...CHAPTER 7: COST-VOLUME-PROFIT ANALYSIS QUESTIONS 7-1 The underlying relationship in cost-volume-profit analysis is that costs, revenues, and profits all change in a predictable way as the volume of activity changes. 7-2 It is more practical to find the breakeven point in sales dollars for companies having thousands of individual items. Finding the breakeven point for each item would be laborious and meaningless. 7-3 The contribution margin ratio is: price - variable costs price The contribution margin ratio (CMR) represents the net contribution per sales dollar. The CMR tells us the change in profit associated with a given change in sales dollars. It is a useful measure of the relative contribution to profit of different products, divisions, or sales units. The use of this ratio can give a retail store a good approximation of the sales dollars necessary for the store to break even. A higher CMR is associated with higher risk. A higher CMR can have a more favorable impact on profit. However, if sales fall below breakeven, then a high CMR will yield a relatively more negative impact on profits. 7-4 The basic assumption of the CVP model is that the behavior of revenues and total costs is assumed to be linear over the relevant range of activity. Managers must be careful to remember that the calculations done within the context of a given CVP model cannot be interpreted safely outside...
Words: 8457 - Pages: 34
...About the Company Bharti Airtel Limited, commonly known as Airtel, is an Indian telecommunications services company headquartered at New Delhi, India. It operates in 20 countries across South Asia, Africa and the Channel Islands. Airtel has GSM network in all countries, providing 2G, 3G and 4G services depending upon the country of operation. Airtel is the world's third-largest mobile telecommunications company with over 261 million subscribers across 20 countries as of August 2012. It is the largest cellular service provider in India, with 185.92 million subscribers as of September 2012. Airtel is the largest provider of mobile telephony and second largest provider of fixed telephony in India, and is also a provider of broadband and subscription television services. It offers its telecom services under the airtel brand, and is headed by Sunil Bharti Mittal. Products and services Mobile Services Airtel operates in all telecom circles of India, and is the 6th most valued brand according to an annual survey conducted by Brand Finance and The Economic Times in 2010. 3G On May 18, 2010, 3G spectrum auction was completed and Airtel will have to pay the Indian government 122.95 billion (US$2.32 billion) for spectrum in 13 circles, the most amount spent by an operator in this auction. Airtel won 3G licences in 13 telecom circles of India: Delhi, Mumbai, Andhra Pradesh, Karnataka, Tamil Nadu, Uttar Pradesh (east), Rajasthan, West Bengal, Himachal Pradesh, Bihar, Assam, North...
Words: 1559 - Pages: 7
...Elective course Bidding 16J Sven BIEL Associate Director, MBA Programme Management INSEAD MBA Electives • Total course credits to graduate: 23.5 • Total elective credits: 10.5 (up to 12.5 without additional cost) • Workload distribution: 3.5 credits in P3, 4 in P4, 3 in P5 • Credit values: full (1), mini (0.5) • Bid types: primary & backup You must take at least 2 (in class) elective credits per period! MBA Electives How are elective courses scheduled? • • • We schedule a number of sections based on previous demand After bidding: We look at primary requests and try to match supply and demand (can another section be added?) Result phase: System opens again for add & drop No sections will be added after the results are released! Elective Course Selection Information available to help you make your choice: • Elective course list for P3, P4 and P5 – across the two campuses • Each academic area produces a document explaining logic of their electives’ offering • Course outlines and professors’ last evaluations • Previous entering prices At the time of bidding you will be able to see the course conflict grid… The Bidding System • • • • • • Capital: 200 points (minus exchange points and evaluation) for the three periods Elective course bids are done per period Most courses have no price (only if demand > supply). If a course has excess demand, students registered on the course pay what they bid for the course You...
