Discuss Why the Variable Cost of Digital Products Is Extremely

question 37

Short Answer

Discuss why the variable cost of digital products is extremely low.

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Definitions:

Income From Operations

The income earned from the core business operations of a company, excluding non-operational income and expenses.

Invested Assets

Assets consisting of money or other items of value that are put into financial instruments or projects with the expectation of achieving income or profit.

Return On Investment

A performance measure used to evaluate the efficiency of an investment by comparing the amount of return relative to the investment’s cost.

Sales To Investment

A ratio that measures the return on investment by comparing the sales generated to the amount of investment made.