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manager of a small gasoline station observes that while gasoline sales have been steady,the service side of the business has fallen off,and mechanics are often idle.He decides to offer a promotion-a $20 off coupon for an oil change that is to be mailed to 800 households within a two-mile radius from the gas station.The cost of printing and mailing is $1,000.The normal cost of an oil change is $40.Materials and labor per oil change cost $15.How many additional maintenance service jobs must result for the promotion to break even?
Endowments
Funds donated to institutions with the stipulation that the principal remains intact and only the investment income is spent.
After-Tax Rate
The rate of return on an investment after accounting for taxes, more reflective of the net gain to the investor.
Safety Of Principal
The assurance that an investment will be repaid or retained, primarily concerning the preservation of invested capital.
Diversified Portfolio
An investment strategy that involves spreading investments across various asset classes to reduce risk.
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