Answer:
field sales representative
Explanation:
Based upon this description, Dominic could best be described as a field sales representative. This is a type of salesperson, usually those working for wholesale organizations, and who's main task is going outside of the company and visiting potential customers in order to sell them the company's products or services. Other than this the job mostly entails forming great professional relationships with the customers. One way of doing so is by attending events and making sure the products that you have sold are working correctly and that the customer is content with it, as described in the scenario in the question.
Calculating inflation using a simple price index
Which of the following, if true, would illustrate why price indexes such as the CSPI might overstate inflation in the cost of going to college? Check all that apply.
A. A new mobile device for personal computing became available for purchase.
B. Professors required each student to buy 10 notebooks, regardless of the price.
C. Energy drinks became increasingly popular on college campuses between 2010 and 2012 due to significant improvements in flavor.
D. As the price of calculators rose, fewer students decided to buy them, opting instead to use the free calculators in their cell phones or on their computers.
Answer:
A. A new mobile device for personal computing became available for purchase.
C. Energy drinks became increasingly popular on college campuses between 2010 and 2012 due to significant improvements in flavor.
D. As the price of calculators rose, fewer students decided to buy them, opting instead to use the free calculators in their cell phones or on their computers.
Explanation:
A general increase in the price of commodities is known as inflation. the change in inflation is calculated using price index.
The statement that ilustrate why price indexes such as the CSPI might overstate inflation in the cost of going to collage are:
a new mobile device for personal computing became available for purchase.
as the price of calculators rose, fewer students decided to buy them, opting instead to use the free calculator in their cell phones or in their computers.
energy drinks became increasingly popular on collage between 2010 and 2012 due to significant improvements in flavour.
In the scenarios provided, D is the example that demonstrates how the Consumer Price Index for Students (CSPI) might overstate inflation in the cost of going to college. The index would not immediately account for students' behavioral changes, allowing it to appear inflated.
Explanation:The question is asking for possible reasons that price indexes such as the Consumer Price Index for Students (CSPI) might overstate inflation in the cost of going to college. To answer this, we can analyze the conditions given:
A. A new mobile device for personal computing became available for purchase. This situation wouldn't generally affect the measurement of the CSPI as it may not necessarily impact student expenditures directly tied to their education. B. Professors required each student to buy 10 notebooks, regardless of the price. This also won't have a big impact on the inflation calculation, because the goods in question haven’t changed. Even if students are buying more notebooks, the price of each notebook hasn’t necessarily changed. C. Energy drinks became increasingly popular on college campuses between 2010 and 2012 due to significant improvements in flavor. As with scenario A, this doesn't specifically highlight a reason why CSPI might overstate inflation in the cost of going to college. The cost of energy drinks is less directly connected with college expenditures toward education. D. As the price of calculators rose, fewer students decided to buy them, opting instead to use the free calculators in their cell phones or on their computers. This is an excellent example of how the CPI might overstate inflation. The rising cost of a specific good (the calculators), could be offset by behavioral changes (students choosing to use free alternatives). The index might not account for these behavioral changes, and therefore, might present an overstated inflation.Learn more about Inflation Measurement here:
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In January of 20X1, the Falwell Company began construction of its own manufacturing facility. During 20X1, $6,000,000 in costs were incurred evenly throughout the year. Falwell took out a $2,500,000, 10% construction loan at the beginning of the year. The company had no other interest-bearing debt. What amount of interest should Falwell capitalize in 20X1?
Answer:
$250,000
Explanation:
The computation of the interest capitalized is shown below:
= Amount of construction loan × given percentage
= $2,500,000 × 10%
= $250,000
We simply multiplied the construction loan amount with the given percentage so that the accurate amount can come.
All other information which is given is not relevant. Hence, ignored it
Secondary markets help support primary markets because secondary markets
I. offer primary market purchasers liquidity for their holdings.
II. update the price or value of the primary market claims.
III. reduce the cost of trading the primary market claims
Answer:
All three options are correct.
Explanation:
Capital market is the financial market that trades in long term funds. It is divided into two divisions,
Primary market Secondary marketThe primary market holds initial public offerings. In other words, the stocks are initially sold in the primary market by the issuers directly. The secondary market deals with securities that have already been circulated in the primary market.
The secondary market provides liquidity to the investors both buyers and sellers. Stocks and shares bought from the primary market can be easily sold in the secondary market.
