Net Present Value (NPV) is the most effective tool used to make capital budgeting decisions. The IRR for this project is 26.5%.
As there could be multiple discount rates at which NPV is 0. So we should take a decision using the NPV method in such cases.
NPV is calculated by discounting the cash flows by the required rate of return
NPV of Given project = -48000000 + 71000000/(1.12)^1 + (-13000000)/(1.12)^2 = $5029337
IRR is the Internal Rate of Return, it is the rate at which NPV is 0, or the discount rate at which the present value of cash inflows is equal to the present value of cash outflows.
IRR is calculated by the process of interpolation and hits & trial method.
At a discount rate of 12% NPV = 5029937
At a discount rate of 30% NPV = -1076923
So by using interpolation, we get, at the discount rate of 26.5% NPV is 0, so the IRR is 26.5%
This project has only 1 positive IRR, it can also have another IRR, as this is the problem with the IRR technique, whenever the project has unconventional cash flows, it can produce multiple IRR, as there could be multiple discount rates at which NPV is 0. So we should take a decision using the NPV method in such cases.
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when a wholesaler sold a product at $40 per unit, sales were 330 units per week. after a price increase of $5, however, the average number of units sold dropped to 305 per week. assuming that the demand function is linear, what price per unit will yield a maximum total revenue?
The price that maximizes revenue is $37 per unit. Given that a wholesaler sold a product at $40 per unit, sales were 330 units per week. After a price increase of $5, however, the average number of units sold dropped to 305 per week.
The formula for the demand function is Q = a - bp
WhereQ is the quantity of products sold, a is the quantity demanded at zero price, b is the slope of the demand function, and p is the price of the product.
Using the given values of price, units sold per week, and the increase in price, we can calculate the values of a and b as follows: a = 330 + 40b = -5
Substitute the above values in the demand function Q = a - bp305 = (330) - 5p
Solve for p305 = 330 - 5pp = 5.
The price per unit that will yield a maximum total revenue is $45. Since the demand function is linear, the maximum total revenue is achieved at the midpoint of the interval between the two extreme values. The price interval is $40 to $45, with midpoint being $42.5.
The total revenue function is:
R = pQ = p(a - bp)
R = p(330 + 40 - 5p)
R = 330p + 40p - 5p²
R = -5p² + 370p
The maximum revenue will be obtained at the price p that maximizes the revenue function R(p). Therefore, the maximum revenue is R(p) = -5p² + 370p.
The maximum value of this function occurs at p = -b/2a = -370/(2*-5) = 37
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diane bauman, a professional artist with agi in excess of $69,500, made the following donations. assume the taxable year is 2022. required: determine to what extent each donation is deductible on her schedule a.
Diane Bauman, a professional artist with agi in excess of $69,500, made the following donations.
The extent to which each donation is deductible on her schedule A needs to be determined. A qualified charitable contribution limit is there, and its application is explained below:
If Diane is an artist with agi of over $69,500, she can deduct up to 60% of her agi as a qualified charitable contribution limit. 1) $16,000 to a private foundation is 30% deductible. It is not exceeding 30% of her adjusted gross income.
Therefore, the tax deduction will be $16,000 * 30% = $4,800.2) $21,000 to a qualified charity, in the form of cash, is 60% deductible, but the donation is exceeding 60% of her adjusted gross income. Therefore, the tax deduction will be $69,500 * 60% = $41,700.3) $25,000 to a qualified charity, in the form of artwork, is 30% deductible.
Since Diane is an artist and the artwork is created by her, the tax deduction will be based on the cost of the material used, not the market value. If the artwork's value has risen from the cost of materials, Diane is responsible for paying tax on the difference. Therefore, the tax deduction will be $25,000 * 30% = $7,500.
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pre control and post control table . assume that th e costs of controls workstations presented in the table for exercise 4 were unique costs directly associated with protecting against that threat. in other words, do not worry about overlapping costs between threats. calculate the cba for each control. are they worth the costs listed?
Executives can choose from the following three types of control systems: output control, behavioral control, and clan control. Organizations stress various forms of control in different ways.
