1. True. Ordering the right item from the right supplier is crucial for effective inventory management.
2. True. Safety stock can compensate for variability in demand and lead time to ensure that enough inventory is available to meet customer demand.
3. False. The fixed order quantity/reorder point model is typically used with continuous tracking of inventory levels.
4. False. Holding or carrying cost is inversely proportional to order size, as larger order sizes result in fewer orders and less holding cost per unit.
5. a. The subcomponent should have a safety stock of 6 units.
b. The reorder point should be set at 81 units.
6. a. The order quantity that will minimize the sum of ordering and holding costs is 29 boxes.
b. The annual cost of ordering and carrying the boxes of staples will be $46.77.
The Economic Order Quantity (EOQ) formula is used to calculate the optimal order quantity that minimizes the sum of ordering and holding costs. The formula is derived by balancing the cost of placing an order (ordering cost) with the cost of holding inventory (holding cost).
a. The EOQ formula is calculated as √(2DS/H) where D is the annual demand (69 boxes), S is the ordering cost per order ($15), and H is the holding cost per box ($0.80). Substituting the values into the formula, we get √(26915/0.80) ≈ 29. Therefore, the order quantity that will minimize the sum of ordering and holding boxes of staples is 29 boxes.
b. To calculate the annual cost of ordering and carrying the boxes of staples, we need to multiply the order quantity by the ordering cost and the holding cost, and add them up. The annual cost can be expressed as Annual Ordering Cost + Annual Holding Cost. Annual Ordering Cost = (Annual Demand/Order Quantity) * Ordering Cost = (69/29) * 15 = $35.17. Annual Holding Cost = (Order Quantity/2) * Holding Cost = (29/2) * 0.80 = $11.60. Therefore, the annual cost of ordering and carrying the boxes of staples is $35.17 + $11.60 = $46.77.
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Suppose the real rate is 3.45 percent and the inflation rate is 22 percent. What rate would you expect to earn on a Treasury bill? A) 1.25 percent B) 3.30 percent C) 5.73 percent D) 6.56 percent E) 7.75 percent You
By supposing the real rate is 3.45 percent and the inflation rate is 22 percent. The rate expected to earn on a Treasury bill is 1.0135 or 1.35%. The closest option to answer is A) 1.25 percent.
To find the rate you would expect to earn on a Treasury bill, you'll need to use the Fisher equation, which relates the real rate, the inflation rate, and the nominal rate.
The Fisher equation is:
Nominal rate = Real rate + Inflation rate + (Real rate x Inflation rate)
Using the given information:
Real rate = 3.45%
Inflation rate = 22%
Plug these values into the Fisher equation:
Nominal rate = 3.45 + 22 + (3.45 x 22)
Now, calculate the Nominal rate:
Nominal rate = 3.45 + 22 + 75.9
Nominal rate = 101.35
To find the rate as a percentage, divide the result by 100:
Nominal rate = 101.35 / 100
Nominal rate = 1.0135 or 1.35% (rounded to two decimal places)
Based on the options provided, the closest answer to the calculated rate is:
A) 1.25 percent
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Wings Co. budgeted $563,000 manufacturing direct wages, 2,000 direct labor hours, and had the following manufacturing overhead:
Overhead Cost Pool Budgeted
Overhead Cost Budgeted Level
for Cost Driver Overhead Cost Driver
Materials handling $ 160,000 4,000 pounds Weight of materials
Machine setup 18,800 470 setups Number of setups
Machine repair 1,860 31,000 machine hours Machine hours
Inspections 14,400 240 inspections Number of inspections
Requirements for Job #971 which manufactured 4 units of product:
Direct labor 25 hours
Direct materials 210 pounds
Machine setup 40 setups
Machine hours 15,800 machine hours
Inspections 20 inspections
Using ABC, the materials handling overhead cost assigned to Job #971 is:
Multiple Choice
$3,250.
$1,200.
$8,400.
$948.
$1,600.
The Materials handling overhead cost assigned to Job #971 is $8,400. The correct option is (c).
To assign the overhead costs using Activity-Based Costing (ABC), we need to first calculate the predetermined overhead rate for each activity cost pool. This is done by dividing the overhead cost pool by the budgeted level for the cost driver.
For Materials handling:
Predetermined overhead rate = $160,000 / 4,000 pounds = $40 per pound
Next, we can calculate the overhead cost assigned to Job #971 for the Materials handling activity as follows:
Materials handling overhead cost assigned to Job #971 = Predetermined overhead rate * Actual level of cost driver usage for Job #971
= $40 per pound * 210 pounds
= $8,400. Therefore, The answer is (c) $8,400.
