T: Measuring How Advertising Generates Sales (Marketing Analytics)ABCD1 Lemony Lift Sales Data2Model 1 Model 2Model 33 Total Market Size in Units 5,000,000 5,000,0005,000,0004 Target Market%Firm's Target Market5Share35%35%35%2%3%5%6 Firm's Sales Per Year7 Firm's Gross Margin$350,000 $525,000$875,00020%20%20%8 Firm's Gross Margin in $$70,000 $105,000$175,0009Marketing Expeniture per$50,000 $100,000$150,000year10 RO1%40%5%17%Which option results in the highest return on advertising investment?Multiple ChoiceModel 1оооооModel 2Model 3ROI on advertising cannot be determined from this data.Each model yields the same ROI on advertising.

Model 1 Analysis:In Model 1, the firm incurs a marketing expenditure of $50,000 to promote its…

Answered: T: Measuring How Advertising Generates…

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter12: Differential Analysis And Product Pricing

Section: Chapter Questions

Problem 12.4E

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Question 3 You have been presented with the following information : Customer Perspective Actual Performance $6.5 mil Targets a. Total Sales $ 10 mil b. No. of Stock Returns 10 20 Internal Business Perspective a. Maintenance Costs b. No of Workers (production) Targets $200k Actual Performance $50k 30 15 Financial Perspective Actual Performance Targets $4mil a. Net Profit $1mil b. Asset Turnover ratio 15 times 20 times Innovation & Growth Perspective Targets $100k Actual Performance $20k a. Training Costs b. No of Staff (Marketing) 20 12 Other information obtained are customers are frequently complaining and cancelling orders and machines breakdowns. Required : i) Comment on the performance. ii) Propose suggestion to improve.
Sales Net operating income Average operating assets $17,950,000 $4 1,005,200 $ 4,890,000 The division's return on investment (ROI) is closest to: Multiple Cholce 5.60% 20.56% 16.71% 260% 65 F Cloudy 自 0中 search DELL
Problem 3 bod di due ull PRINCESS Processing Company has two products. The actual sales data for the past two years are as follows: oghud nommon zabivorq sogbed T nomexingmo 2019 2020 1 25,000 P40.00 27,000 42.00 2130,000 33,000 singhaud A bew serval pinnal PRINCESS expects that the percentage of increase in sales volume in 2020 against the 2019 performance will remain in 2021. However, the business predicts that the selling price in 2020 will be the same the following year. und si sillo soment o svolge ar to noraqiteq adTe here haver Product ABasis Product CD Units Unit price Units Unit Price nosoboqarltose cortad Required: Prepare the sales budget in 2021. 115 no P60.00 63.00 1990 tdi 15ybod A luore no bound bound Joghud bola
QUESTION 6 Use the information below to answer. If total sales are $18,800 what is the MD%? Style # QTY Orig Retail Sale Price 1000 120 $50.00 $29.99 1200 150 $38.00 $29.99 1300 144 $44.00 $29.99 1400 96 $54.00 $29.99
Marketing: Determine the marketing return on sales (marketing ROS) and return on marketing investment (marketing ROI) for Company A and Company B in the chart below. Which company is performing better? Company A Company BNet sales 1,240,000 980,000Cost of goods sold 568,000 430,000Sales expenses 400,000 70,000 Fill in the table below. (Round the NMC to the nearest dollar and all other values to the nearest whole number.) Company A Company B NMC $ $
Enter formulas in the yellow cells to create a model. Industry Unit Model 2018 2019 2020 2021 CAGR Estimated Total Market Size in Units 640 736 15% Growth Rate 15% 15% 15% Estimated Percent Direct Channel 33% 40% 48% 58% 20% Direct Channel: Market Size in Units 0% Retail Channel: Market Size in Units 0% Company Sole Competitor Company Unit Models 2018 2019 2020 2021 CAGR 2018 2019 2020 2021 CAGR Direct Channel: Market Share 50% 45% 40% 35% -11% 0% Retail Channel: Market Share 70% 75% 80% 85% 7% 0% Direct Channel: Units Sold 0% 0% Retail Channel: Units Sold 0% 0% Total Units Sold 0% 0% 0% 0% Revenues Model 2018 2019 2020 2021 CAGR 2018 2019 2020 2021 CAGR Direct Channel: Price 200 200 200 200 0% 190 180 170 160 -6% Retail Channel: Price 125 125 125 125 0% 125 125 125 125 0% Direct Channel: Revenues 0% 0% Retail Channel: Revenues 0% 0% Total Revenues 0% 0% Gross Profit Model 2018 2019 2020 2021 CAGR 2018 2019 2020 2021 CAGR Unit Cost 100 100 100 100 0% 0% Direct Channel: Cost of Revenues…
