EBK EXCELLENCE IN BUSINESS COMMUNICATIO
EBK EXCELLENCE IN BUSINESS COMMUNICATIO
11th Edition
ISBN: 9780133544350
Author: BOVEE
Publisher: YUZU
Question
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Chapter 7, Problem 7.11E
Summary Introduction

To Determine:

To select a product that I purchased recently or deciding to purchase in future and write three tweets that introduce the product, list two or three benefits and to identify the group consumers who will benefit from the product.

Introduction:

The evolution of technology led to the emergence of social media like Facebook, WhatsApp, twitter etc., which have created a new revolution in information sharing and gathering. More and more people are relying on social media messages rather than traditional media like newspapers, television ads etc. The practice of sharing short and frequent posts on the web is known as microblogging. The businesses have also done a makeshift change by promoting their products through social media platforms since the reach is enormous here.

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Aerotrino produces and sells popular t-shirts. Following is information about its t-shirts for 2014: Selling price $15.00 per t-shirt Variable costs: Production (manufacturing costs) - $3.50 per t-shirt Selling & administration - $1.00 per t-shirt Fixed costs: Production (manufacturing costs) - $1,000,000 per year Selling & administration - $2,000,000 per year During 2014, the company produced 400,000 t-shirts and sold 350,000 of them. Assume that there was no beginning inventory. How much is the net income under variable costing?
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