What distinguishes operations under precontrol from those under postcontrol?Precontrol overhaul is performed up until the fire is brought under control. After the fire has been deemed under control, postcontrol overhaul occurs. Belief, boundary, diagnostic, and interactive systems are the four categories of control systems.
What does pre-control mean?Pre-Control is a method of quality control for products that relies on Specification Limits rather than Control Limits. Pre-Control chart places more emphasis on controlling product non-conformances than it does on controlling processes.
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project black swan requires an initial investment of $115,000. it has positive cash flows of $140,000 for each of the next two years. because of major demolition and environmental cleanup costs, cash flow for the third and final year of the project is $(170,000). if the company 's required rate of return is 12%, the project should be
Yes, the project Black Swan should be accepted.
The initial investment is $115,000, and it has positive cash flows of $140,000 for the next two years. However, the third and final year of the project has a negative cash flow of $(170,000).
Despite this, the overall present value of the project is still positive when discounted at the company's required rate of return of 12%. This means that the project will generate a return greater than the required rate and should therefore be accepted.
To calculate the present value, we first need to calculate the future value of the cash flows. The first two years of positive cash flows add up to $280,000, and the third year's negative cash flow of $(170,000) must be subtracted from that, yielding $110,000.
This figure can then be discounted back to the present value using the required rate of return of 12%. The result is a positive number, meaning that the present value of the project is greater than the initial investment, and the project should be accepted.
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which of the following incremental cash flows is will occur at the beginning and end of the project? change in net working capital operating cash flows sales sunk costs
Incremental cash flows refer to the change in a project’s cash flows that occurs when the project is undertaken. In this case, the following incremental cash flows will occur at the beginning and end of the project: change in net working capital, operating cash flows, sales, and sunk costs.
Change in Net Working Capital is the difference between a project’s current assets and liabilities and its assets and liabilities after the project is completed. This difference in net working capital will occur at both the beginning and the end of the project.
Operating Cash Flows are cash inflows and outflows related to a project’s normal business operations. Operating cash flows include cash inflows from sales and cash outflows for costs like wages and taxes. These cash flows occur at both the beginning and the end of the project.
Sales are the total amount of cash that a project generates from selling its products or services. Sales will occur at both the beginning and the end of the project.
Sunk Costs are costs that have already been paid prior to the project. These costs are not affected by the project and therefore occur at both the beginning and the end of the project.
In conclusion, the following incremental cash flows will occur at the beginning and end of the project: change in net working capital, operating cash flows, sales, and sunk costs.
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(T/F) All processes and functional areas participate in the reengineering efforts of a firm.
True. All processes and functional areas participate in the reengineering efforts of a firm.
Reengineering is a process of improving an existing organization by radically redesigning its core processes, practices, and structures. It involves rethinking and redesigning processes to leverage new technology and improve performance. All functional areas within the firm, such as finance, human resources, marketing, and production, must take part in the reengineering process to ensure that the goals of the process are achieved. This includes analyzing the existing processes and practices, identifying and implementing new technology, and measuring and evaluating the success of the reengineering process.
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why didn't the people who bet on the housing market crashing and knew it was happening go to jail? 10 points
The people who bet on the housing market crashing and knew it was happening did not go to jail because they did not engage in any illegal activity. They were simply making financial predictions based on their research and analysis.
The financial crisis of 2008 was caused by a combination of factors, including the housing bubble and the sale of subprime mortgages. Some investors recognized the risks of these practices and bet against them through short selling and other methods.
These investors included hedge funds, institutional investors, and individual traders. However, short selling and other financial transactions are not illegal, and those who engage in them are not breaking any laws. While some critics have accused these investors of profiting from the financial crisis, they were not responsible for causing it.
The underlying causes of the crisis were much more complex and involved a range of financial practices and policies. Therefore, it would not be fair or reasonable to hold investors responsible for the crisis or to jail them for making informed financial decisions.
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a firm recently paid a $0.30 annual dividend. the dividend is expected to increase by 8 percent in each of the next four years. in the fourth year, the stock price is expected to be $60. if the required rate for this stock is 10 percent, what is its value?
These cash flows today have a present value of $42.13.