Prices in the secondary market are determined through the demand and supply of shares. In this way, the secondary market also updates the price of the stocks issued in the primary market.
There is a large number of buyers and sellers in the secondary market. These stocks are traded in the secondary market at a very low cost.
When nations impose currency controls on their economics some firms benefit and some are hurts?
Answer:
True
Explanation:
I can explain this question using a current example of currency manipulation by a foreign government. In Argentina different governments set the exchange rate between the Argentine peso and the US dollar. Sometimes the peso is devaluated by the government which makes Argentinean products and services cheaper to export but makes all imports more expensive. These actions favor economic growth but also increase the inflation rate.
On other occasions the government will appreciate the Argentinean peso against the dollar which makes imports cheaper and exports more expensive. Supposedly this is done to control high inflation rates.
If you wonder why the Argentinean government does that, probably no one really knows. Its been happening since the 1990s and different political parties have governed the nation but this practice of artificially setting the currency value never stopped.
according to Tuckman's five-stage model of group and team development, what is the second stage in the process?
Answer: The second stage is the "Storming Stage"
Explanation:
Bruce Tuckman's five-stage model of group and team development, propounded in 1965, consists of the forming, storming, norming, performing and adjourning stages.
The second stage, storming, is the most difficult and crucial stage in team development process, especially for a team that has never been together. At this stage, there's usually conflict of interests and members of the team may form "cliques" based on common grounds of agreement.
Performance of the team may decrease because members could begin to disagree on team goals and individual personalities emerge.
A solution would be for the team members to accept one another's individuality and focus on the task at hand.
Final answer:
According to Tuckman's five-stage model, the second stage in the group and team development process is the 'storming' stage.
Explanation:
Tuckman's five-stage model of group and team development outlines the stages that groups go through to become effective team. The second stage in this process is called the 'storming' stage. In this stage, team members may experience conflict, tension, and disagreements as they establish their roles and norms within the group.
It can be a challenging stage, but the group must work through these issues to move forward and become more cohesive.
Suppose a price-taking firm produces 400 units at its optimal output level. At that output rate, marginal cost is $200, average total cost is $240, and average variable cost is $170. The firm will be forced to go out of business in the short run if:Select one:a. the market price is between $200 per unit and $240 per unit.b. the market price is between $170 per unit and $240 per unit.c. the market price falls below $170 per unit.d. the market price equals $240 per unit.e. the market price equals $200 per unit.
Answer:
C) the market price falls below $170 per unit.
Explanation:
If this firm is a price taker, it means that it is operating in a perfect competition market. In such markets, since the entry and exit barriers are very low or nonexistent, if the equilibrium price falls below the variable cost, the firms should halt production in the short run until the equilibrium price rises again. The firm should resume production only after the equilibrium price exceeds the variable costs.
This situation is only applicable on the short run. On the long run the firm should only produce if the equilibrium price is greater or equal to its marginal cost.
In a one-tailed test, the rejection region is located under one tail (left or right) of the corresponding probability distribution, while in a two-tailed test this region is located under both tails.a.True or False.b.True.c.False.
Answer:
Both parts A and B of the statement are True
Explanation:
In a one-tailed test we are testing a hypothesis that includes a directional relationship, where that relationship is greater than or less than critical value located at the top/bottom 5% of the distribution. If the test statistic falls into this region, we reject the null hypothesis.
When we are doing a two-tailed tests, the hypothesis does not include a directional relationship. We are looking for a mean value that is significantly greater (2.5%) and significantly less (2.5%) than the null hypothesis.
Name a category which is not ideal for capital budgeting decisions?
Answer:
Simple profits margin
Explanation:
When you are budgeting the capital is important to keep in mind the whole profits, for example, net, EBIT, EBITDA in order to have a complete and deep analysis of the cost and expenses structure of the company, vital at the moment of making decisions especially in budgeting.
A commercial building worth $400,000 is insured under a Commercial Property policy for $240,000, and an 80% coinsurance clause applies. A $20,000 loss to the building has occurred. How much will the insured receive when a claim is filed?