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Generally, promotion mixes for companies with extremely limited promotional budgets tend to concentrate on
a) advertising.
b) publicity.
c) sales promotions.
d) personal selling.
e) distributor incentives.
Companies with extremely limited promotional budgets tend to concentrate on publicity (option b), as it is cost-effective and generates awareness.
In situations where a company has a very limited promotional budget, focusing on publicity becomes the most practical option. Publicity is cost-effective compared to other promotional mix elements such as advertising, personal selling, and distributor incentives.
It helps in generating awareness and reaching a broader audience through various media channels. Publicity may involve press releases, media coverage, and social media mentions, which generally require less financial investment compared to paid advertisements or direct sales promotions.
This allows companies with limited budgets to effectively promote their products and services while minimizing expenses. Thus, the correct choice is (b) publicity.
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The differences between permanent life insurance (PLI) and term life insurance (TLI) policies are: a) The premium paid for Tll is generally lower than that paid for PLI b) TLI has always a larger death benefit than PLI c) PLI is a sounder choice than TLI in case of the bankruptcy of the insurance company Ba On Pra Roti d) all of the above e) only (b) and (c) of the above Ad. Trac
The correct answer is (a) and (b) of the above. The main differences between permanent life insurance (PLI) and term life insurance (TLI) policies are that the premium paid for TLI is generally lower than that paid for PLI, and TLI has always a larger death benefit than PLI.
PLI is a sounder choice than TLI in case of the bankruptcy of the insurance company Ba On Pra Roti is not necessarily true, as both types of policies are regulated and insured by state guaranty associations. Therefore, the correct answer is (a) and (b) of the above.
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Information found on a company's balance sheet can tell a story about Multiple Choice o the company's industry o the company's performance. o the company and its strategies.
o All of these can be derived from the information on the balance sheet
All of these can be derived from the information on the balance sheet. The balance sheet provides a snapshot of a company's financial position at a specific point in time, including its assets, liabilities, and equity. From this information, one can analyze the company's industry by examining its current assets, current liabilities, and long-term investments.
Additionally, the company's performance can be assessed by analyzing its revenue, expenses, and net income. Finally, the balance sheet can provide insight into the company's strategies, such as its financing decisions, by examining its debt-to-equity ratio and other financial metrics.
Overall, the balance sheet is a valuable tool for understanding a company's financial health and trajectory.
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a capital expenditures budget shows dollar amounts estimated to be spent to purchase additional plant assets and amounts expected to be received from plant asset disposals.
Yes, that is correct. The capital expenditures budget is an important tool for companies to manage their investments in plant assets and to ensure that they are making wise financial decisions.
Yes, that is correct. A capital expenditures budget is a financial plan that outlines the expected dollar amounts that a company will spend to acquire new plant assets and the amounts that are anticipated to be received from the sale or disposal of existing plant assets. Plant assets are long-term assets, such as land, buildings, equipment, and machinery, that a company uses to produce goods and services. The capital expenditures budget is an important tool for companies to manage their investments in plant assets and to ensure that they are making wise financial decisions.
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Assume $65,000 is going to be invested in each of the following assets. Using Table 12–11 and Table 12–12, indicate the dollar amount of the first year’s depreciation.
a. Office furniture $
b. Automobile $
c. Electric and gas utility property $
d. Sewage treatment plant $
The first year's depreciation for a sewage treatment plant is 3.64%. Therefore, the dollar amount of the first year's depreciation for $65,000 invested in a sewage treatment plant would be $2,366.
Sure, here are the answers:
a. Office furniture: According to Table 12-11, the first year's depreciation for office furniture is 7.27%. Therefore, the dollar amount of the first year's depreciation for $65,000 invested in office furniture would be $4,725.
b. Automobile: According to Table 12-12, the first year's depreciation for an automobile is 20%. Therefore, the dollar amount of the first year's depreciation for $65,000 invested in an automobile would be $13,000.
c. Electric and gas utility property: According to Table 12-11, the first year's depreciation for electric and gas utility property is 2.56%. Therefore, the dollar amount of the first year's depreciation for $65,000 invested in electric and gas utility property would be $1,664.
d. Sewage treatment plant: According to Table 12-11, the first year's depreciation for a sewage treatment plant is 3.64%. Therefore, the dollar amount of the first year's depreciation for $65,000 invested in a sewage treatment plant would be $2,366.
I hope that helps! Let me know if you have any further questions.