A technique for valuing stocks is the dividend valuation model. Given the stock's risk characteristics, risk-free rates, and market risk premium, the model bases the market price of a share on the present value of future dividend payments, discounted at the required rate of return.
The current value is $9.55.
If you buy the stock today and sell it in the fourth year, you will receive the following cash flows
year 1: dividend = 0.3*(1 + 8%) = $0.324
year 2: dividend = 0.33*(1 + 8%) = $0.3564
year 3: dividend = 0.36*(1 + 8%) = $0.3888
year 4: dividend = 0.39*(1 + 8%) = $, and the sale price of the stock = $60.
[tex]\frac{0.324}{1+10} +\frac{0.3564}{1+10} +\frac{0.3888}{1+10} +\frac{0.4212}{1+10}\\\\=$42.13[/tex]
The present value of these cash flows today is $42.13
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n employee of a daycare sets a goal of teaching 90% of the 4-year old students in her class to tie their shoes. is this a smart goal? group of answer choices no, smart goals should be measureable. no, smart goals should specify a target date. no, smart goals should be results-oriented. yes, smart goals are realistic and attainable.
The goal of teaching 90% of the 4-year old students to tie their shoes is a SMART goal because it is Specific (teaching a specific skill), Measurable (90% of the students), Attainable (assuming it is possible to teach 4-year olds to tie their shoes), Relevant (related to the job of a daycare employee), and Time-bound (assuming there is a specific timeframe for achieving the goal). Therefore, the correct answer is: Yes, smart goals are realistic and attainable.
backyard bonanza advertised a line of inflatable pools for the summer season. the store uses a 55% markup based on selling price. if they were originally priced at $124.99, what was the cost?
The cost of the backyard bonanza's line of inflatable pools is $56.25.
Given that selling price of an inflatable pool by Backyard Bonanza is $124.99The markup percentage based on the selling price is 55%.The cost of the pools can be calculated by subtracting the 55% markup from 100% and multiplying the outcome with the selling price.
The cost price of an inflatable pool by Backyard Bonanza is calculated as: CP = SP (100% - markup percentage on SP ) / where, SP = Selling Price; CP = Cost Price. Hence, CP = (100% - 55%) × SP = 45% × $124.99 = $56.25
Therefore, the cost price of an inflatable pool by Backyard Bonanza is $56.25.
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if changing to color increases variable costs by $0.40, what is the percentage decrease in contribution margin resulting from the switch to color?
The contribution margin is the difference between a product's revenue and the variable expenses connected with manufacturing and selling it. If variable costs rise as a result of changes .
in product characteristics or production methods, the contribution margin falls.Changing to color raises variable expenses by $0.40 in this scenario. To compute the percentage loss in contribution margin caused by this shift, we must first know the contribution margin per unit before and after the color transition. The contribution margin ratio would be 50% ($2.00/$4.00) if the contribution margin per unit before the color switch was $2.00 and the variable cost per unit was $1.00.The variable cost per unit would increase after the color changes.
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at the beginning of the year, jocelyn created five goals for each manager on her staff at the best day spa and gym and she uses those goals as a way to measure their performance throughout the year. these goals are an example of
At the beginning of the year, Jocelyn created five goals for each manager on her staff at the best day spa and gym and she uses those goals as a way to measure their performance throughout the year. these goals are an example of Controls.
What does the word "control" also mean?A few popular synonyms for control are dominion, jurisdiction, power, authority, and influence. All of these terms refer to "the right to govern or rule or determine," but control emphasizes the ability to constrain and guide. You are accountable for the pupils under your care.
Is the narrative in Control good?The reason Control's plot is so wonderful is because it features two primary characters: the protagonist Jesse Fadden and the Oldest House, which is just as vivid and alluring as a living individual.
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suppose the united states has a tariff of $80 per barrel on imported wine. then, the u.s. joins a free trade area with australia. what will be the change in the consumer surplus after the u.s. enters into a free trade argreement with australia
If the price of imported wine is less than $80 per barrel in Australia, then the US tariff will be eliminated when the agreement takes effect, resulting in an increase in consumer surplus.
