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riadik2000
19 days ago
13

Extreme Adventurer, an outdoor nature magazine, marketed to potential customers who recently purchased camping equipment and fou

r-wheel drive trucks. At the end of its marketing message pitch, the magazine exclaimed, “Tired of sitting in front of your computer? Explore the exciting outdoor world of nature. Subscribe today!” What does this call to action have the potential to do?
Business
1 answer:
marusya05 [3.7K]19 days ago
7 0

Response:

Targeting potential clients who have made recent purchases of camping gear and four-wheel drive vehicles.

Rationale:

  • The promotional message holds discernible promise in engaging customers and encouraging them to reach out for outdoor activities and exploration.
  • The magazine seeks to attract readers by posing statements such as being weary of staying in front of their screens.
  • Individuals who typically remain indoors for various reasons may find value in utilizing their newly acquired camping gear and all-terrain vehicles.
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Response:

The return on equity (ROE) would be altered by 8.52%

Clarification:

Initially, we determine the existing ROE utilizing the Dupont Formula, yielding ROE as follows:

ROE = Net Income/Sales * Sales/Total Assets * Total Assets/Equity

or

ROE = Net Profit Margin * Total Assets Turnover * Equity Multiplier

  • Current ROE = 10600/295000 * 1.4 * 1.75 = 0.0880 or 8.8%

The condition states that net income might rise to 20850 while other factors remain unchanged. Therefore, to find the new ROE, we compute the updated Net Profit margin, keeping the total assets turnover and the equity multiplier constant due to the absence of sales, assets, or capital structure changes.

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  • The ROE would have shifted by 17.32 - 8.80 = 8.52%
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18 days ago
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The gain amounts to $14,100.
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1 month ago
Paulo owns a few shares of stock in a large and diversified firm. He realizes that the CEO of the company is responsible for a m
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In the infamous Coke-New Coke taste test, 54 percent of consumers, using a blind taste test, preferred the New Coke formula to t
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quantitative marketing research method

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