Answer:
Budget Actual
$ $
Volume 14,600.00 14,600.00
Price 9.50 12.00
Sales 138,700.00 175,200.00
Variable cost Per unit 2.00 2.10
Total variable cost 29,200.00 30,660.00
Contribution Margin 109,500.00 144,540.00
Fixed cost 44,000.00 48,000.00
Operating Income 65,500.00 96,540.00
Explanation
First and foremost flexing a budget means revising the budget based on actual sales volumes, that is i what did above to calculate the margins as well as the operating income
Whose responsibility is it to determine if all of the questions on an application have been answered?a. The agentb. The Clientc. The ownerd. None of these
Explanation:
Option A: Agent is the mediator who is responsible for answering all questions in the application.
Option B: The clients are not the person who can be taken into account for answering all the question. The client acts according to the agent
Option C: The owner does not have a role to answer question. So he cannot be taken into consideration. This option stands invalid.
Option D: None of these is invalid. Somebody has to be responsible for the said scenario.
The owner is responsible for determining if all of the questions on an application have been answered.
Explanation:The owner is responsible for determining if all of the questions on an application have been answered.
When an application is submitted, it is the owner's role to review it and ensure that all required questions have been answered. They have the authority to request additional information or clarification if needed.
The agent may assist the owner in reviewing the application, but ultimately, the responsibility lies with the owner.
What is the quickest and most efficient way of getting your new employees connected to the intranet
Answer:
Intranet Connectivity:
Explanation:
For smooth working in the office, whether it is small or big business, the most crucial element is connectivity to the company intranet. This is crucial for conducting the work in a smartest and effective way.
The two type of intranet that company acquired is
a) intranet provided by the third party
b) network connectivity managed by the corporation itself
Which of the following is not one of the value gaps that can undermine customer experiences and can damage relationships?
a. Knowledge Gaps
b. Translation Gaps
c. Performance Gaps
d. Elevation Gaps
e. Perception Gaps
f. Service Quality Gaps
Answer: B and A
Explanation:
The correct option is F. Service Quality Gaps are not one of the value gaps that can undermine customer experiences and can damage relationships.
Identifying gaps between client expectations and the actual services offered at various levels of service delivery is the goal of this model.
How many gaps are there in service quality?The gaps between the perceived and intended levels of service can be found using the GAP Model of Service Quality. In the process of providing services, there are five gaps that might arise, including those between customer expectations and management perceptions and between service quality specifications and perceptions.
Gather any pertinent business intelligence, use trackable KPIs, and make a list of all the contributing elements that led to the current state you're attempting to assess before attempting to pinpoint where a gap is. In this documentation, be as specific and comprehensive as you can.
Thus, F is the right answer. The value gaps that can harm relationships and impair consumer experiences do not include service quality disparities.
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A large grocery chain has implemented a new "scan, bag, and go" technology that allows customers to shop with greater independence. Which of the following options BEST describes the effect of this technology on business?
A. Information technology allows businesses to respond rapidly to changing customer demand.
B. Business supply chains are a lot faster because of new information technologies.
C. Businesses are using information technology to achieve higher levels of operational efficiency.
D. Businesses are using social networking tools to connect their employees, customers, and managers worldwide.
E. Maintaining just-in-time inventory has been an important consequence of information technology in business.
Answer:
The correct answer is letter "C": Businesses are using information technology to achieve higher levels of operational efficiency.
Explanation:
Information technology is mainly designed to make individuals' lifestyles better, fastening most of their daily activities so they could enjoy more free time. When talking about corporations, information technology has helped their operational efficiency to raise substantially by introducing new techniques of doing things but reducing the processing time.
Implementing a marketing plan a. is the starting point of the marketing mix strategy to identify target markets. b. entails gauging the extent to which marketing objectives have been achieved during the specified time period. c. requires delegating authority and responsibility, determining a time frame for completing tasks, and allocating resources. d. provides the mechanisms for evaluating marketing results in light of the plan's objectives.
Answer:
Letter a is correct. Is the starting point of the marketing mix strategy to identify target markets.
Explanation:
A marketing plan can be defined as a detailed document that contains the actions that a company must take to achieve its marketing objectives. Through this document, it is possible to carry out a planning for a product, service and brand.
The stage of implementing the marketing plan is the starting point for the company to outline specific marketing strategies, such as the marketing mix, which is a strategic tool used to achieve its marketing objectives in the target market.
