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Homework answers / question archive / In response to complaints about high prices, a grocery chain runs the following advertising campaign: "If you pay a child $1

In response to complaints about high prices, a grocery chain runs the following advertising campaign: "If you pay a child $1

Marketing

In response to complaints about high prices, a grocery chain runs the following advertising campaign: "If you pay a child $1.50 to go buy $50 worth of groceries, then you child makes twice as much on the trip as we do." You've collected the following information from the grocery chain's financial statements:

 

Sales $710
Net Income $10.65
Total assets $390
Total debt $280

 

Required:

Evaluate the grocery chain's claim.

What is the basis for this statement?

Is this claim misleading? Why or why not?

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