Answer: $15,000
Explanation: The 80% coinsurance clause on the property means that the insurance policy holder is agreeing to contribute up to 80% of the property's worth. Hence in the event of a loss to the building worth $20,000; the insures policyholder would receive :
(Actual contribution/expected contribution) x value of loss to the property
Where : Expected contribution = 80% of property's worth
ie (80/100) x $400,000 = $320,000
then the insured is to receive: ($240,000/$320,000) x $20,000 = $15,000
The insured will receive the full amount of the $20,000 loss, because the loss does not exceed the minimum coverage required by the 80% coinsurance clause.
To calculate how much the insured will receive for a $20,000 loss on a commercial building worth $400,000, insured for $240,000 with an 80% coinsurance clause, we must first figure out the minimum insurance required to meet the coinsurance clause, which is 80% of the building's value (0.80 x $400,000 = $320,000). Then we calculate the proportion of the insurance carried to the insurance required ($240,000 / $320,000 = 0.75). This proportion is then applied to the loss, so the insured will receive 75% of the $20,000 loss, which amounts to $15,000. However, since the loss is less than the minimum required coverage, the insured will get the full amount of the loss, which is $20,000.
Eatalia is a popular chain of restaurants for authentic Italian food. Recently, a customer found a dead insect in the pasta he was served. The customer's negative review about the restaurant went viral. Eatalia's Chief Executive Officer (CEO) publicly apologized for the mishap and posted pictures of the restaurant's kitchen, after being fumigated, on several social networking websites. In this scenario, which of the following does Eatalia's CEO demonstrate?
a. Brand switching
b. Crisis management
c. Audience selectivity
d. Media scheduling
Answer:
The correct answer is B
Explanation:
Crisis management is the procedure through which the organization or firm faces the unexpected and disruptive event that harm the firm or its stakeholders.
In this scenario, Eatalia, who has a restaurant but a customer found a dead insect in the food due to which the business faces negative reviews, fumigated on the social networking. It illustrates the crisis management.
The most successful advertisements directed at business customers tend to focus on (Select one):
a. the physical product
b. product attributes
c. product benefits
d. the price of the advertised product
Answer: (C) Product benefits
Explanation:
The product benefits is one main focus of the advisement in the business that is mainly directed to the customers. The product benefits is basically refers to the value which the customer are get realized from the specific products and the services.
By knowing the actual benefits of the products the customers get attracted towards the products and think of buying the product.
So, it helps in increase the productivity of the specific product in the market.
Therefore, Option (C) is correct.
Monopolistically competitive firms experience economic profits in the long run that are:
eliminated due to firms leaving the industry.
eliminated due to firms entering the industry.
not eliminated because the competition is imperfect.
not eliminated because the demand curve is downward sloping.
not eliminated due to high barriers to entry to the industry.
Answer:
eliminated due to firms entering the industry
Explanation:
In the long run , monpolistically competitive firms earn zero economic profit due to entry of firms into the industry.
A monpolistically competitive firm has low barriers to entry and exit of firms. In the short run when monpolistically competitive firms earn economic profit, firms enter into the industry in the long run and economic profit would be wiped out.
Other features of monpolistically competitive firms are:
1. They sell differentiated products
2. They set the prices for their goods and services
3. They have a downward sloping demand curve.
The investing strategy where an investor buys a fixed dollar amount of stocks or mutual funds regularly over a period of time is called:_______.
Answer:
Dollar cost averaging
Explanation:
Dollar cost averaging refers to an investing strategy where an investor will invest a fixed amount of money in periodic stock purchases. The idea behind this type of strategy is to try to reduce volatility and therefore risk.
The main issue with this investing strategy is that is doesn't consider that stock prices fluctuate all the time but generally show an upward tendency in the long run.
_______________________ involves all the following promotional tools: catalogs and brochures, mailings, telemarketing, electronic shopping, infomercials and home shopping networks, and e-mails and faxes.
A) Advertising
B) Personal selling
C) Direct Marketing
D) Sales promotions
E) Public Relations
Answer:
C
Explanation:
The highest level of preparation of promotions and sales is the Direct marketing, that in addition to this includes campaigns, forecasts, budgets among others but the core of the department is really in these tools.
Answer:i think the answer is A
Explanation:AS ADVERTISING IS DONE BY USING THE ABOBE METHODS
Given below is an excerpt from a management performance report:
Budget Actual Difference
Contribution margin $1,000,000 $1,050,000 $50,000
Controllable fixed costs $ 500,000 $ 450,000 $50,000
The manager's overall performance
a. is 20% below expectations.
b. is 20% above expectations.
c. is equal to expectations.
d. cannot be determined from information given.