The marketing mix model most used by companies is that of 4P: product, square, price and promotion, and for each of the variables there is a set of specific activities that integrated help to achieve objectives and goals.
Therefore, the implementation stage is extremely relevant for the company, it is necessary to adjust expectations in order to set real and possible goals to be achieved in a certain time, it is also important to assemble a team with qualified professionals for the execution of the plan, so that the actions correspond to the organizational values and strategies. Communication is also essential for feedback, new ideas and suggestions.
It is important to note that a marketing plan is changeable, as several factors influence it to evolve and change, so it is necessary to have constant monitoring and evaluation, so that this is an effective strategy for the company.
Watunga County Bank agrees to lend Marigold Granite Company $592000 on January 1. Marigold Granite Company signs a $592000, 8%, 9-month note. The entry made by Marigold Granite on January 1 to record the proceeds and issuance of the note is
Answer:
Explanation:
The journal entry is shown below:
On January 1
Cash A/c Dr $592,000
To Note Payable A/c $592,000
(Being issuance of the mortgage note payable is recorded)
For recording this transaction we debited the cash account as it increases the cash account and credited the note payable so that the correct posting could be done
When Mayo Clinic conducted its analysis during the 1980s, what two segments of the general environment did it initially focus on?
a. Demographic and economic
b. Sociocultural and demographic
c. Economic and legal
d. Legal and technologicel
e. Technological and sociocultural trest cpcotunty
In the 1980s, the Mayo Clinic focused on the Demographic and Economic segments of the general environment. The Demographic segment provided information about their patient population and helped identify potential health trends, whereas the Economic segment helped understand the economic circumstances and affordability of their services.
Explanation:Mayo Clinic's Initial FocusDuring the 1980s, when the Mayo Clinic conducted its analysis of the general environment, it initially focused on two specific segments: the Demographic and Economic segments. These segments were chosen because they provide a comprehensive understanding of the population's characteristics and the economic circumstances in which their patients are living.
The Demographic segment would have focused on elements such as age, gender, occupation, ethnicity, and income of their patient population. This information could be used to identify trends, potential health risks, and areas of growth or decline.
The Economic segment, on the other hand, would have involved studying the general economic condition, trends in healthcare costs, and the financial ability of patients to afford their services. This would help the Mayo Clinic strategize in providing affordable and accessible healthcare services.
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The price of on-campus parking from 8:00 AM to 5:00 PM, Monday through Friday, is $3.00. From5:00 PM to 10:00 PM, Monday through Friday, the price is $1.00. At all other times parking is free.This is an example of:
A)a two-part tariff.
B)tying.
C)bundling.
D)second-degree price discrimination.
E)none of the above
Answer:
E) none of the above
Explanation:
It is an example of peak pricing.
Peak pricing is when consumers pay higher during periods of high demand.
It is reasonable to assume that demand for on campus parking would be higher from 8:00 AM to 5:00 PM, than between 5:00 PM to 10:00 PM. This explains why prices are higher between 8 am - 5pm
I hope my answer helps you.
Pfizer Inc., a pharmaceutical company, reported net income for fiscal 2016 of $7,215 million, retained earnings at the start of the year of $71,993 million and dividends of $7,448 million, and other transactions with shareholders that increased retained earnings during the year by $14 million.If there were no additional transactions during the year that affected retained earnings, what was the balance of retained earnings at the end of the year?
Answer:
$71,774 million
Explanation:
Given that,
Beginning retained earnings = $71,993 million
Net income = $7,215 million
Dividends = $7,448 million
Other transactions = $14 million
Balance of retained earnings at the end of the year:
= Beginning retained earnings + Net income - Dividends + Other transactions
= $71,993 million + $7,215 million - $7,448 million + $14 million
= $71,774 million
Therefore, the balance of retained earnings at the end of the year is $71,774 million.
Early in 2017, Sheryl Crow Equipment Company sold 500 Rollomatics during 2017 at $6,000 each. During 2017, Crow spent $20,000 servicing the 2-year assurance warranties that accompany the Rollomatic. All applicable transactions are on a cash basis.Prepare 2017 entries for Crow assuming that the warranties are not an integral part of the sale (a service-type warranty). Assume that of the sales total, $56,000 relates to sales of warranty contracts. Crow estimates the total cost of servicing the warranties will be $55,000 for 2 years. Estimate revenues to be recognized on a straight-line basis. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Round intermediate calculations to 5 decimal places, e.g. 1.54657 answers to 0 decimal places, e.g. 5,125.)
