Question
Assignment : suggestions for further resources, questions of clarification, or providing context and insight. Avoid simple posts of agreement; if you agree, explain why, and
Assignment: suggestions for further resources, questions of clarification, or providing context and insight. Avoid simple posts of agreement; if you agree, explain why, and then thoughtfully further the conversation.
Post: PepsiCo versus Wal-Mart I would expect Wal-Mart to have a higher contribution margin, simply due to the revenue the company brings in on multiple products vs PepsiCo which products are probably also sold in Wal-Mart. Amazon.com versus Macy's I would expect Amazon.com to have a higher contribution margin than Macy's, for similar reasons as above, also due to Amazon.com being online, it creates fewer variable costs and therefore the contribution margin for Amazon.com would be increased. Macy's has an online shopping option; however, the majority of sales are done in store. The costs related to this cause the decrease in the contribution margin. Safeway versus Ford Motor Company I would expect Ford Motor Company to have a higher contribution margin than Safeway. The reason for this is because their product cost is much higher, it would take Safeway to sell a lot of groceries to go head-to-head with this company. Delta Airlines versus Burger King I would expect Delta Airlines to have a higher contribution margin, due to the cost of airline tickets, the amount of people who travel vs Burger King which tends to be lower cost fast food. If a company wanted to change their contribution margin, it is possible. Said company would have to lower costs i.e., Production. "Break-even point (BEP) is a term in accounting that refers to the situation where a company's revenues and expenses were equal within a specific accounting period. It means that there were no net profits or no net losses for the company - it "broke even". BEP may also refer to the revenues that are needed to be reached in order to compensate for the expenses incurred during a specific period." (Break-even point (BEP) 2022) Considering Matthew 25: 1-13, it is important to plan and prepare for anything in life. In this verse the 5 fools brought lamps but forgot to bring oil to light.
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