Surplus refers to the amount by which a company's revenues or income exceed its expenses or costs over a specific period of time. It is the opposite of a deficit, which occurs when expenses exceed revenues. Surplus is also commonly referred to as "profit," "earnings," or "income."
The surplus is an important financial metric that indicates the financial health and profitability of a company. It can be used to reinvest in the business, pay dividends to shareholders, reduce debt, or save for future investments. A surplus can also be used to finance expansion or diversification of a company's operations.
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1. Suppose that because of a war, U.S. workers and factories must work 60 hours per week. In this situation,potential GDP has increased.potential GDP has decreased.actual GDP is above potential GDP.actual output is below potential GDP.2. According to the Congressional Budget Office estimates, output was 2.9% below potential output in the 4th quarter of 2014. The unemployment rate was 5.7%. What was the implied natural rate of unemployment? (Round to the nearest 10th; do not include a % sign in your answer.)3. A rise in inventory investment is consistent with which of the following?Firms expect sales to rise in the coming months.Firms expect sales to fall in the coming months.Current sales were higher than expected.Current sales were lower than expected.Both A and D.Both B and C.
1) False. (2) 2.8% is the implicit natural rate of unemployment. (3) A) Firms expect sales to rise in the coming months.
The fact that U.S. workers and factories must work 60 hours per week due to a war does not necessarily mean that potential GDP has increased or decreased. Potential GDP is the level of output that can be produced when all factors of production are fully employed, but it is not directly affected by the number of hours worked. The implied natural rate of unemployment can be calculated as follows:
Output Gap = (Potential Output - Actual Output) / Potential Output
Output Gap = 2.9%
Natural Rate of Unemployment = Actual Unemployment Rate - Output Gap
Natural Rate of Unemployment = 5.7% - 2.9%
Natural Rate of Unemployment = 2.8%
Therefore, the implied natural rate of unemployment is 2.8%.
A rise in inventory investment is consistent with firms' expectations that sales will rise in the coming months. When firms expect sales to increase, they may increase their inventory investment in anticipation of higher demand. Conversely, when firms expect sales to fall, they may decrease their inventory investment to avoid excess inventory. Therefore, the correct answer is A) Firms expect sales to rise in the coming months.
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What inspires joy's first mop idea
Mangano was a working, divorced mother of three who was raising her children alone when she came up with the idea for a self-wringing mop. She was inspired after dropping a glass of wine, trying to clean up the mess, and cutting her palms on the shattered glass.
What was the idea for the film Joy?According to Joy Mangano, president and creator of Ingenious Creations, you will always exclaim, "I had this great idea," for the rest of your life. The most well-known Mangano biopic is Joy, in which Jennifer Lawrence portrays Mangano's life as a single mother who becomes an inventor and businesswoman.
What was the first innovation Joy made in the movie Joy?In the film Joy, Jennifer Lawrence plays a divorced Long Island mother who invents a detachable, self-wringing mop and overcomes incredible obstacles to launch an astronomically successful business, first with QVC and later with the Home Shopping Network.
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how might you measure service quality in a hotel?
One might measure the service quality in a hotel with the use of SERVQUAL model.
How can we measure service quality in a hotel?Measuring service quality in a hotel is crucial for ensuring guest satisfaction and loyalty. One widely used method is the SERVQUAL model, which assesses service quality based on five dimensions: reliability, assurance, tangibles, empathy, and responsiveness.
This model uses a questionnaire to evaluate guests' expectations and perceptions of each dimension, with the difference between the two scores indicating the hotel's level of service quality. Other methods for measuring service quality in a hotel may include guest reviews and feedback, mystery shopping, and employee evaluations. It is important to continually assess service quality in a hotel to identify areas for improvement and provide the best possible experience for guests.
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abigail promises to kill jenny's husband for $10,000. abigail receives the $10,000 but does not kill jenny's husband. jenny threatens to sue for breach of contract. the outcome will likely be:
In this scenario, Abigail has committed a breach of contract by not fulfilling her end of the agreement with Jenny.
A breach of contract occurs when one party does not honor the terms of an agreement with another party. In this case, Abigail has not kept her promise to kill Jenny's husband for the $10,000.
