Assignment 2 - EL5732.docx - Assignment 2 (20 points)...

Assignment 2
(20 points)
Assignment 2: Costs and Profit
Instructions
Save this file in your course folder, and name it with Assignment, the section number,
and your first initial and last name. For example, Jessie Robinson's assignment for
Section 1 would be named Assignment1JRobinson.
Type the answers to the assignment questions below. Use complete sentences unless
the question says otherwise. You will have more than one day to complete an
assignment. At the end of each day, be sure to save your progress.
Review Lesson 4 of the Course Overview for instructions about turning in your
assignments.
Assignment Questions
In Section 2, you learned about costs and profit. Now, you'll apply what you
learned.
1. Choose a real or made up example of a company, and describe at least
three variable costs the company has. (1-3 sentences. 1.5 points)
Let Sanguine Wines Ltd. refer to a hypothetical company for the purpose.
2. Choose a real or made up example of a company, and describe at least
three fixed costs the company has. (1-3 sentences. 1.5 points)
3. Is gross profit or net profit more important to consider when you're deciding
how successful and profitable a company is? Why? Explain. (1-3 sentences.

4. If you were running a company, describe at least two things you would do to
improve its productivity. (1-4 sentences. 2.0 points)