Wednesday, November 20, 2013

Managerial Accounting

Dear JulieA review of your financial statement reveals that you do non have a profitable business . Your expenses have exceeded your revenue in calendar months April through June . Although your figures in June argon much pee out than in April and May , you are still operating(a) at a 6 ,000 loss . There are third ways you offer remedy this situation . You nooky lower your expenses increase your revenues or a combination of some(prenominal) . On the expense side you should seriously consider eliminating your dickens workers . You apparently cannot afford them at this time p You should as well as expect into outsourcing the assembly of the fits . You may be able to press your in-house and provider costs by having an outside source do the kit assembly . Then you and Amy can focus your efforts on trade and distr ibutionYou mentioned that you sell your full inventory every month .
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This indicates on that point is a high demand for your kits . You withdraw to test the mart to see how much price snap there is in your kits . This is called price elasticity of demand . It measures the order of response of measuring due to a change in price . The law for price elasticity of demand is : PEoD diversify in meter Demanded Change in Price (1You may let on that you can increase the price of the kits by 30 to 50 without losing customers . It is autocratic that you find the right merchandising prices for your kits . You sh ould find a selling price where your...If yo! u want to get a full essay, enunciate it on our website: BestEssayCheap.com

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