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Author Question: Lag and straddle strategies for increasing capacity have what main advantage over a leading strategy? (Read 181 times)

daltonest1984

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Question 1

A product sells for $5, and has unit variable costs of $3. This product accounts for $20,000 in annual sales, out of the firm's total of $60,000. When performing multiproduct break-even analysis, the weighted contribution of this product is approximately
◦ 0.200.
◦ $1.667.
◦ 0.40.
◦ 0.667.
◦ 0.133.

Question 2

Lag and straddle strategies for increasing capacity have what main advantage over a leading strategy?
◦ They delay capital expenditure.
◦ They increase the need for capital expenditure.
◦ They increase demand.
◦ They are cheaper.
◦ They are more accurate.


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Marked as best answer by daltonest1984 on Dec 3, 2019

vseab

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daltonest1984

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Reply 2 on: Dec 3, 2019
Great answer, keep it coming :)


sarah_brady415

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

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