New Age Makeup Produces Face Cream

question 20

Multiple Choice

New Age Makeup produces face cream. Each bottle of face cream costs $10 to produce and can be sold for $13. The bottles can be sold as is, or processed further into sunscreen at a cost of $14 each. New Age Makeup could sell the sunscreen bottles for $23 each.

• A) Face cream must be processed further because its profit is $9 each.
• B) Face cream must not be processed further because costs increase more than revenue.
• C) Face cream must not be processed further because it decreases profit by $1 each.
• D) Face cream must be processed further because it increases profit by $3 each.

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Definitions:

Reward Power

The ability of a person to influence others by offering or withholding rewards.

Pay Raises

An increase in the wage or salary provided to an employee, often based on performance or market conditions.

Promotions

The act of advancing an employee to a higher position or rank within an organization, often accompanied by increased responsibilities and salary.

Communication Behaviors

The ways in which leaders share information, provide feedback, and facilitate effective dialogue with their teams.