Answer:
The answer is b. manager's overall performance is 20% above expectations.
Explanation:
The budget overall performance is: Budgeted Contribution margin - Budgeted Controllable fixed costs = 1,000,000 - 500,000 = $500,000;
The Actual overall performance is: Actual Contribution margin - Actual Controllable fixed costs = 1,050,000 - 450,000 = $600,000;
Variance in dollar term of actual overall performance over budget overall performance = $600,000 - $500,000 = $100,000
% variance of actual overall performance over budget overall performance = 100,000/500,000 = 20%
Thus, actual overall performance is 20% above expectation.
The manager's overall performance is 20% below expectations. Budgets for marketing and labor, for example, are examples of controllable costs that the business has complete control over. The correct option is a.
Given,
Budgeted Contribution Margin: $1,000,000
Actual Contribution Margin: $1,050,000
Difference: $50,000
Budgeted Controllable Fixed Costs: $500,000
Actual Controllable Fixed Costs: $450,000
Difference: $50,000
Required to determine the manager's overall performance =?
The required calculations are shown in the file given attached below.
The actual expenses were less than the anticipated amount, which is a positive result, as indicated by the negative 10% difference in controllable fixed costs.
The actual contribution margin may have been slightly greater than the anticipated amount, but it may not have been sufficient to make up for the reduced controllable fixed expenses, as indicated by the positive 5% difference in contribution margin.
Thus, the ideal selection is option a.
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When firms seek to differentitate their product offerings by emphasizing different promotion techniques they are said to be employing ___________ . a) Price competition b) Monopolistic competition c) Non-price competition d) Promotion competition e) Competitive positioning.
Answer:
c) Non-price competition
Explanation:
Non-price competition is a marketing technique where a company seeks to improve its sales through separate means other than engaging in price wars. In non-price competition, companies intensify campaigns to highlight the quality and benefits of their products. They present their product as superior in comparison to their rivals.
Business in the non-price competition provides customers with better quality customer service. The company will pick a location that is convenient for the customer and will operate for longer hours. Companies redesign and improve the performance of the products to differentiate them from the rest.
A marginal tax rate is:
a. the total tax paid divided by the amount of taxable income.
b. equal to a worker’s income tax bracket.
c. applied only to high earners under a progressive income tax system.
d. the tax rate paid on a worker’s next dollar of income.
e. irrelevant for making decisions about earning extra income.
Answer:
The corret answer is d. the tax rate paid on a worker’s next dollar of income..
Explanation:
For small business owners, two of the most important determinations they can make are to calculate their marginal tax rates, along with their average tax rates. The marginal tax rate of a business is the percentage at which the last dollar entered was taxed. If this rate is considered too high, you can reduce the incentive for companies to generate additional income. The average tax rate is the percentage of your total taxable income that you pay in taxes.
According to advocates of the long-run vertical Phillips curve, the natural rate of unemployment is determined by A. frictional unemployment only. B. frictional and structural unemployment. C. frictional, structural, and cyclical unemployment. D. cyclical unemployment only.
Answer:
B) frictional and structural unemployment
Explanation:
Frictional unemployment is the result of being in between jobs. You are considered frictionally unemployed when you are looking for a new job.
Structural unemployment refers to a situation where jobs exist, but the applicants don't match the skills needed for the jobs. Structural unemployment is caused by external forces to the business cycle (e.g. low education levels).
To encourage audience members to listen to his speech on saving for retirement, Colin explained to his audience he could teach them how to become millionaires. Which technique for encouraging effective listening was he using?
Answer: Make your listeners care
Explanation: In simple words, "make your listeners care" refers to the strategy under which the speaker tries to get the attention of the audience by giving them bait of some factor that is commonly needed by them all.
This strategy involves taking attention by greed of the audience. It can be done by various methods like making them emotionally involved, or by relating the speech to a problem that they can relate to but still the most useful method is using the greed of money, popularity etc.
The Go Sports Company is a profit-maximizing firm with a monopoly in the production of school team pennants. The firm sells its pennants for $10 each. We can conclude that Go Sport is producing a level of output at which:_______a.) average total cost is greater than $10.b.) average total cost equals $10.c.) marginal revenue equals $10.d.) marginal cost equals marginal revenue.
Answer:
The answer is letter D
Explanation:
The marginal cost equals marginal revenue.
