The margin of safety ratio
a. is computed as actual sales divided by break-even sales.
b. indicates what percent decline in sales could be sustained before the company would operate at a loss.
c. measures the ratio of fixed costs to variable costs.
d. is used to determine the break-even point.
b. indicates what percent decline in sales could be sustained before the company would operate at a loss.
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Mariano is looking for a location for his firm. He really likes a location on Elm Street, but he is concerned that his costs will rise each year. Mariano is likely considering _____________ the Elm Street location
a. Building on b. Buying c. Renting d. It's impossible to tell.
Strategic marketing planning focuses on identifying market segments and a designing targeting strategy.
a. true b. false