Words: 324 - Pages: 2
...VIST Brita Td 16 ROUGET Tanguy 12/05/06 JOURDE Mathieu Le vin [pic] Introduction I) L’offre A) Présentation 1) Fondamentaux du secteur a) processus de fabrication b) définitions c) catégories de vins 2) Réglementation a) qualité de vin b) loi Evin 3) Structure du marché a) ressources b) utilisations c) reconstitution du marché français B) Environnement 1) La production 2) Etat du marché actuel C) Structure de la concurrence : distribution/production 1) Production 2) Distribution a) GSA b) Hard discount c) Hypercavistes d) Détaillants spécialisés e) Vente à distance f) Vente directe II) Segmentation de la demande A) Les besoins et bénéfices recherchés des consommateurs B) Les critères de segmentation de la demande 1) Ensemble des critères potentiels de segmentation 2) Les critères de segmentation retenus. III) La pénétration d’un nouvel entrant potentiel A) Opportunité et menaces sur le marché B) Ciblage C) Positionnement D) Mix marketing développé pour répondre à la stratégie 1) Gamme de produits 2) Packaging 3) Prix 4) Canaux de distribution ...
Words: 5951 - Pages: 24
...Majalah MARKETING – IMC / NOVEMBER 2008 Belajar dari Amazon.Com Situs ini berhasil memanfaatkan teknologi internet untuk membangun customer datkaabase dan berkomunikasi secara efktif dengan para pelanggannya. Bagaimana kisahnya? Media komunikasi saat ini berkembang dengan pesat. Terkait dengan itu, Integrated Marketing Communications (IMC) menawarkan konsep dalam mengelola seluruh bentuk dan media komunikasi secara efektif. Para marketer dianjurkan memanfaatkan media-media komunikasi yang tersedia untuk menghubungkan perusahaan dengan pelanggannya seerat mungkin. Tentunya media yang digunakan haruslah dipilih supaya bisa menjadi media yang terbaik untuk dapat menjangkau pelanggannya. Semua komunikasi bekerja bersama-sama sebagai suatu kekuatan yang terintegrasi, dan tidak bekerja sendirisendiri. Pada akhirnya, IMC bertujuan mendapatkan tingkat Return on Investment (ROI) terbaik serta merek yang kuat dan bernilai tinggi. IMC fokus untuk mengendalikan semua bentuk komunikasi yang disebarkan perusahaan kepada publik agar semua informasi itu tidak bertabrakan satu dengan yang lainnya dan malah membuyarkan informasi utama yang ingin disampaikan perusahaan. Perusahaan yang andal dalam menggunakan IMC adalah perusahaan yang fokus untuk menyediakan informasi yang sesuai dengan kebutuhan pelanggannya—masing-masing pelanggan berbeda dan mereka semua bisa mendapatkan informasi yang relevan dengan kebutuhan mereka. Salah satu perusahaan yang piawai dalam menerapkan IMC adalah Amazon.com...
Words: 1133 - Pages: 5
...ENG M 501 – Assignment #4 Assigned 29 January 2013 – Not Due Problem 1 (2 points) Magic, Inc. carried out a time study of an existing job to develop new time standards. A worker was observed for 50 minutes. During that period, 42 units were produced. The analyst rated the worker as performing at an 85 percent performance rate. Allowances in the firm for rest and personal time are 10 percent. a. What is the normal time for the task? b. What is the standard time for the task? Problem 2 (2 points) According to the process supervisor of Magic, Inc., one of their machines, the Fantasy 2000, appears to be idle approximately 25 percent of the time. Develop a work-sampling plan to determine the percentage of idle time, accurate within a 3.5 percent error (±3.5%) with a 95 percent confidence level. Use the random numbers from the table provided on eClass to derive the first day’s sampling schedule. Assume that the sampling will take place over 60 days, and that you use seven-hour shifts from each day 7:00 AM to 3:00 PM. Problem 3 (2 points) Fantasy Park has two service desks, one at each entrance of the park. Customers arrive at each service desk at an average of one every six minutes. The service rate at each service desk is four minutes per customer. a. How often (what percentage of time) is each service desk idle? b. What is the probability that both service clerks are busy? c. What is the probability that both service clerks are idle? d. How many customers, on average, are waiting...
