Question
Annual sale of a company is $600 thousand. The company spends $400 thousand for raw material purchasing, $95 thousand for the salary of labors, and
Annual sale of a company is $600 thousand. The company spends $400 thousand for raw material purchasing, $95 thousand for the salary of labors, and $110 thousand for other fixed overhead. If the procurement team purchases the raw material at 7% discount rate, what will be the profit leverage effect?
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Essentials of strategic management
Authors: Charles w. l. hill, Gareth r. Jones
3rd Edition
1111525196, 978-1111525194
