Corporate Profit Research Paper Example | Topics and Well Written Essays - 2000 words

Corporate Profit - Research Paper Example$3178(in thousands) with the authentic sales of $7812(in thousands), whereas of district arrive two is $3058 (in thousands) with the certain sales of $74809(in thousands). The northeasterly high society with the sales of $6812 (in thousands) has actual rude profit of $2478(in thousands). This district, since it has third largest sales is expected that it would have third larges profit margins also, but it is not so. The other districts like district number 4 has much than profit margins, $2590(in thousands) than the northeast district. The graph below shows the parity of various districts considering actual gross profit of various districts. District number 4 has same number of sales representatives as northeast district. It is this figure which ahs compelled the country sales motorbus to appoint a untested district sales manager so as to increase the sales margins of the company in that district. The actual gross profit of distri cts 5, 6 and 7 argon $2372(in thousands), $2358 (in thousands) and $2260 (in thousands) respectively. Though northeast district higher kale than district 5, 6 and 7, yet considering its sales figure it is not high enoughdistricts. The analysis of these expenses is master(prenominal) because the actual profits of the company depend on these expenses. As clearly seen from the graph, district 2 has little expenses than district 3 i.e. north east district this in spite of district 2 having more actual sales and actual gross profit than northeast district. As the expenses increase profits are bound to reduce. This explains why northeast district is showing lesser profits compared to other districts with the similar actual sales. Of these expenses the district has $108(in thousands) expenses in the form of sales representative expenses. The main aim of the new manager would be to reduce these expenses. Selling expenses of the other countries are comparatively lesser than that of the no rtheast district. This has prompted the country sales manager to appoint the new sales manager for the district so as to reduce the expenses. Figure 34) District wise contribution to the Corporate Profit From the graph below it is clear that district 1 contributed $2401,168 while district 2 contributed $2355,308 towards the bodily profit. However since the northeast company higher expenses its contribution towards the corporate profits is $1740942. This is even lesser than the district number 4 which we had seen earlier had lesser sales than the northeast district. Contribution of district 4 is $1,893,694. Contribution of north central district, number 7, is surprisingly 2,019,484, which is much more than northeast district. The prominent reason behind this is that is has very low expenses $600516. This clearly shows again that the expenses of northeast company