One disadvantage of test marketing a new product is that
A. the product is distributed on a regional basis.
B. competitors may copy the product.
C. the results give little indication of the product's future success.
D. price, advertising, and packaging cannot be varied from market to market.
E. it might fail before it can be commercialized.
Answer: B
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A company produces 1000 packages of cat food per month. The sales price is $3.90 per pack. Variable cost is $1.60 per unit, and fixed costs are $1700 per month. Management is considering adding a vitamin supplement to improve the value of the product. The variable cost will increase from $1.60 to $1.70 per unit, and fixed costs will increase by 20%. The company will price the new product at $7 per pack. How will this affect operating income?
A) Operating income will decrease by $2660 per month. B) Operating income will remain unchanged. C) Operating income will decrease by $1060 per month. D) Operating income will increase by $2660 per month.
Use the following information to prepare a budgeted income statement for Stellar Company for the month of June.a. Beginning cash balance on June 1 is $52,000.b. Sales amounts are: April (actual), $1,450,000, May (actual), $1,600,000, and June (budgeted), $1,700,000.c. Cost of goods sold is 53% of sales.d. Budgeted cash payments for salaries in June: $260,000. Salaries payable on May 31 are $60,000 and are expected to be $50,000 on June 30.e. Budgeted depreciation expense for June: $24,000.f. Other cash expenses budgeted for June: $282,000.g. Accrued income taxes due in June: $48,000.h. Bank loan interest due in June: $8,000 which represents the 1% monthly expense on a bank loan of $800,000.i. The income tax rate applicable to the company is 30%.
What will be an ideal response?
What is the waterfall planning process and when is the ideal approach to project development?
What will be an ideal response?
Townships are numbered according to their distance from guide meridians
Indicate whether the statement is true or false