From 1974-1978 all the major firms saw increased sales and net income but as time progresses and the market stops growing the firms that have best positioned themselves will begin to dominate the competition. An indicator firm success can be found in looking at firm Return On Sales (ROS). ROS = Net Income/Sales Revenue, it is a measure of firm efficiency and firms with higher ROS are demonstrating an ability to control costs and/or charge a higher price for their product(s) as opposed to competition. Lower ROS firms have lower income in relation to revenue and increasing net income is harder. In 1978 Emerson (Beaird-Poulan) and Electrolux (Husqvarna) are the industry leaders in ROS at 7.9%.
Ans): The only way to boost our GIC investment return is to invest in a GIC package which offers a great deal with a possibility of a higher return. In TD Canada Trust, investors should take a look into Market Growth GIC(s) and further into that Security GIC Plus. Such security deals offer rates which are, even at their minimum, better than other GIC investment
When the sales are increased for his division, bonuses could be paid to the managers. Frank Campbell reviewed the purchase orders received from November and December. He wanted to determine if any shipments to the customers before December 31 may increase their sales. The alternative way to report sales was to increase sales by sending out two shipments to customers. Although the customers only needed the shipment the following year, this would be a way to exceed the targeted budget.
Explain why economies of scale are important to companies such as McDonald’s and GBK. Economies of scale gives big companies access to a larger market by allowing them to operate with greater geographical reach. Often, large firms in industries with high fixed costs can take advantage of savings that smaller firms cannot. Economies of scale characterizes a production process in which an increase in the scale of the firm causes a decrease in the long run average cost per unit. Economies of scale can be enjoyed by any size firm expanding its scale of operation.
Briefly describe the financial planning model and outline what it is designed to achieve. Give an example of a change in the social and economic context and an example of a change in an individual’s life course which might impact upon the ‘assess’ stage of an individual’s financial planning. The financial planning model aim is to achieve an end goal(s) (Brown and Shipman, 2012). Goals do not always have financial implications, but many do. The goals that people create can vary on many factors, from the social background, religious beliefs, economic factors etc.
Incentives are rewards that are linked to >specific long-term goals of the organization. The most common long-term incentive is the stock option, which either gives the executive free company stock, or allows him or her to purchase company stock at a reduced price for a period of time. These stocks become more valuable as the company improves financially, and therefore, ownership of stock is intended to encourage the executive to make the organization more profitable. Executives can then sell these stocks at a later time when they have appreciated in value, therefore providing compensation beyond the employee's tenure with the organization. Recent news stories detailing company failures in which unethical accounting practices and artificial inflation of stock prices caused lower-level employees to lose investments in company stock have raised concerns about the ethics of granting large numbers of stock options to
This savings can always be diverted into purchasing more property and further expanding my scope. Another way to make a dollar in this business is to offer to look after the property that does not belong to you. Other owners will higher my resources and skills in property management to run their business. The more diverse I can be the more money I will make. However the more diverse I become the more employees I will need to higher.
The profit percentage of assets varies by industry, but in general, the higher the ROA the better. We can see a good trend over years in the company. Comments: Return on equity (ROE) is a measure of profitability that calculates how many dollars of profit a company generates with each dollar of shareholders' equity. The formula for ROE is: ROE is more than a measure of profit; it's a measure of efficiency. A rising ROE suggests that a company is increasing its ability to generate profit without needing as much capital.
By obtaining my MBA and maybe entering a doctoral program, is something I must also do to ensure my success in today’s workforce. The job I have now depends upon writing a grant proposal and getting it funded through the federal government every four years, but the federal government can stop funding this program in a moment’s notice. And because of this, the advantages for me getting an MBA outweighs the scarifies I have to make to get an MBA. As far as the advantages to obtaining an MBA, according to Conde (n.d.) are: “the opportunity to increase ones salary,
Furthermore, students will get the chances to get a higher paid job in a company if they pursue their studies in a college till a Degree programme is achieved. A career which is an occupation undertaken for a significant period of a person's life is the most important thing to determine a good future, so a student needs a career over a good job and it can lead them to a perfect life later on. Besides that, they may also get a chance to gain a better income to lead a better life. Second, students can also build a strong social interaction among