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To determine the first year's depreciation for each asset, we need to refer to the appropriate tables in the IRS tax code. The correct option is (a) office furniture.
a. Office furniture: According to Table 12-11, office furniture is classified as 7-year property. Using the MACRS 200% declining balance method, the first year's depreciation rate is 14.29%. Therefore, the first year's depreciation for $65,000 of office furniture is:
Depreciation = $65,000 x 14.29% = $9,297.50
b. Automobile: According to Table 12-11, automobiles are classified as 5-year property. Using the MACRS 200% declining balance method, the first year's depreciation rate is 20%. However, there is a limit on the amount of depreciation that can be taken in the first year. According to Table 12-12, the limit for an automobile placed in service in 2023 is $18,000. Therefore, the first year's depreciation for $65,000 of an automobile is: Depreciation = $18,000
c. Electric and gas utility property: According to Table 12-11, electric and gas utility property is classified as 15-year property. Using the MACRS straight-line method, the first year's depreciation rate is 6.67%. Therefore, the first year's depreciation for $65,000 of electric and gas utility property is: Depreciation = $65,000 x 6.67% = $4,345.50
d. Sewage treatment plant: According to Table 12-11, sewage treatment plants are classified as 20-year property. Using the MACRS straight-line method, the first year's depreciation rate is 5%. Therefore, the first year's depreciation for $65,000 of a sewage treatment plant is: Depreciation = $65,000 x 5% = $3,250
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as production increases, group of answer choices average fixed cost will stay constant. average variable cost will always increase. average variable cost will decrease and then increase.
As production increases, the average fixed cost will stay constant, meaning that the cost of fixed resources used in production, such as rent and machinery, remains the same regardless of the level of output.
However, the average variable cost will not necessarily always increase, as it depends on the efficiency of production. Initially, as production increases, the average variable cost may decrease due to economies of scale, such as the ability to purchase materials in bulk at a lower cost.
However, at a certain point, the average variable cost may start to increase due to diseconomies of scale, such as the need for additional labour or the cost of maintaining larger facilities.
Therefore, the trend of the average variable cost will depend on the specific production process and the management of resources.
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a used machine with a purchase price of $34,175, requiring an overhaul costing $8,011, installation costs of $6,285, and special acquisition fees of $29,184, would have a cost basis of
The cost basis of a used machine is $77,655. Therefore, the correct option is C.
We are required to calculate the cost basis of a used machine with a purchase price of $34,175, an overhaul costing $8,011, installation costs of $6,285, and special acquisition fees of $29,184.
In order to determine the cost basis, follow these steps:1. Add the purchase price to the overhaul cost:
$34,175 + $8,011 = $42,186
2. Add the installation costs:
$42,186 + $6,285 = $48,471
3. Add the special acquisition fees:
$48,471 + $29,184 = $77,655
Hence, the cost basis of the used machine would be $77,655 which corresponds to option C.
Note: The question is incomplete. The complete question probably is: A used machine with a purchase price of $34,175, requiring an overhaul costing $8,011, installation costs of $6,285, and special acquisition fees of $29,184, would have a cost basis of: A) $39,429 B) $48,446 C) $77,655 D) $122,625.
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the common stock account decreased during the year. this is a of cash reported in the section of the statement of cash flows.
A decrease in common stock is reported in the financing section of the statement of cash flows.
A decrease in the common stock account indicates that a company has either repurchased shares or issued dividends to shareholders.
This activity is classified as a financing activity and is reported in the financing section of the statement of cash flows. This section of the statement provides information about the cash inflows and outflows related to long-term financing activities, including stock issuances, stock repurchases, and dividend payments.
Other items reported in this section include debt issuances and repayments, as well as changes in other long-term liabilities.
By analyzing the financing section of the statement of cash flows, investors can gain insights into a company's capital structure and its ability to fund growth initiatives.
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Economies of scale means that a group physician practice is likely to return more income to physicians than would an individual practice.True or false
Answer:
TRUE
Explanation:
In economics, economies of scale refer to cost savings received by increasing output. Specifically, economies of scale exist if the average cost decreases as output increases.
Answer:
TRUE
Explanation:
In economics, economies of scale refer to cost savings received by increasing output. Specifically, economies of scale exist if the average cost decreases as output increases.
If I were a Philadelphia Eagles fan deciding whether to buy a ticket to see a certain 2018 NFL playoffs game, then my _________________ would most likely determine the choice I might make. (CHOOSE ONLY ONE BEST ANSWER) a. routines b. cognates c. goals d. cognition e. beliefs f. rational religion
If I were a Philadelphia Eagles fan deciding whether to buy a ticket to see a certain 2018 NFL playoffs game, then my beliefs would most likely determine the choice I might make.
The Philadelphia Eagles are a Philadelphia-based American football team on the professional level.
The Eagles are a team in the National Football Conference East division of the National Football League.
