Profitability management

Question 1

areas of focus

Answer 1

• Cost controls
• Revenue controls

Question 2

Reduce costs through variable costs

Answer 2

• different materials
• better deals with suppliers

Question 3

Reduce costs through fixed costs

Answer 3

• minimise expenses
• update guidelines on employee reimbursement

Question 4

Cost centres

Answer 4

What? departments in which costs can be directly attributed
How? helps pinpoint areas of weakness

Question 5

increase revenue

Answer 5

marketing

Question 6

4 Ps

Answer 6

• price
• product
• place
• promotion