In determining product cost, what concerns does a manufacturing firm have when contracting with a government agency?
What will be an ideal response?
Answer: Government contracts often reimburse on the basis of "cost of a product" plus a prespecified profit margin. Government agencies provide detailed guidelines on the cost items they allow and disallow when calculating the cost of a product. For example, expenses such as marketing, distribution, and customer service costs may be prohibited.
Business
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The anticipated industry environment is fundamentally___________If it presents a company with good opportunity for ___________ ______________ ____________.
Fill in the blank(s) with the appropriate word(s).
Business
What is the name given to the ratio of investment to gross cash flows?
A) payout ratio B) retention ratio C) plowback ratio D) debt to equity ratio
Business