Words: 483 - Pages: 2
...To: Christopher Martin, James Cameron From: Brian Hou Subject: Consumer Products International Recommendation After reviewing the business case for the Consumer Products International HR-Intranet and Virtual University, I have a few questions that I believe are important in fully understanding before making a final decision on whether or not to pursue implementation. First, after reading the material, I am still a bit unclear as to exactly how some of the problems mentioned in the description section will be solved. For example, I completely agree that a lack of integration of platforms and systems can be deleterious towards overall operational efficiency. Similarly, having different platforms for different systems is wasteful as well. However, in reading the description of scope of the project, I am not clear as to how these problems will be addressed. There are statements alluding to greater integration flexibility and what content will be available but I’m not sure that this information is enough to represent a clear solution. The key mechanisms driving the improved integration are not well defined. Secondly, I think it is difficult to analyze exactly how much benefit the various implementations would produce. For example, by changing the training program, you would be introducing many new variables into that process. As a result, there is no guarantee that this would be more cost-effective in the long run than the status quo. For example, having a self-development...
Words: 452 - Pages: 2
...Contextual Assessment of the D’Arcy Oil Concession The d’Arcy oil concession of 1901 in Persia (now Iran), represents a big moment in Middle Eastern politics and economics. The first oil concession in the region of the Middle East, this became the model for future concessions for the next half-century (Gelvin, 88, 172). In 1901, Mozaffar ad-Din, the Qajar Shah of Persia, sold the rights to exploring for, excavating, and selling oil for 60 years in all of Persia to a British investor, William Knox D’Arcy. For this, the Shah received £20,000 sterling cash, £20,000 sterling of shares of the company, and 16% of annual net profits (Gelvin, 174). Few parts of Persia were not included, like holy sites and some small, northern provinces (Gelvin, 173). This concession was a major factor in what led to modern day Iran. It highlights the unrest of the Persian people and the imperial struggle over Persia. Persians were growing dissatisfied with the Qajar rule. Influenced by western-oriented reformers, merchants, and religious leaders, they took to the streets in 1905. These protests and demonstrations would continue to 1911. The sources of their unrest came from the excesses of Qajar rulers, the weaknesses of the government, and foreign control over their economy. Also, the general consensus was that the Qajar rulers, especially Mozaffar ad-Din, were totally incompetent. These protests led to the Shah’s concession and Persia’s first constitutional monarchy. Because of the government’s...
Words: 651 - Pages: 3
...MANUAL TUGASAN PELAJAR :MATEMATIK UNTUK EKONOMI DAN PENGURUSAN FUNCTION Concept and Definition 1. Determine the domain and range for each of the given function, (a) f x x 1 Answer: Since it is undefined for –ve values, it must be that x - 1 0 ie x 1 1 Domain , (b) f x 1 x 4 2 Answer: f (x) is undefined if x 2 4 0 , ie x 2 x 2 0 x = 2 or x = -2 The domain is all Real Numbers except 2 and -2. domain , 2 atau 2, . 2 (c ) f x x 3 Answer: All the real numbers ie , (d) f x x 5 Answer: f x is defined for all real numbers 0 , x-50 x5 Domain 5, 1 MANUAL TUGASAN PELAJAR :MATEMATIK UNTUK EKONOMI DAN PENGURUSAN x 1 (e) f ( x) x 2 6 x 5 Answer: f (x ) is undefined when, x 2 x 5x 0 ( x 5)( x 1) 0 x 5 or x 1 Domain for f (x ) are all real numbers except –5 and –1 3 (f) f ( x) 2 4 x jika jika x 1 x 1 Find the value of f ( 4 ) . Answer: f ( 4) 4 ( 4) 2 = 4 16 20. (g) f x 2 x 3 Answer: –2x + 3 > 0 –2x > –3 2x < 3 x < 3/2 = 1.5 Then the domain is "all x < 3/2". 2 MANUAL TUGASAN PELAJAR :MATEMATIK UNTUK EKONOMI DAN PENGURUSAN 2. Given g ( x ) 3 x 2 x 5 , (i) find the domain and (ii) value of the function at g(z), g ( r 2 ) and g ( x h ) Answer: Domain: All real numbers. g(z) = 3 z 2 z 5 g( r 2 ) = 3( r 2 ) 2 r 2 5 =...
