If Alexander denies consider moving to a new market in Indonesia and has these 3 options 1.
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Question:
If Alexander denies consider moving to a new market in Indonesia and has these 3 options
1. Use a third manufacture locally for their busses
2. import the chassis and build the body locally
3.import the complete vehicle
consider the capital investment needed which ones has the highest cost or lowest cost or Well option 1 need more capital investment or would pay it at once or in instalment .... Operating cost like spare parts and repair job would it be costly here or on the other options. categorise it as ( high, medium, low ).
And why is profit & cost( operating or capital investment ) for them increase/decrease on the past years. use their financial information down below
Year | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 |
Turover | 437867 | 410196 | 556751 | 630797 | 577007 | 601240 |
Cot of Sales | -399249 | -381741 | -486208 | -536963 | -487111 | -512837 |
Gross Profit | 38618 | 28455 | 70543 | 93834 | 89896 | 88403 |
Total Administrative expenses | -50811 | -71194 | -59496 | -41591 | -39742 | -40835 |
Operating loss | -20328 | -35689 | -3906 | 19966 | 10450 | 10756 |
Related Book For
Cornerstones of Managerial Accounting
ISBN: 978-0324660135
3rd Edition
Authors: Mowen, Hansen, Heitger
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