An open economy interacts with the rest of the world through its involvement in world markets for goods and services and world f

Answer:

Both divisions are showing equal performance with an ROI of 14%.

Explanation:

The financial figures given have been organized as follows:

                                      Consumer ($)            Commercial ($)

Sales revenue                         22,000                    37,000

Divisional income                       3,850                     3,885

Divisional investment                27,500                   27,750

Current liabilities                      1,000                     800

R&D                                          1,000                   1,000

The resulting calculations are as follows:

Divisional ROI = Divisional income / Divisional investment

Consumer division ROI = $3,850 / $27,500 = 0.1400, or 14%

Commercial division ROI = $3,885 / $27,750 = 0.1400, or 14%

This illustrates that investment returns are equal at 14% for both divisions.

Answer:

The RB37 likely finds itself in the decline phase of the product life cycle.

Explanation:

The decline phase of a product's life cycle indicates a decrease in revenue attributed to market oversaturation, intense competition, and shifting consumer demands. During this phase, businesses may consider several strategies: they might opt to cease producing the product, transfer manufacturing rights to another company that can compete more effectively, or maintain the product by introducing new features, exploring alternative uses, or reaching out to new markets via exports. It is typical during this stage for packaging to claim “new and improved.”