Final answer:
Go Sports Company, a monopolistic firm, produces at a level where marginal cost equals marginal revenue, selling its pennants for $10. Profit maximization for competitive firms like Doggies Paradise Inc. also occurs where marginal revenue equals marginal cost, with the market price constant for all units.
Explanation:
The Go Sports Company, being a monopoly, sets its price at $10 for each pennant. Since the firm is profit-maximizing, we can conclude that it is producing at a quantity where its marginal cost (MC) equals its marginal revenue (MR). The question asks us to determine the level of output based on the given price. The answer is (d) marginal cost equals marginal revenue because a profit-maximizing firm will produce up to the point where the cost of producing one more unit (marginal cost) is equal to the revenue gained from selling that additional unit (marginal revenue). In contrast, for a perfectly competitive firm like Doggies Paradise Inc., selling winter dog coats, total revenue and total cost will be calculated for different output levels, and the firm will maximize profits where marginal revenue equals marginal cost, and market price is constant for all units sold.
Roger, a sales manager at Pacto Corp., has been assigned a new client for selling Pacto's products and is collaborating with the marketing team to generate a sales proposal. In this scenario, Roger collaborates with the marketing team:
Answer:
As a sales manager, Roger collaborates with the marketing team because he needs to gather all the possible information about what other competitors are offering and what new products or services he can offer. This should help Roger elaborate and implement new sales tactics directed at this new client.
Roger, a sales manager at Pacto Corp, collaborates with the marketing team to create a sales proposal, demonstrating the interplay of organizational behavior and the integration of sales and marketing strategies. Effective project management and a focus on aligning business partnerships with personal interests are essential for success in such collaborative efforts.
Roger, a sales manager at Pacto Corp, is collaborating with the marketing team in order to generate a sales proposal for a new client. This scenario involves organizational behavior, a crucial aspect in a business setting. It demonstrates the importance of combining sales and marketing efforts to achieve a company's objectives such as increasing sales and enhancing customer relationships.
The collaboration between various teams within an organization can lead to more effective strategies, which could entail finding methods for getting better acquainted with customers or creating comprehensive sales and marketing campaigns. In this scenario, Roger is taking on a role that bridges the communication between the principle (the company he represents) and the agent (the client) to align business partnerships alongside personal interests.
Furthermore, project management is key in ensuring that the collaboration between different departments is productive. Having a clear action plan, setting milestones, and ensuring team members' commitment are all essential elements in managing a collaborative project.
When previously declared cash dividends on common stock are paid which account would the corporation debit?
a. Dividends Payable - Preferred Stock
b. Cash
c. Dividends Payable - Common Stock
d. Cash Dividends
Answer:
C.
Explanation:
Financial Statements depicts the financial position of a firm at a particular point of time or specified date. The users of financial statements use various types of analysis to understand or compare the current financial statements of the company to prior years or with those of the competitors.
The journal entry on declaration of dividend would lead to a debit to retained earnings and credit to dividends payable.
No journal entry is passed on the date of recording dividend.
Later, on the date of payment of dividend would lead to a debit to dividends payable and credit to cash account.
The journal entries have been shown below:
Frames, Inc. manufactures, produces, and sells picture frames. The frame sells for $25 and the variable operating costs per unit are $12. The managerial accountant reported fixed costs of $50,000 per month, which produces a sales volume of 25,000 frames. The manager needs to sell 26,000 frames to meet the sales quota and incur no more than $70,000 of fixed costs.
The flexible budget, with a sales volume of 30,000 frames, would show operating income of:
a.$32,000
b.$23,000
c.$230,000
d.$320,000
Answer:
D) $320,000
Explanation:
We are given the following information:
unit price = $25 per framevariable costs = $12 per framefixed costs = $50,000 for 25,000 frames or $2 per frameIf Frames is able to sell 30,000 frames in one month, their operating income should be:
Total sales revenue $750,000 (= $25 per frame x 30,000 frames)
COGS -$430,000 [= (30,000 x $12) + $70,000]
Gross operating profit $320,000
A Condominium owner files a declaration with the county clerk which divides his individual ownership and ownership in common elements into time-share units. Each time-share owner will have individual ownership of the common elements for three weeks each year. The condominium owner may have created:
Answer:
subdivision
Explanation:
A real property subdivision takes place when a real property (parcel of land, house, etc.) is divided into smaller areas. The whole idea behind a subdivision is that it should be easier to sell the property in smaller parts.