When a breach of contract occurs, the parties may be able to sue for damages or other relief.
If Jenny decides to sue Abigail for breach of contract, then the outcome will likely depend on the jurisdiction where the contract was formed and the laws of that jurisdiction.
In many cases, when a contract is breached, the non-breaching party (in this case, Jenny) can seek monetary damages to cover losses that were caused by the breach.
For example, Jenny may be able to recover the $10,000 she gave Abigail.
Additionally, Jenny may also be able to pursue other relief, such as an injunction or specific performance, if applicable.
It is important to note that in some cases, a party may be relieved from their contractual obligations
if a “frustration of purpose” occurs, meaning that something outside of the party’s control has occurred which renders the contract impossible to fulfill.
In this scenario, it does not appear that this is the case, as Abigail appears to have simply decided not to fulfil her promise and take the money.
In conclusion, if Jenny decides to sue Abigail for breach of contract, the outcome will likely depend on the jurisdiction and laws governing the contract.
Jenny may be able to pursue monetary damages or other relief such as an injunction or specific performance.
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tesha works for a company that pays a year-end bonus in january of each year (instead of december of the preceding year) to allow employees to defer the bonus income. assume congress recently passed tax legislation that decreases individual tax rates as of next year. does this increase or decrease the benefits of the bonus deferral this year? what if congress passed legislation that increased tax rates next year? should tesha ask the company to change its lo 3-2 lo 3-3 lo 3-2 lo 3-3 lo 3-2 lo 3-3 lo 3-2 lo 3-3 policy this year? what additional information do you need to answer this question?
Yes, the recently passed tax legislation decreases individual tax rates as of next year, which would increase the benefits of the bonus deferral this year.
If Congress had passed legislation that increased tax rates next year, then the benefits of the bonus deferral this year would be decreased. Teshas should ask the company to change its policy this year in order to maximize the tax benefits from the bonus deferral.
To accurately answer this question, we need to know Teshas individual tax bracket for both the current year and the following year. Additionally, we need to know the amount of the bonus being deferred and the tax rate for the current year.
With this information, we can calculate the expected taxes owed on the bonus this year and in the following year. This will allow us to compare the benefits of the bonus deferral between the two years.
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Assume a country's economy is currently in long-run equilibrium. What is the long-run effect of an increase in aggregate demand?
A.A decrease in the unemployment rate
B.A decrease in the inflation rate
C.A decrease in the long-run aggregate supply
D.An increase in the price level
E.An increase in the money supply
The long-run effect of an increase in aggregate demand D. An increase in the price level
An increase in aggregate demand (AD) increases national output (gross domestic product - GDP) and creates a surplus of output at the existing price level. Firms respond to this by increasing their prices, because there is more competition for their goods and services (since there is a shortage at the current price). Prices keep rising until there is no longer a surplus of output. Since prices and wages have risen, the cost of output has risen, but this is reflected in the prices of goods and services, resulting in a shift in the short-run aggregate supply curve to the left.
In the long run, the economy settles at a new equilibrium point on the long-run aggregate supply curve, where GDP is back to its potential and there is no longer any surplus. Since the price level is higher, the economy has suffered inflation, which is a long-run effect of an increase in aggregate demand. Hence, option D) An increase in the price level is correct.
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over dinner, your father mentions that he is considering retiring fromreal-estate sales. he has found a small retail business for sale, which heis considering acquiring and running. there are so many issues to thinkabout, however, that he has a difficult time keeping them all straight.after hearing about your decision-analysis course, he asks you whetheryou have learned anything that might help him in his decision. whatkinds of issues are important in deciding whether to buy a retailbusiness? describe how he might use sensitivity analysis to explore theimportance of these issues.
When considering buying a retail business, there are several important issues to consider. These include the costs of purchasing the business, the potential profits and losses, the risks involved, and the expected return on investment.
Sensitivity analysis can be used to explore the importance of these issues, by evaluating how different scenarios can affect the outcome. By doing so, he can identify which parameters are most influential in the final decision.
