The asset turnover will increase when their profit margin increases, the high profit margin is because they are currently expanding . 2. To a certain extent, the high level of popularity was from their effective market analysis. In 2012 superstyles spent 20% of their profits on marketing. Compared to the industry average superstyles spends 50% more on marketing, however I think it is very useful as they are expanding and don’t have the brand image and reputation yet.
The real wage and rental price of capital also increase by 10 percent. Question 4 (15 marks) a) Public saving equals T-G. An increase in government spending, G, reduces public saving. b) Private saving equals Y-T-C. An increase in government spending does not affect private saving. c) National saving equals Y-C-G. An increase in government spending reduces national saving by an amount equal to the increase in government spending. d) The equilibrium interest rate increases to bring desired investment into equilibrium with the reduced quantity of national saving.
They also faced increased operational expenses of selling, general, and administrative costs by 0.49%. Perhaps the biggest impact on their profit margin is the cost of revenues that were associated with their sales, an increase of 0.92% which affected their EBITDA (Earnings before Interest Tax Depreciation and Amortization). Overall, these show operating expenses as a key issue for the company as the operating income shrank by 2.72% in just a two year period. When analyzing the whole foods balance sheet in common size it shows they have been reducing their short term debt. In 2007, they reduced their current installments of long-term debt by 0.76%, accounts payable by 1.61%, and other current liabilities by 1.35% in just a year as portion of their Liabilities and Shareholders’ Equity.
Discounting the amount of waste that is recycled still leaves a difference of more than double in the waste creation between the years, but the exponential growth in the recycling amount provides information into a changing attitude. Although waste and recycling are only a subset of the ecological issues faced across the globe today, this information provides insight into the mindset and changing values relative to the environment. The improvement in the recycling rate didn’t occur over a year or even in the last decade, but has steadily climbed over the last 40 years. We can expect to find similar adoption rates across all environmental solutions, as it generally takes time for the information and education to spread, and additional time for it to be broadly accepted. As such, the most important question we can look to answer is not, whether one solution is better than another, but if we applied any and all possible solutions to the issues, is there time to fix the problems we have caused.
22 LOWE’S 2010 AnnuAL REpORt Income tax provision Our effective income tax rate was 36.9% in 2009 versus 37.4% in 2008. The decrease in the effective tax rate was primarily due to favorable state tax settlements. LOWE’S BUSINESS OUTLOOK as of february 23, 2011, the date of our fourth quarter 2010 earnings release, we expected total sales in 2011 to increase approximately 5%, which includes the 53rd week. The 53rd week was expected to increase total sales by approximately 1.6%. We expected comparable store sales to increase 1% to 2% in 2011.
Horizontal Analysis *** (see accompanying Excel Spread Sheets) A1a. Strengths and Weaknesses of Horizontal Analysis (amounts in millions except per share values) The First Strength: The Home Depot, Inc. Net Sales show a significant increase in growth from $74,754M in 2013 compared to $78,812 in 2014. The company increased sales by $4,058 a 5.4% growth. This is a comparable growth to 6.19% for the prior fiscal year 2013. This increase in net sales is supported by a decline in cost of sales.
In 2011, bars/cafes grew by 4% in terms of current value to reach sales of 4.7 billion dollars of which 15% is revenue from smoothies sold in Canada bars. The smoothie bars have shown an increasing trend in the recent past, and this explains a corresponding growth in their market. There is also a fierce competition in the organic food market. In 2011, around 174 new vegetable /fruit and nectar products entered the US market. It was a threat to Bolthouse Farm despite the fact that the company produces quality beverages.
To achieve the company’s stated CSR objectives REI has instituted an employee commuting policy, climate-neutral travel framework, and improved shipping procedures based on the greenhouse emission metrics. As a result, while 2010 sales increased 14% from 2009, its total climate impact increased by less than 7.3%. The addition of four new stores and moving two locations to larger spaces, has allowed REI to decrease its energy consumption by 2.4%. Beyond energy efficiency initiatives, REI took additional steps to decrease waste and its total paper consumption. Although REI admits it still has a very high rate of paper usage, because of its direct mail campaigns and catalogs, the company has taken steps to optimize its catalogs, use electronic means of advertising such a mobile phone and internet and also increased the share of FSC-certified
The demand for organic foods continues to be higher there than almost anywhere else in the United States. Five years ago, California accounted for 36% of organic sales in the United States, which was by far the most of any state. In 2015, California is still the leading produce in organic fruits and vegetables. The USDA claims that city-dwellers and those on the West Coast are the two demographics that are most likely to eat organic food (Billings, 2015). Finally, downswings in the economy as a whole may influence consumers to purchase more fiscally conservative products affecting TFM and WFM’s same-store sales and profit (Perkins, 2015).
To put this into perspective, according to Hinojosa-Ojeda's The Economic Benefits of Comprehensive Immigration Reform, "the budget of the U.S Border Patrol has increased by 714 percent, from $326 million to $2.7 billion in 2009." Moreover, "the cost ratio of Border Patrol apprehensions has increased by 1,041 percent, from $272 in 1992 to $3,102 in 2009." In addition, "the number of Border Patrol agents has grown by 390 percent, from 3,555 in 1992 to 17,415 in 2009" (Immigration Reform). The statistics are showing that as the U.S increases spending on immigration enforcement, the cost of capturing an illegal immigrant sky rockets while the number of agents America hires blows up the charts. As a result, the "budget for U.S. Customs and Border Protection has in total increased by 92 percent from $6.0 billion in 2003 to $11.3 billion in 2009" (Immigration Reform).