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Your company has a market share of 25%. The total market size is $100 million. Your contribution margin (the ratio of the contribution per unit over the price per unit) is 20%. Your variable cost is $16 per unit. You are thinking of hiring 10 more salespeople. The annual cost per salesperson (including salary and benefits) is $120,000. In addition, each salesperson receives as a bonus 10% of the sales he or she generates. How much should your market share increase to make this a profitable action? (Hint: To solve the problem you need to calculate the price per unit and then calculate the new contribution per unit that will reflect the added cost of the 10% bonus given to the salespeople.) You must show all calculations to receive credit
A worker machine operation was found to involve 3.5 minutes of machine time per cycle in the course of 40 cycles of stopwatch study. The workers time averaged 2.3 minutes per cycle
Elements of Production Control 1.Control of the Planning: Assure receipt of latest forecast data from sales and production planning bill of material data from product engineer
Problem 3-5 A cosmetics manufacturer's marketing department has developed a linear trend equation that can be used to predict annual sales of its popular Hand & Foot Cream. Ft = 80
Product Focused Production System In this type of production processing, the production departments are organized according to the type of product / service being produced, a
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Helter Industries, a company that produces a line of women's bathing suits, hires temporaries to help produce its summer product demand. For the current four-month rolling schedule
Now let's continue our discussion about the financial aspects of owning your own business that are part of, by considering the idea of "ratio analysis". In considering "financial r
How your local newspaper would be affected if local supermarkets switched to weekly advertising and instead used a service that delivered weekly freestanding ads directly to each h
The service facility is a combination of
Discuss methods to diagnose employee stress and the specific OD (organizational development practitioner) interventions aimed at alleviating it in the workplace.
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