Words: 923 - Pages: 4
...ISSN 0378-5254 Journal of Family Ecology and Consumer Sciences, Vol 31, 2003 The importance of apparel product attributes for female buyers Ernest J North, Retha B de Vos and T Kotzé OPSOMMING Die doel van hierdie artikel is om die bevindinge van ‘n empiriese ondersoek te rapporteer wat uitgevoer is om vroulike verbruikers se aankoopbesluite vir ‘n kledingstuk te ontleed wat gebaseer is op die waarde wat hulle aan sekere eienskappe van die produk heg. Alhoewel menige studies in die verlede verbruikers se houdings jeens produkte en hul eienskappe gemeet het, is die moontlikheid van die effek van interaksie tussen die attribute oorgesien. In die Suid-Afrikaanse konteks het die literatuurstudie getoon dat daar ‘n behoefte is aan ‘n studie om te bepaal wat die waarde is wat vroulike verbruikers aan sekere produkeienskappe heg voordat aankoopbesluite gefinaliseer word. ‘n Vraelysopname is as primêre data-insamelingsmetode gebruik waartydens die respondente versoek is om aan te toon wat hul voorkeure is vir dertig gepaarde kombinasies van die produk en sy eienskappe. Hierdie studie het op vier eienskappe, naamlik handelsmerk, styl, kleinhandelaar en prys gefokus. Hipoteses is geformuleer en voorkeurkeuse-ontleding (“conjoint analysis”) is vir die ontleding van data gebruik. Die bevindinge toon aan dat daar beduidende verskille is in die waardes wat vroulike verbruikers heg aan die eienskappe van ‘n kledingstuk voordat aankoopbesluite geneem word. INTRODUCTION Although the apparel...
Words: 6321 - Pages: 26
...Process Optimization Assignment 4 Daniel Viju.V CH12B080 The Quadratic equation is modelled as, fx= 12xTHx+cTx Where, c is a (2x1) Parametric Vector H is (2x2) is a symmetric Matrix x is (2x1) is the position vector As seen in the demonstration the stationary point is x*=00 Stationary point as per definition is Hx*+c=0. Therefore we can conclude that the function is of the form, fx= 12xTHx Now we know that the contours are ellipses. Therefore H is of the form, H=a00b Where a≠b. The Eigen Vectors as seen from the demonstration is 10 and 01. We can also infer that, a=λ1 b=λ2 The aspect ratio relation as defined for ellipses is, e=λ1λ2 The H matrix can be rewritten as, H=e2λ200λ2 Case 1: (e=0.3) I set f(x)=20 to determine the eigen values. One point on the contour is 14.90880. From this, H=0.18002 Now we determine the Objective value at (7,2) and is set correspondingly on the demonstration, f72=8.41 The Iterations are, 72→ 6.2872-0.1754→2.98810.857→2.688-0.0753→1.2990.371→1.14983-0.0323 Now we determine the Objective value at (-7,2) and is set correspondingly on the demonstration, f-72=8.41 -72→ -6.2872-0.1754→-2.98810.857→-2.688-0.0753→-1.2990.371→-1.14983-0.0323 Define, ...
Words: 932 - Pages: 4
...Phiếu bài tập lần 1 Bài 1: Trong 8 giờ (một ngày lao động) sản xuất được 16 sản phẩm có tổng trị giá là 80USD. Hỏi giá trị tổng sản phẩm làm ra trong ngày và giá trị của một sản phẩm là bao nhiêu nếu: a, Năng suất lao động tăng 2 lần b, Cường độ lao động tăng 1,5 lần Bài 2: Tổng giá cả hàng hóa ở trong lưu thông là 120 tỷ đồng. Trong đó, tổng giá cả hàng hóa bán chịu là 10 tỷ đồng, tống số tiền thanh toán đến kỳ hạn là 70 tỷ đồng, số tiền khấu trừ cho nhau là 20 tỷ, số lần luân chuyển trung bình trong năm của đơn vị tiền tệ là 20 vòng. Để xóa bỏ được hoàn toàn lạm phát, Nhà nước cần phát hành tiền giấy mới và đổi tiền giấy cũ theo tỷ lệ như thế nào? Bài 3: Trong điều kiện trả đúng giá trị sức lao động, tiền công hàng ngày của 1 công nhân là 12USD, trình độ bóc lột là 100%. Sau một thời gian, năng suất lao động xã hội tăng lên 2 lần, nên giá trị vật phẩm tiêu dùng giảm xuống 2 lần. Trong thời gian đó, năng suất lao động khai thác vàng tăng lên 3 lần, do đó gây ra sự tăng tương ứng của giá cả hàng hóa. Còn người công nhân do cuộc đấu tranh đòi tăng lương, nên tiền công hàng ngày là 16USD. Tỷ suất giá trị thặng dư thay đổi như thế...
