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Team Instructions: Divide the class into teams of three or four people.Each team member should work the following problem separately outside of class.Then give the students time in class to compare answers with their teammates and put together a final correct copy of the problem.Each team should turn in only one copy of the problem for grading.All team members will receive the same grade.Provide students with copies of real merchandising companies' annual reports,or give students the Web addresses of real merchandising companies and ask them to print out the annual reports.All team members should work with the same company's annual report.
Answer the following questions using the annual report assigned to your team.Turn in your annual report along with your answers.
Maturity Stage
The phase in a company's or product's lifecycle when growth stabilizes and earnings are consistent.
Capacity Utilization
A metric that measures the extent to which a firm or economy is using its potential output capacity, often expressed as a percentage.
Breakeven Number
The point at which total cost and total revenue are equal, resulting in no net loss or gain, and is often used to analyze the financial viability of a project or business.
Corporate Tax Rate
The percentage of a corporation's profit that is paid to the government as tax, varying by country and sometimes by profit level.
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