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Q. Explain Operating profit margin - performance ratios?
Operating profit mar = (PBIT / Turnover) x 100%
This is the ratio of operating profit to sales or turnover. A high operating profit margin is due higher sales prices or low costs. Other factors to consider include inventory valuation, overhead allocation, bulk discounts and sales mix.
Low profit margins are not normally good news as it suggests poor performance. But there may be other factors to consider relating to the business activities and industry. For example the company may be entering a new market which requires low selling prices.
Q. What do you mean by Trade payable days? Trade payable days (turnover) {Yearend trade payables / Credit purchases (or cost of sales)} x 365 days This is the length
Product flows, information flows, service flows participants' roles
what is the greatest takeaway from this case in terms of strategic management
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do all organisations need strategic plan/ and what are the characteristics of good strategic plan
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i have many question i need to apply it on Saudi company and i need your help
Q. Divisional structures – product organisation? The functional structure is normally adopted by an entrepreneurial structure e.g. small business, because the organisation grow
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