A transportation firm spends 60% of its sales in the supply chain,and has a net profit margin of 6%.The company is about to invest $100,000 in one of two ventures.One venture is advertising-based,and is expected to increase revenues (sales)by $600,000 (after spending the $100,000).The other venture applies the money in supply-chain efficiencies that are expected to save $200,000 (again,after spending the $100,000).Which of these two ventures offers the larger increase in profit to the firm? Use Table 11.3,reproduced below.

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The Answer of A transportation firm spends 60% of its sales in the supply chain,and has a net profit margin of 6%.The company is about to invest $100,000 in one of two ventures.One venture is advertising-based,and is expected to increase revenues (sales)by $600,000 (after spending the $100,000).The other venture applies the money in supply-chain efficiencies that are expected to save $200,000 (again,after spending the $100,000).Which of these two ventures offers the larger increase in profit to the firm? Use Table 11.3,reproduced below.

A Transportation Firm Spends 60% of Its Sales in the Supply