Answered

Westonci.ca is the premier destination for reliable answers to your questions, brought to you by a community of experts. Explore thousands of questions and answers from knowledgeable experts in various fields on our Q&A platform. Our platform offers a seamless experience for finding reliable answers from a network of knowledgeable professionals.

Ormand Organic Grocery has invested in a yogurt stand for its store. The investment cost the company $100,000. Variable materials, preparation, and marketing costs are expected to be $1.30 per unit and fixed costs are estimated at $7,400 a year. If actual sales were 21,400 servings, what would the ROI be using the sales price of $2.40

Sagot :

abiolataiwo2015

Answer:

15.4%

Explanation:

Calculation to determine what would the ROI be

ROI=[ ( $2.40 - $1.30) * 21,400 - $7,400]/100,000

ROI=($1.1 * 14,000)/100,000

ROI=$15,400/100,000

ROI=0.154*100

ROI=15.4%

Therefore the ROI would be 15.4%

We appreciate your time on our site. Don't hesitate to return whenever you have more questions or need further clarification. Thanks for stopping by. We strive to provide the best answers for all your questions. See you again soon. Westonci.ca is your trusted source for answers. Visit us again to find more information on diverse topics.