Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Q. Show the process of Pricing during introduction?
Pricing during introduction: in pricing a new product generally two kinds of strategies are suggested viz.
a) Skimming price policy: this is pricing policy in which a vary high price is fixed in the beginning that skims the demand from the outside. By this policy the company earns a huge amount of profit in the initial marketing of the product. When the competitors enter the fields the price are allowed to fall gradually. The company is able to recover the investment made in the product in a short period. This type of policy is used in case of products where the company expects heavy competition after some time and wants to take the cream before it happens.
b) Penetration price policy: in contrast with skimming price policy the penetration price policy involves a reverse strategy. It requires fixing a lower initial price designed to penetrate the market as quickly as possible. This policy is intended to maximize the profit in the long run therefore the firms pursuing the penetration price policy set a low price of the product in the initial stage.
5
Assigning Costs and Assets After identifying its value chain, a firm must assign operating activity and assets to value activities. Operating costs must be assigned to the act
Analysis of Each Decision Package This analytic procedure permits the manager of the decision package and its alternatives to assess and validate its operation. Numerous quest
The current sales of M/s ABC are Rs.100 lakhs. Through relaxing the credit standards the firm can produce additional sales of Rs.15 lakhs on that bad debt losses would be 10 percen
#questioExercise 3-12 Computing Predetermined Overhead Rates and Job Costs [LO1, LO2, LO3, LO7] Kody Corporation uses a job-order costing system with a plantwide overhead rate base
Under this method, approximated profit is calculated depends on transactions of the ensuing period. Afterward, decrease or increase in working capital is determined adjusting the e
Coefficient of Determination (r 2 ) If the regression line calculated by the least square method were to fit the actual observations perfectly, then all observed points would l
Explain what is meant by traditional costing system. Support with example.
Input or exogenous variables These are variables of two types: 1) Controlled variables: These are variables that can be controlled by management. By changing the input
Disadvantages of zero base budgeting 1) It is not suitable for all the activities in an organization 2) It has limited application in a profit making organization. In this c
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd