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October 19, 2025, 10:18:30 am

Author Topic: Increasing mark up applied to stock  (Read 823 times)  Share 

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soldier_on16

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Increasing mark up applied to stock
« on: November 10, 2011, 10:49:46 pm »
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If you increase mark up applied to stock.... that increases the amount of sales right? Since theoretically, assuming all things constant, you are receiving a higher sales

BUT will this cause stock T/O to decline since the business is likely to be selling LESS stock at higher prices?

Anon123

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Re: Increasing mark up applied to stock
« Reply #1 on: November 10, 2011, 10:51:38 pm »
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depends on the question, but you can always say if SP/mark up is increased while sales volume remains the same
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soopertaco

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Re: Increasing mark up applied to stock
« Reply #2 on: November 10, 2011, 10:54:04 pm »
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On a tangent... I've found that when you mention stock and selling price you have to mention both in the answer so either;
stock price increased when selling price stayed constant or
selling price increased while stock price stayed constant.


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soldier_on16

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Re: Increasing mark up applied to stock
« Reply #3 on: November 10, 2011, 10:56:08 pm »
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On a tangent... I've found that when you mention stock and selling price you have to mention both in the answer so either;
stock price increased when selling price stayed constant or
selling price increased while stock price stayed constant.



Yeah I noticed that in 2010 VCAA answers, I think it's better and makes everything clearer.

that being said, could you same the same about stock t/o though? An increase in mark up applied to stock resulted in less sales generated by the business?