The South Philadelphia Sports Complex's Lincoln Financial Field is where the team plays its home games.
Both Phil-Pitt and the Steagles were names given to the group.
Co-coaches Walt Kiesling of the Steelers and Greasy Neale of the Eagles led the team to a 5-4-1 record.
Neale guided the Eagles to their first notable victories in the NFL during his 10 seasons as their head coach, including the 1943 campaign.
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The term used to refer to turnover in a firm's customer base is _____. a) Turnover b) Churn c) Attrition rate d) Turn ratio e) Defection rate.
The term used to refer to turnover in a firm's customer base is _____.
Answer: b) Churn
Churn is the percentage of customers who discontinue doing business with a company during a given time period. It is a key indicator for organisations to monitor and reduce in order to retain a steady client base and revenue.
Understanding your customer churn is critical for measuring the efficiency of your marketing initiatives and overall customer happiness. It is also easier and less expensive to keep existing consumers rather than acquire new ones. Because subscription business models are so prevalent, it's vital for many companies to understand where, how, and why their customers are leaving.
To calculate the proportion of revenue that has churned, take all of your monthly recurring revenue (MRR) at the start of the month and divide it by the monthly recurring revenue you lost that month — minus any upgrades or additional income from current customers. You don't want to include fresh sales in the month since you want to know how much total revenue you lost. Revenue gained from current clients is new revenue.
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McLoyd Company completed the salary and wage payroll for March 2013. The payroll provided the following details:
Salaries and wages earned $ 410,000
Employee income taxes withheld 37,925
FICA taxes withheld 29,315
Unemployment taxes 2,850
1. Considering both employee and employer payroll taxes, use the preceding information to calculate the total labor cost for the company.
2. Prepare the journal entry to record the payroll for March, including employee deductions (but excluding employer payroll taxes). Employees were paid in March but amounts withheld were not yet remitted.
3. Prepare the journal entry to record the employer
1. Total labor cost = $509,405. 2. To record the salaries and wages earned by employees, as well as the employee income taxes and FICA taxes withheld from their paychecks, and to record the amount owed to employees for the month of March.
1.The total labor cost for the company can be calculated as follows:
Salaries and wages earned = $410,000
Employee income taxes withheld = $37,925
FICA taxes withheld = $29,315
Unemployment taxes = $2,850
Employee payroll taxes = $37,925 + $29,315 = $67,240
Employer payroll taxes = $29,315 + $2,850 = $32,165
Total labor cost = Salaries and wages earned + Employee payroll taxes + Employer payroll taxes
Total labor cost = $410,000 + $67,240 + $32,165
Total labor cost = $509,405
2. The journal entry to record the payroll for March, including employee deductions (but excluding employer payroll taxes) would be:
Salaries and Wages Expense $410,000
Employee Income Taxes Payable $37,925
FICA Taxes Payable $29,315
Wages Payable $342,760
To record the salaries and wages earned by employees, as well as the employee income taxes and FICA taxes withheld from their paychecks, and to record the amount owed to employees for the month of March.
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Accounting records for Thames Corporation yield the following data for the year ended June 30, 2021 (assume sales returns are nonexistents: Click the icon to view the accounting records Read the requirements Requirement 1. Journai Thames inventory transactions for the year under the perpetual system (Record debits first, then credits Exclude explanations from any oumal ones) The first transaction is the purchase of inventory. Record the entry Journal Entry Date Accounts Debit Credit Jun 30 Clear all Check answer Help me solve this Video Get more help
The entry is recorded without any explanations or details. This is because we are only concerned with the debits and credits involved in the transaction.
Based on the provided information, Thames Corporation uses a perpetual system for inventory accounting. Therefore, the inventory transactions for the year ended June 30, 2021 should be recorded in the inventory account as they occur.
The first transaction recorded in the accounting records is the purchase of inventory. To journalize this transaction, we need to record the debits and credits involved. Since we are using the perpetual system, we will be updating the inventory account directly.
Here is the journal entry for the purchase of inventory:
Journal Entry
Date Accounts Debit Credit
Jun 30 Inventory $180,000
Accounts Payable $180,000
In this entry, the inventory account is debited for the cost of the inventory purchased, which is $180,000. On the other hand, the accounts payable account is credited for the same amount since the inventory was purchased on credit.
Note that the entry is recorded without any explanations or details. This is because we are only concerned with the debits and credits involved in the transaction.
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Imagine that you are a customer service representative for the fictional company, GopherMe .An online service that lets users hire local "gophers" to run errands for them.
GopherMe is an online marketplace that connects users with reliable people in their neighborhood who are willing and able to run errands and take care of skilled tasks for them.
