NEKP IncSells Two Versions of Its Product, Standard and Deluxe

question 19

Multiple Choice

NEKP Inc.sells two versions of its product, standard and deluxe.The standard model has a 15 percent profit margin and the deluxe model has a 17 percent profit margin.The standard model has a 30 percent contribution margin and the deluxe has a 23 percent contribution margin.If other factors are equal, which product should NEKP emphasize to its customers?

• A)the standard model
• B)the deluxe model
• C)Selling either results in the same additional income for the company.
• D)Not enough information is given.

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Definitions:

Internal Nares

Openings located inside the nasal cavity, also known as choanae, they connect the nose to the throat.

Nasopharynx

The upper part of the throat located behind the nose, connecting the nasal cavity to the throat and playing a role in respiration and vocalization.

Epiglottis

A flap of cartilage located at the root of the tongue, which is depressed during swallowing to cover the opening of the windpipe.

Thyroid Cartilage

The largest cartilage of the larynx, forming the Adam's apple, which protects the vocal cords.