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What else can I help you with?
Do variable costs per unit decrease when sales increase?
Variable cost per unit remains same per unit and has no impact on increase or decrease of sales.
What causes a decrease in cash flow?
Many things can cause a decrease in cash flow including decrease in sales, increase in expenses, not collecting accounts receivables timely, and increase in interest rates.
What happens to the contribution ratio when the components change?
The contribution ratio is the relationship between total sales revenue and total variable costs. If the components change, such as an increase in sales revenue or a decrease in variable costs, the contribution ratio will increase. Conversely, if sales revenue decreases or variable costs increase, the contribution ratio will decrease.
What is the effcect of cost of sales on gross profit?
Cost of sales influances the gross profit to decrease or increase as following formula: Gross profit = Sales - Cost of sales
Can account receivable and cash flow decrease even though sales increase?
no, both increases
What is objectives of the firm?
Succeed 1. Increase sales 2. Decrease costs 3. Operate efficiently 4. Increase profit
3 examples of how to make a profit?
# Increase Sales # Decrease Expenditure # Bring out a new service/product?
Do increase of notes receivable increase or decrease cash flow?
Increase in notes receivable reduces the cash flow because if sales are made in cash then cash will immediately increase but if sales are made on credit it means company has not received the cash and that's why it reduces the cash.
Are the sales decreasing in Renault?
"Renault's financial results for the first half of 2011 indicates that their sales are up by 1.9%. In the past, there has been a decrease; however, the current statistics show an increase in sales."
What happens when sales increase and gross profit margin decrease?
A simple answer - expenses increased somewhere within the business. If sales increase, then so should the profit margin theoretically. If the profit margin decreases, then expenses increased.
What happens to sales when fixed costs decrease?
When fixed costs decrease, what does this do for sales?
Sales decrease 70 to 63 what is the sales percent?
The decrease in sales is 7 based on 70. The percentage decrease is 100 x 7/70 = 10%
