Performance evaluation, profit center (LO3). Lori White is the chief executive of a division of...
50.1K
Verified Solution
Link Copied!
Question
Accounting
Performance evaluation, profit center (LO3). Lori White is the chief executive of a division of Visions, Inc. Lori's division makes high-quality frames that sell for premium prices. For the most recent budget year, her division expected to sell 80,000 frames and generate $9.6 million in revenue. Actual sales and revenue were 100,000 frames and $11 million, respectively. Lori delegates all marketing and sales related decisions (including pricing) to her marketing manager.
Required:
a.Should Lori be pleased with the revenue performance? Consider the fit of the results with the firm's strategy when formulating your answer.
b. Suppose instead that the actual sales and revenues were 70,000 frames and$9,100,000, respectively. Should Lori be upset with the revenue performance? List some of the issues that Lori should look into when analyzing this performance.
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!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.