Avon was known as the company that sold cosmetics door-to-door for a long time. In order to grow and reach new markets it began to sell jewelry through its door-to-door sales force. This involved marketing new products through existing channels of distribution. It also is now selling its products by mail order and has opened retail stores. Avon is an example of a company effectively using which strategy? A. product development strategy
B. diversification strategy
C. market penetration strategy
Answers
Final answer:
Avon is effectively using the diversification strategy by expanding its product offerings and distribution channels.
Explanation:
Avon is an example of a company effectively using the diversification strategy. Diversification involves entering new markets or offering new products to reach a broader range of customers. Avon expanded its product offerings from cosmetics to jewelry and adopted various distribution channels such as door-to-door sales, mail order, and retail stores to reach different customer segments.
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Related Questions
Bruce is a single father with 1 child. He can work as a bagger at the local grocery store for $6 per hour up to 1,200 hours per year. He is eligible for welfare, and if he does not earn any income, he will receive $15,000 a year. If Bruce works, the government policy is to deduct 60 cents from his welfare stipend for every $1 that he earns in income. With this policy in place, if Bruce works 600 hours, his income will be
The S&P 500 index delivered a return of 10%, 15%, 15%, and -30% over four successive years. What is the arithmetic average annual return for four years? A) 3.00% B) 3.50% C) 2.25% D) 2.50%
A city's Enterprise Fund issued revenue bonds with a face value of $10,000,000. The bonds were issued with a 2% premium and the issuance costs totaled $150,000. When the bonds are issued, the Enterprise Fund will report total other financing sources in the amount of $0. $9,850,000. $10,000,000. $10,200,000.
Young Pharmaceuticals is considering a drug project that costs $2.42 million today and is expected to generate end-of-year annual cash flows of $211,000 forever. At what discount rate would the company be indifferent between accepting or rejecting the project?
Answers
Answer:
Farmer and Taylor's respective shares are $102,500 and $32,500
Explanation:
For computing their respective shares, first we have to calculate the remaining income of each partner is shown below:
Remaining income = Net income - received amount
= $135,000 - $70,000
= $65,000
It will be divided equally in 1:1 ratio
So, the remaining income would be
Farmer = $32,500
Taylor = $32,500
Now, Their shares would be
Farmer = Salary received + his share of income
= $70,000 + $32,500
= $102,500
And, for Taylor it would be $32,500
Answers
Answer: Time period
Explanation:
From the question, we are informed that Johanna recently took over her father's business and she considered changing the date when she records and reports the business' financial results but her accountant advised her not to do this.
The accounting principle that is the basis of the accountant's advice is time period principle. The time period principle states that information regarding a particular transaction shouldn't be changed when it has been reported for at a particular time period.
Answers
Answer:
b. debit to Loss on Bond Retirement of $1,000.
Explanation:
Options are "A. credit to Gain on Bond Retirement of $1,000. B. debit to Loss on Bond Retirement of $1,000. C. debit to Bonds Payable of $101,000. D. credit to Cash of $100,000."
When a bond is retired before maturity a gain or loss may arise. In such case if the price paid to retire the bonds is greater the carrying amount of bonds then the company need to record a loss on retirement in the book. On the other hand if the price paid is less than the carrying amount of the bonds at retirement, then the company records a gain on retirement of bonds.
2. Sep 8 Purchase painting equipment for $21,000 cash.
3. Sep 12 Purchase office supplies on account for $3,500.
4. Sep 15 Pay employee salaries of $4,200 for the current month.
5. Sept 19 Purchase advertising to appear in the current month for $1,000 cash.
6. Sep 22 Pay office rent of $5,400 for the current month.
7. Sep 26 Receive $15,000 from customers in (1) above.
8. Sep 30 Receive cash of $6,000 in advance from a customer who plans to have his house painted in the following month.
a) Record each transaction. The company uses the following accounts: Cash, Accounts Receivable, Supplies, Equipment, Accounts Payable, Deferred Revenue, Common Stock, Retained Earnings, Service Revenue, Salaries Expense, Advertising Expense, Rent Expense.
Answers
Answer:
Explanation:
The journal entries are shown below:
1. Account receivable A/c Dr $20,000
To Deferred revenue A/c $20,000
(Being the paint house on account is recorded)
2. Equipment A/c Dr $21,000
To Cash A/c $21,000
(Being the equipment is purchased for cash)
3. Supplies A/c Dr $3,500
To Accounts Payable A/c $3,500
(Being the office supplies are purchased on credit basis)
4. Salaries expense A/c Dr $4,200
To Cash A/c $4,200
(Being the employees salaries are paid for cash)
5. Advertising expense A/c Dr $1,000
To Cash A/c $1,000
(Being the advertising are purchase for cash)
6. Rent expense A/c $5,400
To Cash A/c $5,400
(Being the rent is paid for cash)
7. Cash A/c Dr $15,000
To Account receivable A/c $15,000
(Being the cash is received)
8. Cash A/c Dr $6,0000
To Deferred revenue $6,000
(Being the cash is received)
Final answer:
The transactions of the Boilermaker House Painting Company are recorded considering the cash flow, accounts receivable, and deferred revenues with specific monetary changes respective of each transaction.
Explanation:
The transactions for Boilermaker House Painting Company can be recorded as follows:
- Accounts Receivable $20,000 | Service Revenue $20,000 - the company painted houses on credit.
- Equipment $21,000 | Cash $21,000 - the company purchased equipment for cash.
- Supplies $3,500 | Accounts Payable $3,500 - the company purchased office supplies on credit.
- Salaries Expense $4,200 | Cash $4,200 - the company paid employee salaries.
- Advertising Expense $1,000 | Cash $1,000 - the company purchased advertising for cash.
- Rent Expense $5,400 | Cash $5,400 - the company paid office rent.
- Cash $15,000 | Accounts Receivable $15,000 - the company received cash from customers.
- Deferred Revenue $6,000 | Cash $6,000 - the company received cash in advance from a customer.
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Answers
Answer:
Omitting.
Explanation:
To omit means to leave something out, or to fail to make use of something. It involves the removal of items that are not relevant for a particular purpose. For example is a business is reporting financial performance it may decide to omit details of a sports competition it hosted, because this information is not relevant.
Isabel segregates mails into those that are vital for her day-to-day tasks and those mails that are of little importance. She redirects mails of no significance to a junk folder.
She is omitting irrelevant mails.
Answers
Answer: Dwayne's investment will be worth $89,961.02 after the last annuity payment is made.
Since Dwayne contributes $4700 at the beginning of each year, we need to calculate the future value of an annuity due.
We use this formula for our calculations:
Substituting the values we get,