calculate the monthly net contribution (in thousands of euros) and the return on investment for marketing...
calculate the monthly net contribution (in thousands of euros) and the return on investment for marketing overall (i.e. advertising and promotion together)
| Advertising (K €) | Promotion (K €) | Sales (K Units) | Price (€/unit) | Contribution Margin (€/unit) | marketing expenses | |
| 1-Nov-14 | 1050 | 2600 | 2810 | 7.1 | 1.67 | 3650.00 |
Homework Answers
Given data,
Sales in thousand units =2810. Contribution margin p.u.=1.67
Since, Net contribution = sales unit × contribution margin p.u
Net contribution= 2810k × 1.67 = €4692.7k.
Return on investment for marketing ie.
ROMI = (Net contribution- marketing Exp.) / Marketing expenses
Thus ROMI % = (€ 4692.7k - €3650k) /€3650k =28.567%
Thus, Return on investment for marketing = 28.567%.
Add Answer to:
calculate the monthly net contribution (in thousands of euros)
and the return on investment for marketing...
Calculate the Marketing Return on Investment (ROI) for Apple. (7.5 pts) Calculate the Marketing Return on...
Calculate the Marketing Return on Investment (ROI) for Apple. (7.5 pts) Calculate the Marketing Return on Investment (ROI) for Microsoft. (7.5 pts) Which company has the best ROI? (5 pts). Explain what ROI measures. (5 pts) In 2014, Apple reported profits of more than $50 billion on sales of $182 billion. For that same period, Microsoft posted a profit of almost $30 billion on sales of $88 billion. So Apple is a better marketer, right? Sales and profits provide information...
Percent of Selling price Variable expenses Contribution margin Per Unit $150 60 $ 90 Sales 1008...
Percent of Selling price Variable expenses Contribution margin Per Unit $150 60 $ 90 Sales 1008 40% 60% The company is currently selling 5,200 units per month. Fixed expenses are $208,000 per month. The marketing manager believes that a $6,600 increase in the monthly advertising budget would result in a 150 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change? Multiple Choice decrease of $6,900 decrease of $6,600...
Use the information provided below to calculate the Net Marketing Contribution (NMC) for Apple and Microsoft....
Use the information provided below to calculate the Net Marketing Contribution (NMC) for Apple and Microsoft. (Hint: Net Marketing Contribution (NMC) = net sales - cost of goods sold - marketing expenses (Because Gross Profit = net sales - cost of goods sold, just subtract marketing expenses from gross profit for NMC) What is the NMC for Apple? (7.5pts) What is the NMC for Microsoft? (7.5pts) Which company has the best NMC? (5pts) What does the NMC measure? (5pts) In...
Data concerning Homme Corporation's single product appear below: Selling price. .............. Variable expenses......... Contribution margin ........
Data concerning Homme Corporation's single product appear below: Selling price. .............. Variable expenses......... Contribution margin ..... Per Unit $190 114 $ 76 Percent of Sales 100% 60% 40% The company is currently selling 2,000 units per month. Fixed expenses are $130,000 per month. Consider each of the following questions independently. This question is to be considered independently of all other questions relating to Homme Corporation. Refer to the original data when answering this question. The marketing manager believes that a...
Data concerning Homme Corporation's single product appear below: Selling price ............. Variable expenses ......... Contribution margin...
Data concerning Homme Corporation's single product appear below: Selling price ............. Variable expenses ......... Contribution margin ..... Per Unit $190 114 $ 76 Percent of Sales 100% 60% 40% The company is currently selling 2,000 units per month. Fixed expenses are $130,000 per month. Consider each of the following questions independently. This question is to be considered independently of all other questions relating to Homme Corporation. Refer to the original data when answering this question. The marketing manager believes that...
TB Problem Qu. 6-234 Data concerning Wislocki ... Data concerning Wislocki Corporation's single product appear below....
TB Problem Qu. 6-234 Data concerning Wislocki ... Data concerning Wislocki Corporation's single product appear below. Percent of Sales 1005 205 Per Unit $140 28 $112 Selling price Variable expenses Contribution margin 809 Fixed expenses are $1,055,000 per month. The company is currently selling 9,700 units per month Required: The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $10 per unit. In exchange, the sales...
Problem 2 Data concerning Neuner Corporation's single product appear below: Selling price Variable expenses Contribution margin...
Problem 2 Data concerning Neuner Corporation's single product appear below: Selling price Variable expenses Contribution margin Per Unit Percent of Sales S220 100% 88 40% $132 60% Fixed expenses are $425,000 per month. The company is currently selling 4,000 units per month Required: The marketing manager would like to cut the selling price by $11 and increase the advertising budget by $23,700 per month. The marketing manager predicts that these two changes would increase monthly sales by 400 units. What...
10.Gayne Corporation's contribution margin ratio is 12% and its fixed monthly expenses are $84.000. If the...
10.Gayne Corporation's contribution margin ratio is 12% and its fixed monthly expenses are $84.000. If the company's sales for a month are $738,000, what is the best estimate of the company's net operating income? Assume that the fixed monthly expenses do not change. A) $88,560 B)$4,560 C) $565,440 D) $654,000 11.Product Y sells for $15 per unit, and has related variable expenses of $9 per unit. Fixed expenses total $300,000 per year. How many units of Product Y must be...
Using the information provided below. Calculate the Marketing Return on Sales (ROS) for Apple. (7.5 pts) Marketing...