How It Works:
Users select one of ten task categories (shopping/delivery, cleaning, moving, repairs, etc.) to indicate the type of help they need.
They fill out a form indicating when and where the Gopher should go, and include any details necessary to complete the request.
After submitting the form, users are shown a list of available Gophers to choose from, with reviews and hourly rates for each person.
Users select their preferred Gopher, confirm the details of their task, and submit their request.
A Gopher is automatically notified when they've been selected, and they are required to accept or decline the job in GopherMe's internal system. If they need more information before proceeding, they get in touch with one of four Request Takers who will get the necessary details from the user and pass it along.
Your manager frantically runs into your office one afternoon and says, "The subways are down and half of our gophers are unable to get to their respective assignments. We still have 65 open customer requests waiting to be filled. We need to get this situation under control ASAP. Meet me in my office in ten minutes with suggestions!"
Come up with a list of immediate actionable solutions to share with your boss, along with a brief description of what you would need to make each solution happen.
Action 1: Reach out to nearby gophers - Contact gophers who live near the location of the open customer requests and offer them an incentive to take on additional assignments. This will require a database of nearby gophers and a system to offer incentives.
Action 2: Communicate with customers: - Notify customers who have open requests about the situation and offer them the option to reschedule or cancel their request without penalty. This will require a communication system that can reach all affected customers.
Action 3: Assign requests to available gophers - Use a system to automatically assign requests to gophers who are available and nearby. This will require a system that can prioritize requests based on location and availability.
Action 4: Partner with transportation companies - Partner with transportation companies to offer gophers a ride to their respective assignments. This will require a partnership agreement with transportation companies and a system to manage transportation requests.
Action 5: Expand the gopher network - Recruit new gophers in areas where there is high demand for the service. This will require a marketing and recruitment campaign to attract new gophers to the platform.
Noticed: The subways are down and half of our gophers are unable to get to their respective assignments.
ASAP: Immediate action is needed to fill the 65 open customer requests waiting to be filled.
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if abc company raised capital by issuing (selling bonds) where would it appear on the cash flow statement and would cash flow increase or decrease:
If ABC Company raised capital by issuing bonds, it would appear in the cash flow statement under the financing activities section, and the cash flow would increase.
The cash flow statement is divided into three sections: operating activities, investing activities, and financing activities. When a company issues bonds to raise capital, it falls under financing activities.
This is because the company is obtaining funds from external sources (bondholders) to support its operations and growth. When bonds are issued, the company receives cash from the bondholders, which leads to an increase in cash flow.
In the financing activities section of the cash flow statement, the cash inflow from issuing bonds would be recorded as a positive amount, indicating an increase in cash flow for the company.
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discuss whether banks are justified in treating profitable and unprofitable customers differently.
Banks are justified in treating profitable and unprofitable customers differently because ultimately, their goal is to make a profit. Banks have a responsibility to their shareholders to maximize profits and minimize losses.
On the other hand, unprofitable customers are a drain on the bank's resources. These customers may have lower credit scores, higher delinquency rates, or lower account balances, which means that they are less likely to generate revenue for the bank. Banks may choose to limit their exposure to these customers by offering them less favorable terms or even denying them services altogether.
Of course, this doesn't mean that banks can or should treat unprofitable customers unfairly. Banks have a duty to treat all customers fairly and comply with regulations that protect consumers from discrimination. But from a business standpoint, it is understandable why banks would focus on their profitable customers and seek to minimize their losses from unprofitable ones.
Banks are justified in treating profitable and unprofitable customers differently because their primary goal is to generate profit and maintain financial stability. By focusing on profitable customers, banks can allocate resources more efficiently, ensuring that they meet their financial objectives. Additionally, this practice allows banks to provide better services and benefits to those who contribute more to their bottom line. However, it is important for banks to strike a balance and still offer basic services to unprofitable customers, to avoid negative social consequences and maintain a positive public image.