Sensitivity analysis is a method of evaluating different scenarios based on varying parameters. It allows the decision maker to assess the potential effects of any changes in the initial conditions.
When considering whether to purchase a retail business, sensitivity analysis can be a useful tool. It allows the decision maker to evaluate different scenarios. This can help the decision maker make an informed decision regarding the purchase of the business.
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which of the following is not an example of a transfer payment? a) unemployment compensation b) food stamps c) government salaries d) social security benefits group of answer choices d
c) government salaries.
Government salaries are not considered transfer payments because they are a form of payment for services rendered. Transfer payments are payments made by the government to individuals or organizations that do not have to be paid back, such as unemployment compensation and food stamps.
Transfer payments are made to individuals or organizations to help with basic needs, such as food, shelter, healthcare, and other social services. Social Security benefits are also a form of transfer payment, as these payments are made to qualified individuals to help them with their retirement. Transfer payments are sometimes referred to as welfare payments, as they are intended to help those who are unable to provide for themselves.
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competitors have a hard time breaking the bond between the consumer and a product. what term identifies this connection? brand loyalty patronage custom relationship
The term that identifies the connection between a consumer and a product is Brand Loyalty. Brand Loyalty is a psychological connection between the customer and the product or service.
This connection can be fostered by creating positive experiences with the brand. Customers will be more likely to continue to purchase the product or service if they have a positive experience with the brand.
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true or false: if a business wants to achieve its objectives, it simply needs to create an innovative product.
The given statement "If a business wants to achieve its objectives, it simply needs to create an innovative product " is False because While creating an innovative product can certainly contribute to a business achieving its objectives, it is not the sole factor for success.
There are several other crucial aspects that a business must consider to achieve its goals.
In conclusion, while having an innovative product is an important aspect of achieving business objectives, it is not the only factor. A successful business must also focus on marketing, efficient operations, financial management, and adaptability to thrive.
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true or false: corporate, contractual, and administered distribution systems allow traditional retailers to compete with online retailers successfully.
Answer:TRUE
Explanation:
Corporate, contractual, and administered distribution systems allow traditional retailers to compete with online retailers successfully is a true statement.
What is Corporate Distribution?Corporate distribution refers to the procedure of distributing goods from a producer to a customer in the form of intermediaries like wholesalers, distributors, or dealers. Corporate Distribution can help you decide the most effective way to get your product to the end consumer, depending on the sort of product, target market, and distribution channel.
What is Contractual Distribution?Contractual distribution is a form of distribution in which one firm grants another firm the right to distribute its goods or services. It's a type of franchise arrangement in which the owner of a product or service allows someone else to sell it in a specific territory.
What is Administered Distribution?The term "administered distribution" refers to a channel system in which channel members agree to cooperate with one another to promote a product or service. Producers use an administered distribution system to gain the support of wholesalers and retailers, allowing them to quickly and efficiently get their product to the consumer.
Corporate, contractual, and administered distribution systems allow traditional retailers to compete with online retailers successfully. These distribution systems aid traditional retailers in delivering their products to the market in a more organized and effective way, allowing them to attract and maintain customers even with the competition from online retailers. As a result, this statement is true.
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in a perpetual review (q) ssystem if te replenishment lead time doubles the economic order quantity will
In a perpetual review system, if the replenishment lead time increases, the economic order quantity will rise by a factor of two.
This is due to the fact that the economic order quantity (EOQ) formula also contains the square root of the product of demand, setup costs, and holding costs, divided by unit costs. However, while the lead time twice, the demand during that period also doubles, raising the overall cost of placing orders and maintaining inventories. As a result, under the assumption that all other variables stay constant, the EOQ rises by the square root of 2. To maintain the same amount of inventory and prevent stockouts, greater orders will need to be made.
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cost of goods sold is the cost of inventory sold during the year and is an expense reported in the income statement. true or false
"The cost of goods sold is the cost of inventory sold during the year and is an expense reported in the income" statement is True
The cost of goods sold (COGS) is the cost of the inventory a business has sold during a given accounting period. It is one of the significant costs of goods that the business incurs while generating revenue.
