Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. opoints you are considering two business plans....

opoints You are considering two business plans....

90.2K

Verified Solution

Question

Accounting

image
opoints You are considering two business plans. You must explain these plans to a potential imestor. At the current capacity, both plans are expected to generate the same amount of profit. Plan 1, however, has a higher proportion of variable costs, while Plan 2 has mostly foned costs. Required: (1) When sales decrease, which plan will tend to result in a greater profit decrease? (2) Select one plan and explain the reasoning for your choice. Be sure to explain technical definitions as your investor may not be familiar with them. p 6 points What does the term "sales mix" mean? Explain how a shift in the sales mix could result in both a higher break-even point and a lower net income. Edit View insert Tools Table

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Calculus
1.2K views

the number of possible triangles that can be formed using the given measurements 1 mA...

Statistics
1.2K views

*This exercise must be done in MINITAB** In recent years, consumers have become more safety conscious, particularly...

Basic Math
1.2K views

When 75 patients were randomly selected, the mean length of wait time was found to be...

Biology
1.2K views

The spectrophotometer allows you to quantify live cells O True O False

Physics
1.2K views

he electrons that are used in an electron microscope are accelerated through a potential ifference...

Calculus
1.2K views

A company manufactures mountain bikes The research department produced the marginal cost function C x...

Accounting
1.2K views

Los estados financieros del pas presentaban indicios de riesgo relacionados con la posibilidad de prdidas...

Accounting
1.2K views

Required information E12-19(Algo) Reporting and Interpreting Cash Flows from Investing and Financing Activities with...

Accounting
1.2K views

please do all 4 parts, thank you! ...

Finance
1.2K views

[3. 3 . Consider the case of European IBM call and put options that have...

Finance
1.2K views

Brock Florist Company buys a new delivery truck for $37,000. It is classified as a...

Accounting
1.2K views

About Nintendo company background of the founder, present management people, business model, main...