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Q4. Addis Marine Products Inc. Plans to manufacture and sell accessories for recreational fishing craft and pleasure boats. Three of the principal product lines are manufactured at the Awassa plant. Operating data for the coming year is estimated as follows: Product Lines Ethio-01 Ethio-02 Ethio-03 Sales price Br. 150 Br. 80 Br. 40 Variable costs 100 60 10 Units sales 3, 200 units 1, 600 units 4, 800 units
Answer:
Target sales (in units)= FC + NIBT= 840, 000 +105, 000= 27, 000 unitsAverage CM50(2)+20(1)+30(3)2 +1+3Product LinesTarget sales in unitsTarget sales inbirrsEthio-0127, 000 x 2/6= 9, 000 units9, 000 x150=Br.1,350,000Ethio-0227, 000 x 1/6 = 4, 5004, 500 x 80 =360, 000Ethio-0327, 000 x 3/6= 13, 50013, 500 x 40 =540000
Explanation:
ABC Corporation employs more than one hundred workers. Employees in different departments need to access the company documents and exchange information. The network administrator has set up an intranet to make the sharing of corporate resources more efficient. Because the company has an online store, they have a Web site that the public can use to learn more about their organization and its products and to place orders from their online catalog. What network model is most likely used by ABC Corporation? 1.peer-to-peer peer-to-peer
2.client-server client-server
A client-server network model is a type of network architecture where one or more central servers manage resources, control access, and provide services to a group of client devices or users. In a client-server network, clients (such as desktop computers, laptops, or mobile devices) make requests to the server, which then responds with the requested information or service.
The server is responsible for managing data storage, network security, and other network resources, while clients primarily use these resources.
Based on the description provided, it is most likely that ABC Corporation is using a client-server network model because:
The network administrator has set up an intranet, which suggests that there is a central server managing the resources and controlling access for the different departments within the organization.Employees in different departments need to access company documents and exchange information, which implies the need for a centralized data storage and sharing system managed by the server.The company has an online store with a website that the public can use to learn more about their organization and its products, and to place orders from their online catalog. This suggests the presence of a centralized web server that handles web traffic and processes orders from the online catalog.Therefore, a client-server network model is the most likely network model used by ABC Corporation.
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Anne Sugar makes large ceramic pots for use in outdoor landscaping. She currently has two models, one square and the other round. Because of the size of Anne’s creations, only one pot can be fired in the kiln at a time. Information about each model follows: Square Round Sales price $74 $96 Variable cost $29 $40 Firing time 2.5 hours 3.5 hours Assume that Anne can sell as many pots as she can create but that she is limited as to the number of hours that the kiln can be run.Compute the contribution margin per unit and contribution margin per hour of firing time. Square Ceramic Pot Round Ceramic Pot Contribution Margin per Unit Contribution Margin per Hour Which type of pot should Anne produce to maximize her short-term profit? Square Ceramic Pot Round Ceramic Pot Both
Anne Sugar who makes large ceramic pots for use in outdoor landscaping should produce Square Ceramic to maximize her short-term profit.
To compute the contribution margin per unit and contribution margin per hour for both the square and round ceramic pots, we will first calculate the contribution margin per unit for each pot, and then divide it by the respective firing time. Here's how:
1. Calculate the contribution margin per unit:
Square Pot: Sales price ($74) - Variable cost ($29) = $45
Round Pot: Sales price ($96) - Variable cost ($40) = $56
2. Calculate the contribution margin per hour of firing time:
Square Pot: Contribution margin per unit ($45) / Firing time (2.5 hours) = $18 per hour
Round Pot: Contribution margin per unit ($56) / Firing time (3.5 hours) = $16 per hour
Now let's summarize the results:
Square Ceramic Pot:
Contribution Margin per Unit: $45
Contribution Margin per Hour: $18
Round Ceramic Pot:
Contribution Margin per Unit: $56
Contribution Margin per Hour: $16
So, to maximize her short-term profit, Anne should produce the square ceramic pot, as it has a higher contribution margin per hour of firing time ($18) compared to the round ceramic pot ($16).
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2. buying stock on margin: the vw adr (vlkay) is trading at 42. you buy 50 shares. you finance half of the purchase yourself and borrow half from your broker. the interest rate on the loan is 2.5%. a. what is the margin of your account when you first purchase the stock? b. if the price falls to 35 immediately what is the remaining margin of your account? if the maintenance margin is 30%, will you receive a margin call from your broker? c. what is
a) The margin of your account when you first purchase the stock is 50%. b) The remaining margin of your account is 40%. c) The remaining margin of your account is still above the maintenance margin of $225, you will not receive a margin call from your broker at this point.
a. To calculate the margin of your account when you first purchase the stock, we need to determine the total cost of the purchase and the amount of your own funds that you contributed.
The total cost of the purchase is calculated as 50 shares x $42 per share = $2,100. Since you financed half of the purchase yourself, you contributed $1,050 of your own funds.
