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2 years ago

Othman Inc. has a $800,000 investment opportunity with the following characteristics:

Business

1 answer:

mash [69]2 years ago

3 0

Answer:

The correct answer is option (b).

Explanation:

According to the scenario, the given data are as follows:

Sales = $2,240,000

Contribution margin ratio = 50%

Fixed expenses = $1,008,000

So, First we calculate the contribution margin by using following formula:

Contribution margin = Contribution margin ratio × Sales

= 50% × $2,240,000

= $1,120,000

So, we can calculate the margin for this investment by using following formula:

Margin = Net operating income ÷ Sales

Where, Net operating income = Contribution margin - Fixed expenses

= $1,120,000 - $1,008,000

= $112,000

Now by putting the value in the formula, we get

Margin = $112,000 ÷ $2,240,000

= 0.05

= 5%

Hence, the margin for this investment opportunity is 5%.

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Answer:

B. A restaurant offers a discounted price on a new type of dish.

Explanation:

Here are the options to this question :

Which statement best describes a business creating an incentive?

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Answer:

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2 years ago

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Ray, a manager at Senzel Inc., wants to implement a new software in the company's processes. This software will help him monitor

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Answer:

C . Consulting

Explanation:

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Consulting means to engage in the business of giving advice to professionals in a particular field.

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Which type of layout features departments or other functional groupings in which similar activities are performed

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Answer:

Process-oriented.

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