When a subdivision is carried out on a condominium, the physical space is not divided, rather the property time is divided into time share units. In this case, a person can purchase the right to use that condominium during 3 weeks each year.
A calendar-year corporation has positive current E&P of $500 and accumulatednegative E&P of $1,200. The corporation makes a $400 distribution to its soleshareholder. Which of the following statements is true?
A)The distribution will be a dividend because current earnings and profits arepositive and exceed the distribution.
B)A distribution from a corporation to a shareholder is always a dividend, regardlessof the balance in earnings and profits.
C)The distribution may be a dividend, depending on whether total earnings andprofits at the date of the distribution is positive.
D)The distribution will not be a dividend because total earnings and profits is anegative $700.
Answer:
Correct option is (a)
Explanation:
Current earnings and profits represent current year's earnings and accumulated E&P represent earnings after making distributions in the form of dividends to the shareholders. The level of accumulated E&P shows the ability of organizations to make cash distributions to its shareholders.
A distribution made by the corporation is considered dividend if current year E&P is positive irrespective of whether accumulated E&P is positive or negative.
In this case, current E&P is $500, which is more than distribution of $400, so it is considered as dividends.
To start his business, Neil borrows money from every source available to him, including all his credit cards and a line of credit at his bank. The business fails, and Neil files a voluntary Chapter 7 petition in good faith to discharge his debts. He returns to work as an attorney, where he makes over twice the median family income in his state. Neil's debts will most likely:_____________.
Answer:
Be paid at least in part, after his case is converted to a Chapter 13 repayment plan.
Cole is a minimum wage employee in Santa Fe, NM, where the minimum wage is $10.91 per hour. His employer claims that since the federal minimum wage is $7.25 per hour, Cole should only receive the federal amount. What is the correct answer in this situation?
A) The employer has the discretion to pay either the federal or the state-designated minimum wage.
B) The employer may choose to pay less than the state-designated minimum wage, based on the employee's qualifications and job description.
C) The employer is correct that the federal minimum wage overrules the state wage.
D) The employer must pay the state-designated minimum wage for the area.
Answer:
The answer is letter D.
Explanation:
The employer must pay the state-designated minimum wage for the area.
By examining customer checkout details, supermarkets have learned that people who are buying beer typically also buy a bag of salty snacks. As a result of this finding, supermarkets often place displays of beer near the chips and pretzel aisle. Which of the following methods of processing information is most likely to have been used for discovering such information?
a. Authenticating
b. Perceptual filtering
c. Bar coding
d. Data mining
e. Optical scanning
Answer:
perceptual filtering
Explanation:
i think that because it is talking about people's perception.
The method of processing information is most likely to have been used for discovering such information is Data mining. Thus the correct option is D.
What is a Customer?A customer is referred to as an individual who purchases a product or service. He may or may not be the consumer. A consumer refers to a person who utilizes or consume goods and service.
In the given case, it is explained that Supermarkets have identified that customers who buy beer frequently also purchase a bag of salty snacks by looking at customer checkout information.
Finding relevant and practical connections and patterns in vast amounts of data is known as "data mining". In order to forecast outcomes, data mining is the act of identifying irregularities, patterns, and correlations within huge data sets.
Therefore, option D is appropriate.
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Determining the earned value involves collecting data on the percent complete for each work package and then converting this percentage to a dollar amount by multiplying the ____ of the work package by the percent complete.
Answer: Earned value
Explanation:
The earned value is basically determine by collecting all the data which refers to the value when the actual work are performed.
The earned value is one the key parameter and it is mainly determine throughout the given project.
The earned value are determine by collect the data one the complete percent of each work and the it is converted into the dollar percentage by multiplying with the earned value of the work.
The managerial accountant at the Frame Shop reported $4,000,000 of operating income and $9,000,000 in sales revenue for the Staple Division.What is the sales margin for the Staple Division?
Answer:
0.4444
or
= 44.44%
Explanation:
Data provided in the question:
Reported operating income = $4,000,000
Reported sales revenue for the Staple Division = $9,000,000
Now,
The sales margin is given as
= ( operating income ) ÷ ( sales )
therefore,
The sales margin for the Staple Division
= $4,000,000 ÷ $9,000,000
= 0.4444
or
= 0.4444 × 100%
= 44.44%