretty cardboard boxes. The company competes and plans to grow in…
A: Management accounting is the act of distinguishing, estimating, investigating, deciphering, and…
Q: Orange Products Inc. is a producer of juice drinks in Florida, USA. Until now, the company has…
A: Given No. of units of Japanese Yen per US Dollar=109.89
Q: Agro Equipment Ltd. is a successful company engaged in manufacturing and marketing agricultural…
A: Raising funds for the company for expansion of business is one of the crucial decision for the…
Q: Downtown! is a rapidly growing web-based retailer with about 100 management and technical support…
A: Answer: Person X views that, they will design the latest to create their own reports. This would…
Q: Mirabel Manufacturing is a small but growing company that manufactures and sells marine sonar…
A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…
Q: You are the Cookie division controller for Auntie M's Baked Goods Company. Auntie M recently…
A: Process costs: It is a method of cost accounting, which is used where the production is continuous,…
Q: MetroBank is a fast-growing bank that serves the region around Jacksonville, Flordia. The bank…
A: The controller in accounting refers to a person who is responsible for all the accounting activities…
Q: The chief executive officer (CEO) of Cobalt Inc. just read an article written by a business…
A: Lean manufacturing focuses on reducing the cost and minimizing waste involved in the manufacturing,…
Q: Blue is the controller at the Acme Shoe Company, a large manufacturing company located in Franklin,…
A: Performance appraisal is process in which performance of managers and employees are assessed; and on…
Q: Suggest one performance measure for each dimension of the balanced scorecard for Coral Creations.…
A: Balanced scorecard relates to a strategic tool that checks and guides the business activities to…
Q: Agro Equipment Ltd. is a successful company engaged in manufacturing and marketing agricultural…
A: Financial markets are platforms where participants such as banks, financial institutions, capital…
Q: Mr. Kevin Dates is the owner of an expanding business operating in bakery industry located in…
A: Mutually exclusive investments means that the investments cannot co-exist. If one investment is…
Q: One of the best known examples of how an organization can use its supply chain to achieve a…
A:
Q: Is this an ethical strategy for William to pursue? What are the potential implications of this…
A:
Q: Sew Perfect specialises in clothing alterations and repairs. With a slogan of 'You ask, we sew',…
A: Initial Expenditure is the amount that is spent by the organization in its first stage while…
Q: the manager of a studio cafe, and you are planning to invest on a new camera and a coffee maker…
A: To find incremental revenue and cost, we subtract Current revenue and cost from Projected revenue…
Q: You are the Cookie division controller for Auntie M’s Baked Goods Company. Auntie M recently…
A: Ethics implies the arrangement of rules that the association ought to follow. While in business,…
Q: Jacobs Inc. is a relatively new company that has established a position in the highly competitive…
A: The correct answer is Option (b).
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Margos Memories, a company that specializes in photography and creating family and group photo portfolios, has 50 stores in major malls around the U.S. The company is considering an online business, which will require a substantial Investment in web design, security, payment processing, and technology in order to launch successfully. What potential advantages or disadvantages will be difficult to quantify from a capital investment standpoint?The top managers at Latoya's Lanterns are evaluating two new projects: Project A involves a nationwide expansion and marketing campaign and Project B involves investing in the research and design team and licensing the best new lanterns to other large companies. The head of sales advocates for Project A; she says, "The revenue on this proposal is huge! It'll bring in way more money for the company!" The head of R&D advocates for Project B; she says "Yes, A has a high revenue, but up front costs are too high and there's a lot more uncertainty about how many sales we'll make, especially further into the future. Project B is smaller, but it has a higher expected NPV." Answer the following questions. From a finance perspective, which manager has the better argument, Sales or R&D? Why? Which project would you probably support? What financial information would you want to see before picking a project to support? What non-finance information might influence your decision in favor of…Best Buy Ltd is planning to launch a wide range of personal computers to serve the market for many types of users. The main objective to launch the product is to maximize the company's profit. So, the top management assigned the strategic marketing team to find out the followings: 1) List the various segmentation variables the company can use to segment their market. 2) Briefly explain why you have selected each one (Target market). 3) Which segments could the company aim for (Positioning the customer)?