Use the following information to answer the questions. Company X $ 12,480,000 $ 3,120,000 $ Company Y $ 28,480,000 $ 7,120,000 512,640 8.50% Company Z $ 20,480,000 $ 5,120,000 532,480 10.40% Sales Average operating assets Net operating income Minimum required rate of return 561,600 8.00% Required: 1. Compute the return on investment (ROI) for each company using the formula stated in terms of margin and turnover. 2. Compute the residual income (loss) for each company. 3. Each company is presented with an investment opportunity that would yield a 9% rate of return. a. Assume performance is measured based on ROI. Indicate whether each company will likely accept or reject the investment opportunity. b. Assume performance is measured based on residual income. Indicate whether each company will likely accept or reject the investment opportunity. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Reg ЗA Req 3B Compute the return on investment (ROI) for each company…
I'm trying to see what am I doing wrong on this spreadshit: Year 1 Year 2 Year 3 Year 4 $ % $ % $ % $ % Net sales $500,000.00 100.00% 540,000.00 100.00% 577,800.00 100.00% 612,468.00 100.00% Cost of goods 265,000.00 Gross margin 235,000.00 Operating expenses 210,000.00 Operating profit 25,000.00
Problem 20 Use CVP and compute the sales revenue necessary to achieve an IBIT of $162,000 for a multi-product restaurant from the information below. Food Beverage Total Sales $240,000 000'091 192,000 VC %00 CM 0000 112,000 208,000 52% FC 000ʻ96 IBIT 000's
Use the following information to answer the questions. Company X $ 12,480,000 $ 3,120,000 561,600 8.00% Company Y $ 28,480,000 $ 7,120,000 2$ Company Z $ 20,480,000 $ 5,120,000 532,480 Sales Average operating assets Net operating income Minimum required rate of return $ 512,640 8.50% 10.40% Required: 1. Compute the return on investment (ROI) for each company using the formula stated in terms of margin and turnover. 2. Compute the residual income (loss) for each company. 3. Each company is presented with an investment opportunity that would yield a 9% rate of return. a. Assume performance is measured based on ROI. Indicate whether each company will likely accept or reject the investment opportunity. b. Assume performance is measured based on residual income. Indicate whether each company will likely accept or reject the investment opportunity. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req ЗA Req 3B Each company is presented with an investment…
90 Marston Corporation Statement of Income for the Year Ending December 31, 2022 Using Sales Agents Using Own Sales Force $26,000,000 Sales Cost of goods sold Variable Fixed Gross margin Marketing costs Commissions Fixed costs Operating income $11,700,000 2,870,000 4,680,000 3,420,000 $26,000,000 14,570,000 11,430,000 8,100,000 $ 3,330,000 $11,700,000 2,870,000 2,600,000 5,500,000 14,570,000 11,430,000 8,100,000 $ 3,330,000 Marston is considering hiring its own sales staff to replace the network of agents. Marston will pay its salespeople a commission of 10% and incur additional fixed costs of $2,080,000. 4 Required 1. Calculate Marston Corporation's 2022 contribution margin percentage, breakeven revenues, and degree of operating leverage under each of the two scenarios. (You will first have to recast the 2022 statement of income assuming Marston had hired its own sales staff.) 2. Describe the advantages and disadvantages of each type of sales alternative. 3. In 2023, Marston uses its…
-/1 Question 4 View Policies Current Attempt in Progress ort Sunland Companyrecorded operating data for its Cheap division for the year. Sunland requires its return to be 10%. $1200000 Sales Controllable margin 180000 Total average assets 3600000 Fixed costs 100000 What is the RÓI for the year? O 33% 19% 5% O 8%

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