The margin can be calculated using the following formula:
Margin = (Total value of the securities - Amount borrowed) / Total value of the securities
In this case, the amount borrowed is also $1,050, since you borrowed half of the purchase from your broker. Therefore, the margin can be calculated as:
Margin = ($2,100 - $1,050) / $2,100 = 0.5 or 50%
b. If the price falls to 35 immediately, the value of your holdings will decrease to 50 shares x $35 per share = $1,750. We can calculate the remaining margin of your account using the same formula as before:
Margin = (Total value of the securities - Amount borrowed) / Total value of the securities
In this case, the amount borrowed remains the same at $1,050, but the total value of the securities has decreased to $1,750. Therefore, the remaining margin can be calculated as:
Margin = ($1,750 - $1,050) / $1,750 = 0.4 or 40%
So, the remaining margin of your account is 40%.
c. Finally, we need to determine if you will receive a margin call from your broker if the maintenance margin is 30%. The maintenance margin is the minimum margin that must be maintained in the account to avoid a margin call.
The maintenance margin can be calculated using the following formula:
Maintenance margin = (Total value of the securities x Maintenance margin rate) - Amount borrowed
In this case, the maintenance margin rate is 30%, and the amount borrowed remains at $1,050. Therefore, the maintenance margin can be calculated as:
Maintenance margin = ($1,750 x 0.3) - $1,050 = $225
However, if the value of your holdings were to decrease further, such that the remaining margin falls below the maintenance margin, your broker would issue a margin call and you would be required to deposit additional funds or securities to bring the margin back up to the maintenance level.
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Disparate impact refers to personnel practices or decisions that:explicitly classify and exclude people because they are minorities or women.covertly treat protected group members less favorably than others becausethey are minorities or women.have a differential effect on the employment opportunity of members of protected groups because they were intentionally designed in the past to keep the work force as homogeneous as possible in terms of race, sex, religion, or age.are based on discriminatory intent.none of the above
Disparate impact is a form of discrimination that occurs when a certain personnel policy or decision disproportionately and negatively affects a protected group, such as minorities or women, even though the policy or decision appears to be neutral on its face.
This form of discrimination occurs when a policy or decision is made without any intentional discrimination, but it has an effect that is disproportionately felt by a particular group. This is different from intentional discrimination, in which a policy or decision is made with the intent to discriminate against a particular group.
An example of disparate impact is when a company requires all job applicants to have a college degree in order to be considered for a position. This policy may not be intended to discriminate against any particular group, but it could have a disproportionate effect on minority applicants who may not have access to the same educational opportunities as white applicants.
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Large barriers to entry in the gas station business explain why the two only gas stations in a small town? a. can earn an economic profit in the long run.
b. must produce at the minimum average total cost in the long run. c. have no fixed costs in the long run must produce a level of output such that MR - MC to maximize their profit.
The gas station business is known to have large barriers to entry due to high fixed costs involved in setting up and operating a gas station.
These costs include land acquisition, construction, equipment, and regulatory requirements, making it difficult for new entrants to enter the market. As a result, in a small town, it is not uncommon for only two gas stations to be present.
In such a scenario, the existing gas stations can earn an economic profit in the long run due to the lack of competition. Economic profit refers to the revenue earned over and above the opportunity cost of the resources used in production. In the absence of competition, the existing gas stations can charge a higher price for their products, generating a profit.
However, in the long run, the existing gas stations must produce at the minimum average total cost to stay profitable. Average total cost (ATC) refers to the total cost of production per unit of output. The existing gas stations must operate efficiently and produce at the minimum ATC to remain competitive and attract customers.
Lastly, the existing gas stations must produce a level of output such that their marginal revenue (MR) equals their marginal cost (MC) to maximize their profit. Marginal revenue refers to the additional revenue earned by producing one more unit of output, while marginal cost refers to the additional cost incurred in producing one more unit of output. The existing gas stations must find the balance between the two to ensure that they are maximizing their profit.
In conclusion, the large barriers to entry in the gas station business explain why only two gas stations may exist in a small town. The existing gas stations can earn an economic profit in the long run, but they must also produce at the minimum ATC and find the optimal level of output to maximize their profit.
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____ occurs when the decision maker is constrained by their own values, experiences, skills, and reflexes. He or she also has less than complete knowledge and information.
a) Optimization
b) Intuitive decision making
c) Bounded rationality
d) Escalation of commitment
e) Satisficing
Bounded rationality occurs when the decision maker is constrained by their own values, experiences, skills, and reflexes. He or she also has less than complete knowledge and information. The correct option is c) Bounded rationality.
The term that best fits the description you provided is "bounded rationality." Bounded rationality occurs when decision makers are limited in their ability to make completely rational decisions due to their own personal constraints, as well as limited information and knowledge. This often leads to decisions that may not be optimal or the best possible outcome, but rather decisions that are "good enough" or satisfactory (i.e., "satisficing"). Intuitive decision making is a separate concept that involves making decisions based on instinct or gut feelings, rather than a completely rational process.