It's a fundamental calculation that's required to calculate the gross profit of a business. The COGS calculation begins with the inventory at the beginning of the accounting period and concludes with the inventory at the end of the accounting period.
The expenses incurred in acquiring the inventory, such as freight, taxes, and other costs directly associated with the purchase and sale of the inventory, are also included in the calculation of the COGS. It should be reported as an expense on the income statement.
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What is the total reserves of depository institutions?
The total reserves of depository institutions refer to the sum of required reserves and excess reserves.
This is the amount of money that the Federal Reserve requires banks and other financial institutions to hold in order to ensure that they have enough money to cover any potential withdrawals by their customers. The total reserves of depository institutions is an important measure of the health and stability of the banking system. The Federal Reserve requires banks and other depository institutions to hold a certain amount of reserves as a way to ensure the safety and soundness of the financial system. These reserves serve as a cushion against unexpected withdrawals by customers, and they help to ensure that banks have enough money on hand to meet their financial obligations.Reserves can be either required or excess. Required reserves are the amount of money that banks are required to hold by law. Excess reserves are any reserves that are held above and beyond the required amount. The total reserves of depository institutions is the sum of required reserves and excess reserves.
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limitations of self-imposed budgeting include blank . multiple select question. suboptimal budget recommendations unrealistic profit targets budgetary slack a broad strategic perspective
Lower-level managers will suggest ineffective budgeting strategies if they lack the broad strategic view held by top leaders. Self-imposed budgeting may enable lower-level managers to accumulate amount of financial slack.
What are the main financial restrictions?The quality of a budget depends on the data that was used to develop it. A budget might rapidly become unrealistic if certain assumptions are incorrect or inappropriate. Budgets may cause decision-making to become rigid. As conditions change, budgets must be adjusted.
What is the primary issue with a self-imposed budget?Resentment may develop if a budget is imposed by upper levels of management with minimal support from personnel and managers at lower levels. This may occur, in example, when a manager receives criticism or punishment for a budget issue they did not cause.
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a politician comes to bakersfield college and promises to increase spending on community colleges and cut people's taxes if you vote for him. what kind of keynesian policy is that?
According to Keynesian economics, economic recessions can be addressed or avoided by using proactive government policy to control collective demand. For instance, Keynesian economists would encourage deficit spending on building initiatives that require a lot of labor in order to boost employment and maintain wages during recessions.
When there is strong demand-side growth, the government would increase taxes to restrain the economy and avoid inflation. The effect of federal monetary policies and other economic factors like involuntary unemployment are then explained by this. Is Keynesian economics demand- or supply-driven Demand-side economics, or keynesian economics, holds that the main engine of economic development is consumer demand.
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21. is monitoring and documenting the results of executing project quality activities to eliminate causes of unsatisfactory performance and implement new processes and techniques to improve project quality throughout the organization. a) plan quality b) perform quality assurance c) perform quality control d) project quality management e) quality management plan
The process of monitoring and documenting the results of executing project quality activities to eliminate causes of unsatisfactory performance and implement new processes and techniques to improve project quality throughout the organization is known as perform quality assurance (PQA). The correct option is B) Perform quality assurance.
Quality assurance is an essential part of project management, and it is often misunderstood with quality control (QC). However, quality assurance ensures that the project is proceeding as planned and that the deliverables and milestones are being met.
The quality assurance process includes monitoring the project plan and execution, identifying any changes that may affect the project, verifying that the deliverables meet the required standards, and reviewing the quality control activities. Quality assurance activities are carried out throughout the project life cycle to ensure that project quality is maintained.
The objective of quality assurance is to increase the probability of project success by ensuring that the project is progressing as planned and that deliverables meet the required standards. Quality assurance activities include audits, reviews, and inspections.
Audits are used to verify that the project is following the plan and that the project team is meeting the quality objectives. Reviews are used to evaluate the deliverables against the requirements and standards. Inspections are used to identify defects and non-conformance issues.
Quality assurance activities are also used to identify new processes and techniques that can be used to improve project quality throughout the organization.
These activities are typically performed by a quality assurance team or department, which is responsible for ensuring that quality is maintained throughout the project life cycle. The correct option is B) Perform quality assurance.
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