Profit margin

With this in mind, Sheryl explained that Cost-Volume-Profit (CVP) analysis would be useful to Thomas after he gathered some basic information about costs, revenues, and units of service. She explained that CVP is a fundamental management accounting tool that is useful for planning, control, and decision making. It explores important relationships between costs, volume or activity levels, and…

Food manufacturing facilities are high profit businesses all over the country. Each region of the country has a specialty; the north has cheese and dairy, the south has fruits, and the center region has meats. Living in the Midwest, the most common food facilities produce, meats, soy and pizza toppings, the best examples are Tyson and Hormel Foods. That is what my business does we manufacture the best kind of food; brownies. Brownies sell all over the country in grocery stores and markets as…

cost $655.00, but the (ROI) for a period of 5 years would be $450,000 dollars. The ROI shows that Piper Industries will get their investment back within 2 years, which as Project Manager is a good thing for Piper Industries. Palomino will have a 5% margin of error, which means that there is only a 5% chance that the circumstances can change such as the ROI amongst other things. The seventh year is the projected possibility when customers will not be able to use Palomino anymore, which will help…

entire life, including research&development costs, production costs, marketing costs, support costs, etc. Life Cycle costs = ($180+$2) *40,000+$320,000 =$7,600,000 Expected/target cost The target cost is the difference between selling price and target profit. The initial market for Kennel-Up’s new ferret cage was estimated to be 40,000 cages over a five-year period with a proposed selling price of $240.00. Based on the survey of focus groups and a market feasibility assessment, the marketing…

economic factors at play. During periods of economic expansion and prosperity, there are heightened incentives for organizations to invest into their infrastructure and expand capacity. During times of economic decline, organizational growth wanes as profit margins dwindle, and increased organizational efficiency becomes key. This paper intends to demonstrate how growth is inextricably linked to environmental factors. Economic prosperity has a great impact on an organization’s success and…

Cost-volume-profit (CVP) analysis is a strategic decision made by the management of the company. The cost-volume-profit analysis is very helpful for the managers to make product decisions by estimating the expected profitability of the choices because different choices will affect the selling price, variable costs per unit, fixed costs, units sold and operating income. According to Alvis (2016), CVP analysis expands the use of information provided by breakeven analysis. Therefore, this paper is…

of the customers generated 150% of the profits. Traditional cost accounting often supports a 20-80 rule that 20% of the largest customers, who purchase the most products, contribute 80% of the profits; and this is our current assumption for our company too. Using CPA, their analysts have often found that 20% of the customers generate 300% of the profits. The remaining 80% of the customers are actually unprofitable and can result in a loss of 200% of the profits. They were able to then formulate…

assets. If the ratio is low under 1 that may indicate that the company is not in good financial health. If the ratio is high then the company is in good shape to pay its obligations. The higher the ratio the better. CanGo recorded a Net Profit Margin of .8…

CAI 121 Product Id & Purchasing Unit 1 Lecture In this unit we will examine the purchasing function and the steps that need to be taken in order to reach the optimal goals of selection and procurement. We will discuss the policies and procedures that will help to assure that you are doing everything that needs to be done to maximize the value of the operation. This unit will highlight the factors that affect the availability of product and the importance of product specifications and…

The clash between two opposing cultural perspectives. The Ford corporate culture mindset which set on making the most money. The ethical perspective is a human life is above an economic profit. You would think it is wrong to take a person life because they want to make a profit. Taking a human life is a very punishable crime, the white collar crime usually overlooked in different than an individual who committed a homicide. Any corporation’s legal has an obligation to prioritize…