Words: 267 - Pages: 2
...Dear Emily, In my honest opinion, I believe your rhetorical essay on “America Needs Its Nerds” by Leonid Fridman was fairly decent, overall. Although you had several strong sentence structures and comments, there are a few weaknesses to your essay which I will try to critique, constructively. The first paragraph in your essay had a strong introductory sentence. It also included the purpose of the paragraph, which was mentioned clearly and thoughtfully. However, you need a stronger assertion sentence in the first body paragraph. Also, there are a few instances where your sentence’s ideas were repeated a few times, so try to proofread your essay and merge the sentences together to come up with a better sentence, or simply exclude one of those sentences. You had great commentaries that show your understanding of the rhetorical strategies that you addressed. However, they’ve only explained “why” a strategy was used but not “how” it was used. The second and third paragraphs had strong assertions as well as implicit quotations from the passage. Although your essay does not include 5 paragraphs, I can conclude that you have good understanding about how to find and explain rhetorical strategies used in passages and texts. You had solid assertions, implicit and strong evidence, as well as fairly thorough commentaries. However, you need to work on maintaining the flow of your essay, reconsidering the optimal vocabulary that could be used in certain sentences, and proofreading your...
Words: 258 - Pages: 2
...The FBI started to set up a project to build a new Virtual Case File system (VCF). This VCF project was to be let as one massive contract at a total cost of $379m. It was planned as a classic waterfall project - with a grand design being drawn up before work would start on the development of a monolithic system. Testing would be carried out at the end, and the whole system would go live at once - a classic big-bang implementation approach. Science Applications International Corporation (SAIC) The 9/11 attacks increased political pressure for better homeland security and data sharing between 6 agencies. Responding to this pressure, the FBI made promises to bring forward deployment of the new VCF case management system by 6 months - to December 2002. Then they received an additional $78m of funding and promised to chop off another 6 months from the schedule. The classic symptoms of waterfall project failure started to reveal themselves. Project plans were found to be unrealistic, and the oversight of project spend was inadequate. It became obvious that the project would not meet its accelerated deadlines. A commitment to using unproven thin client technology had been made - and the design for a web-like access to a centralised database was deeply flawed - BUT: up-front contracts with suppliers bound the project to this technology and the testing that could have revealed these flaws came too late to allow a change of direction. After...
Words: 531 - Pages: 3
...President Corazon Aquino described the accident as "a national tragedy of harrowing proportions...[the Filipino people's] sadness is all the more painful because the tragedy struck with the approach of Christmas".[25] Pope John Paul II, Japanese Prime Minister Noboru Takeshita and Queen Elizabeth II of the United Kingdom conveyed their official messages of condolence.[26] Sulpicio Lines announced three days after the accident that the Doña Paz was insured for ₱25 million (about US$550 thousand in 2011 dollars), and it was willing to indemnify the survivors the amount of ₱20 thousand (US$472 in 2011) for each victim.[27] Days later, hundreds the victims' kin staged a mass rally at Rizal Park, demanding that the ship owners likewise indemnify the families of those not listed on the manifest, as well as to give a full accounting of the missing.[14] According to the initial investigation conducted by the Philippine Coast Guard, only one apprentice member of the crew of the Doña Paz was monitoring the bridge when the accident occurred.[28] Other officers were either drinking beer or watching television,[29] while the ship's captain was watching a movie on his Betamax.[30] Nonetheless, subsequent inquiries revealed that the Vector was operating without a license, lookout or properly qualified master.[10] The Board of Marine Inquiry eventually cleared Sulpicio Lines of fault in the accident.[13] In 1999, the Supreme Court of the Philippines ruled that it was the owners of the Vector...
Words: 334 - Pages: 2