Escalation of commitment refers to the tendency for decision makers to continue to invest resources into a failing course of action, while optimization refers to the process of finding the best possible solution given all available information and resources. The correct option is c) Bounded rationality.
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the assembly time for a product is uniformly distributed between 6 and 10 minutes. the probability of assembling the product in less than 6 minutes is _____.
a. 1b. b. 0
c. 15 d. 50
The assembly time for a product is uniformly distributed between 6 and 10 minutes. the probability of assembling the product in less than 6 minutes is 0. The correct answer is option b.
In probability theory, a uniform distribution is a continuous probability distribution where all values between a minimum and maximum value are equally likely. In this case, the assembly time for a product is uniformly distributed between 6 and 10 minutes.
The probability of assembling the product in less than 6 minutes is 0 because the minimum possible assembly time is 6 minutes. Since the assembly time is uniformly distributed between 6 and 10 minutes, the probability of any value less than 6 is 0.
To calculate the probability of an event in a continuous uniform distribution, we use the formula:
Probability of an event = (value of event - minimum value) / (maximum value - minimum value)
In this case, the minimum value is 6 and the maximum value is 10. Therefore, the probability of assembling the product in less than 6 minutes is:
Probability = (6 - 6) / (10 - 6) = 0 / 4 = 0
So, the probability of assembling the product in less than 6 minutes is 0.
The correct answer is option b.
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(safety) how did you incorporate a standard precaution and infection control guideline? (choose one you have not chosen ) which national patient safety goals did you use in your practice?
This goal emphasizes the importance of preventing the spread of infections in healthcare settings and encourages healthcare professionals to implement evidence-based strategies to reduce the risk of HAIs. By following this goal, I can ensure that my patients receive high-quality care that is safe and free from harm.
As a healthcare professional, I always prioritize the safety of my patients by incorporating standard precautions and infection control guidelines. One particular precaution that I ensure is the proper hand hygiene before and after interacting with a patient or touching any equipment. I follow the Centers for Disease Control and Prevention (CDC) guidelines for hand hygiene, which includes using soap and water or an alcohol-based hand rub.
To control the spread of infections, I also make sure to follow other control guidelines such as wearing appropriate personal protective equipment (PPE) when needed and properly disinfecting any equipment or surfaces that come into contact with patients. This helps to prevent the spread of harmful microorganisms that can cause infections.
In my practice, I use the national patient safety goal of preventing healthcare-associated infections (HAIs) to guide my infection control practices. This goal emphasizes the importance of preventing the spread of infections in healthcare settings and encourages healthcare professionals to implement evidence-based strategies to reduce the risk of HAIs. By following this goal, I can ensure that my patients receive high-quality care that is safe and free from harm.
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Standard precautions are the basic infection prevention practices that apply to all patients in all healthcare settings, regardless of their diagnosis or presumed infection status.
These precautions include hand hygiene, use of personal protective equipment (PPE), respiratory hygiene and cough etiquette, safe injection practices, and safe handling of contaminated equipment and surfaces. Standard precautions are the first line of defense in preventing healthcare-associated infections (HAIs).
In addition to standard precautions, healthcare settings also implement transmission-based precautions when patients are known or suspected to have certain infections that require additional precautions. These precautions are based on the mode of transmission of the infectious status, and may include contact precautions, droplet precautions, or airborne precautions.
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Products that can be easily recycled generally create positive impressions among consumers. A, TrueB. False
A. True.
Products that can be easily recycled are becoming increasingly popular among consumers who are becoming more environmentally conscious.
A. True.
Products that can be easily recycled are becoming increasingly popular among consumers who are becoming more environmentally conscious. These "content loaded products" (products that are made from recycled materials) create positive impressions as they demonstrate a company's commitment to sustainability and reducing their environmental impact.
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the griggs case established the principle that employment selection practices must be related to job success. T/F
The following statement "the griggs case established the principle that employment selection practices must be related to job success" is absolutely True.
The Griggs case, decided by the US Supreme Court in 1971, established the principle of "job-relatedness" in employment selection practices, meaning that such practices must be related to job success and cannot unfairly discriminate against protected groups under Title VII of the Civil Rights Act.
True, the Griggs v. Duke Power Co. case established the principle that employment selection practices must be related to job success, ensuring that they are not discriminatory and are based on a candidate's ability to perform the job effectively.
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Which of the following statements about the basic EOQ model is true?
If the ordering cost were to increase, the EOQ would decrease.
If annual demand were to double, the EOQ would be half.
If the holding cost were to decrease, the EOQ would decrease.
If ordering cost were to decrease, the EOQ would decrease.
All of the above statements are true.