Using the information provided below. Calculate the Marketing Return on Sales (ROS) for Apple. (7.5 pts) Marketing Return on Sales = Net Marketing Contribution / Net Sales Calculate the ROS for Microsoft. (7.5 pts) Which company has the better ROS? (5 pts) What does the ROS tell us about the marketing efforts. (5 pts) In 2014, Apple reported profits of more than $50 billion on sales of $182 billion. For that same period, Microsoft posted a profit of almost $30 billion...
A Percent Per Unitof Sales Selling price Variable expenses $ 100 100% 61% 61 Contribution margin...
A
Percent Per Unitof Sales Selling price Variable expenses $ 100 100% 61% 61 Contribution margin $ 39 39% Fixed expenses are $80,000 per month and the company is selling 3,700 units per month. value: 9.09 points Required: 1-a. The marketing manager argues that a $8,500 increase in the monthly advertising budget increase monthly sales by $17,500. Calculate the increase or decrease in net operating in Net operating income 1-b. Should the advertising budget be increased? Yes O No Hints...
Percent of Selling price Variable expenses Contribution margin Per Unit $150 60 $ 90 Sales 1008 40% 60% The company is currently selling 5,200 units per month. Fixed expenses are $208,000 per month. The marketing manager believes that a $6,600 increase in the monthly advertising budget would result in a 150 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change? Multiple Choice decrease of $6,900 decrease of $6,600...
Data concerning Homme Corporation's single product appear below: Selling price. .............. Variable expenses......... Contribution margin ..... Per Unit $190 114 $ 76 Percent of Sales 100% 60% 40% The company is currently selling 2,000 units per month. Fixed expenses are $130,000 per month. Consider each of the following questions independently. This question is to be considered independently of all other questions relating to Homme Corporation. Refer to the original data when answering this question. The marketing manager believes that a...
Data concerning Homme Corporation's single product appear below: Selling price ............. Variable expenses ......... Contribution margin ..... Per Unit $190 114 $ 76 Percent of Sales 100% 60% 40% The company is currently selling 2,000 units per month. Fixed expenses are $130,000 per month. Consider each of the following questions independently. This question is to be considered independently of all other questions relating to Homme Corporation. Refer to the original data when answering this question. The marketing manager believes that...
TB Problem Qu. 6-234 Data concerning Wislocki ... Data concerning Wislocki Corporation's single product appear below. Percent of Sales 1005 205 Per Unit $140 28 $112 Selling price Variable expenses Contribution margin 809 Fixed expenses are $1,055,000 per month. The company is currently selling 9,700 units per month Required: The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $10 per unit. In exchange, the sales...
Problem 2 Data concerning Neuner Corporation's single product appear below: Selling price Variable expenses Contribution margin Per Unit Percent of Sales S220 100% 88 40% $132 60% Fixed expenses are $425,000 per month. The company is currently selling 4,000 units per month Required: The marketing manager would like to cut the selling price by $11 and increase the advertising budget by $23,700 per month. The marketing manager predicts that these two changes would increase monthly sales by 400 units. What...
10.Gayne Corporation's contribution margin ratio is 12% and its fixed monthly expenses are $84.000. If the company's sales for a month are $738,000, what is the best estimate of the company's net operating income? Assume that the fixed monthly expenses do not change. A) $88,560 B)$4,560 C) $565,440 D) $654,000 11.Product Y sells for $15 per unit, and has related variable expenses of $9 per unit. Fixed expenses total $300,000 per year. How many units of Product Y must be...
A
Percent Per Unitof Sales Selling price Variable expenses $ 100 100% 61% 61 Contribution margin $ 39 39% Fixed expenses are $80,000 per month and the company is selling 3,700 units per month. value: 9.09 points Required: 1-a. The marketing manager argues that a $8,500 increase in the monthly advertising budget increase monthly sales by $17,500. Calculate the increase or decrease in net operating in Net operating income 1-b. Should the advertising budget be increased? Yes O No Hints...
Most questions answered within 3 hours.
-
The highly pathogenic bacterium Clostridium
perfringens causes gangrene, a disease that results in the
destruction of...
asked 1 hour ago -
In the context of situation analysis, which of the following is
a category for analysis in...
asked 1 hour ago -
In a study of the gas phase decomposition of sulfuryl chloride
at 600 K SO2Cl2(g)SO2(g) +...
asked 1 hour ago -
75 g of 2-propanol (C3H8O) and 25 g of pentane are mixed in a
200 mL...
asked 1 hour ago -
The 2800-turn coil in a dc motor has an area per turn of 1.1 ×
10-2...
asked 1 hour ago -
Draw a combinational logic circuit diagram with a symbol inside
the box for two I/P of...
asked 1 hour ago -
The cliché we use quite a lot in finance is: there is a need to
maximize...
asked 1 hour ago -
In class we discussed the addition of HCl to alpha pinene. Would
you expect one or...
asked 1 hour ago -
I'm trying to explain to my daughter to help her please help
me
I tagged the...
asked 1 hour ago -
You want to accumulate $28,000 in 10 years using annual
payments, the first one in a...
asked 1 hour ago -
1. Name the 4 products obtained from the reactions of the light phase of photosynthesis.
2....
asked 1 hour ago -
An electron in an excited hydrogen atom makes two transitions.
First the electron drops from the...
asked 2 hours ago