- Taylor Construction builds custom homes in Dallas, Texas. Brandon Taylor knows that his future depends on the quality of the homes he builds and the service he provides to customers. Most new-customer sales arise from word-of-mouth advertising by former customers.Identify the balanced scorecard perspective for each measure in the exercise. Perspective a. Number of customer complaints Internal business processesCustomerLearning & growthFinancial b. Employee turnover Learning & growthFinancialInternal business processesCustomer c. Net profit per house constructed Learning & growthFinancialInternal business processesCustomer d. Turnaround time on customer design changes Learning & growthInternal business processesCustomerFinancial e. Hours of training per employee Learning & growthFinancialInternal business processesCustomer f. Average labor cost per house CustomerLearning &…UrLink Company is a newly formed company specializing in high-speed Internet service for home and business. The owner, Lenny Kirkland, had divided the company into two segments: Home Internet Service and Business Internet Service. Each segment is run by its own supervisor, while basic selling and administrative services are shared by both segments.Lenny has asked you to help him create a performance reporting system that will allow him to measure each segment’s performance in terms of its profitability. To that end, the following information has been collected on the Home Internet Service segment for the first quarter of 2017. Budgeted Actual Service revenue $24,800 $25,000 Allocated portion of: Building depreciation 10,300 10,300 Advertising 4,700 4,200 Billing 3,200 3,200 Property taxes 1,100 1,200 Material and supplies 1,400 1,300 Supervisory salaries 9,400 9,400 Insurance 4,300 3,200 Wages…Roald is the sales manager for a small regional manufacturing firm you own. You have asked him to put together a plan for expanding into nearby markets. You know that Roalds previous job had him working closely with many of your competitors in this new market, and you believe he will be able to facilitate the company expansion. He is to prepare a presentation to you and your partners outlining his strategy for taking the company into this expanded market. The day before the presentation, Roald comes to you and explains that he will not be making a presentation on market expansion but instead wants to discuss several ways he believes the company can reduce both fixed and variable costs. Why would Roald want to focus on reducing costs rather than on expanding into a new market?
- Tilapia Ltd and Koobi Ltd are companies in the fish industry. Each of th4e companies devised several strategies to outperform the other. Tilapia Ltd decided to do more adverts in the various social media platform, on television and print media in order to boost its sales. It also employed more sales agents to distribute its products. Koobi Ltd in a bid to increase its market share decided to go in for a loan to expand its operation. It also reduced its selling Price and extended its credit period to attract more customers. Sales of GH₵ 800,000 and GH₵ 700,000 were recorded by Tilapia Ltd and Koobi Ltd respectively for the year 2018. The following financial reports were prepared for the year ended 31st December 2019. Statement of Profit or Loss for the year ended 31st December, 2019 Tilapia Ltd…WebSmart is a relatively new Internet company that sells educational products on the web. The firm focuseson students preparing for college entrance exams. The key competitive advantage at WebSmart is its highlyregarded publication, Guide to Competitive Colleges, which is sold widely in bookstores and on Amazon.com. The firm has grown rapidly and now is seeking additional venture capital investment to allow it toimprove its operations and provide additional advertising and promotion. One of the venture capital firmsthat WebSmart approached has asked WebSmart to provide an estimate of the firm’s value. Relevant financial information about WebSmart from the most recent financial statement follows. WebSmart owns nosignificant fixed assets but operates out of leased space. WebSmart management knows that the medianstock price-to-sales multiple in the industry is approximately 7.Total assets per most recent financial statements $1,450,000Total book value of equity, per most recent financial…Hardy Limited has undertaken research into launching a new product which will take it into a new market area. Hardy feels it has expanded its existing operation to its maximum potential, and it is the market leader in its existing field. The proposed new product would offer new opportunities and, although there is strong competition in its field already, the management feel it can use its existing brand name to break into this product line. The new product is in car cleaning accessories, but will offer items in a single package not currently available. The management believe that,although the proposed product may be relatively short lived, the penetration of new markets is worthwhile as long as the product does not make a loss. Details of the project are as follows: • Market research costs incurred to date amount to £250,000 • Investment in plant at the start: £2,900,000. At the end of the product's life the plant will have a disposal value of £80,000 . The project is estimated to have…
- i-Qua group is a drinking water factory in US. As the business progresses, demand is increasing in Texas, Chicago and New York. And the company owner plans to build a factory so that customer needs in the area can be met without having to send from the main factory. Some of the considerations for decision making can be seen based on the data below: a. How much is the annual sales volume (box) for each area to be able to compete on a competitive advantage strategy with competitors? b. What do you suggest to the company based on the cost data above for the location of its factory construction? Explain why and use the calculation data so that decision making can be in accordance with the company strategy that you have learned.You and a few of your classmates decided to become entrepreneurs. You came up with a great idea for a new mobile phone application that you think will make lots of money. Your business plan won second place in a local competition, and you are using the $10,000 prize to support yourselves as you start your company. Required: Identify the key decisions you need to make to be successful entrepreneurs Your company will need to exchange information with various external parties. Identify the external parties, and specify the information received from and sent to each of them.A group of friends have formed a new business called Fashion Clothing, an online and mail order clothing business, in which they have invested £200,000 of their own capital. They intend to manufacture and sell quality clothes. They have set the business up and are selling direct to the final consumer, using a combination of aggressive marketing across a range of different media and also with the use of an automated web site that accepts online orders. To support this, they also have a department of telephone sales and support staff ready to help customers. The sales staff work in teams and receive a basic salary plus commission for each successful sale. By the start of July 20X5, they have spent £150,000 on tangible non-current assets, and they currently have the remaining £50,000 in their business bank account. They provide you with the following forecasted figures for their first 6 months of trading: Required: (a) Prepare an opening statement of financial position at the start…