Answer:
Explanation:
Debit $ Credit$
a. Cash 3000000
Sales revennue (500*6000) 3000000
Warranty expenses 55000
Estimated warranty liability 55000
Estimated warranty liability 20000
Cash account 20000
b. Cash account 3000000
Sales revenue (500*6000- 56000) 2944000
Unearned warranty revenue 56000
Warranty expenses 20000
Cash account 20000
Unearned warranty revenue 20364
Warranty revenue (56000*20000/55000) 20364
To be a successful manager, the only skills an IT project manager needs to possess is excellent technical skills.
True/False
Answer:
false
Explanation:
For successful IT managers, IT knowledge is not only the skills that need to be inherited but skills like communication, organizational and negotiation skills are must also.
other skills other than IT is also play a very important role in the growth of an individual.
communication skills help to developed interpersonal skills. A good communicator is a good influencer and good motivator thus individual having good communication can help and guide their subordinate to bring the positive results
On September 1, Horton purchased $13,300 of inventory items on credit with the terms 1/15, net 30, FOB destination. Freight charges were $280. Payment for the purchase was made on September 18. Assuming Horton uses the perpetual inventory system and the net method of accounting for purchase discounts, what amount is recorded as inventory from this purchase?
a. $13,580
b. $13,300
c. $13,167
d. $13,447
Answer:
amount record inventory = 13,167
correct option is c. $13,167
Explanation:
given data
purchased = $13,300
terms = 1/15, net 30
Freight charges = $280
solution
we get here amount record inventory from the purchase
amount record inventory = purchased × ( 1 - 0.01 )
amount record inventory = 13300 × (1 - 0.01)
amount record inventory = 13300 0.99
amount record inventory = 13,167
correct option is c. $13,167
In December 2015, Apple had cash of $ 37.69 billion, current assets of $ 75.91 billion, and current liabilities of $ 76.31 billion. It also had inventories of $ 2.45 billion. (a) What was Apple's current ratio? (b) What was Apple's quick ratio? (c) In January 2016, Hewlett-Packard had a quick ratio of 0.66 and a current ratio of 0.90. What can you say about the asset liquidity of Apple relative to Hewlett-Packard?
Answer:
(a) 0.99
(b) 0.96
(c) Apple has better liquidity
Explanation:
(a) Apple's current ratio:
= Current assets ÷ Current liabilities
= $ 75.91 billion ÷ $ 76.31 billion
= 0.99
(b) Apple's quick ratio:
= (Current assets - Inventory) ÷ Current liabilities
= ($ 75.91 billion - $ 2.45 billion) ÷$ 76.31 billion
= 0.96
(c) In January 2016,
Quick ratio = 0.66
Current ratio = 0.90
In comparison to H-P assets quality Apple has much better quality. Current ratio and quick ratio of apple is better than H-P which shows that apple has better liquidity than H-P.
Amy sets herself a goal and says. "I'd like to lose 10 pounds." Which of the following criteria of the SMART system is missing in Amy's goal?
a. Specificity
b. time frame
c. measurability
d. realism
Answer:
Letter b is correct. Time frame.
Explanation:
The SMART system is defined as an aid tool for achieving goals. It is a tool that can be used both by an individual and in corporations.
In order to achieve a goal, it is necessary to have the ideal planning of the set of actions that will contribute to the achievement.
Therefore, each letter of the word SMART corresponds to a meaning relevant to the effective implementation and achievement of a goal
S: specific. When drawing up a goal you must be direct and specific.
M: Measurable. To achieve goals, it is necessary to use a tangible indicator that assists the measurement.
A: Achievable. A goal must be planned according to the real possibility of being achieved.
R: Relevant. Goals must be relevant and create positive results for a person or organization.
T: Time. It is necessary to determine a time for the goal to be achieved. In the question above, Amy lacked the planning for the deadline for achieving the goal, because without it there are great chances that the goal will not be taken seriously and not met.
You can actually give yourself a raise by increasing the flow of money into your own account and decreasing the money flowing out.true or false?
Answer:
True
Explanation:
If more money is coming into your account as compared to going out then you are in "positive cash flow". This means that you are in a situation where you can easily pay your bills and also save some money which is good.
If less money is coming into your account as compared to going out then you are in "negative cash flow". This means that you are in a situation where it is very diificult for you to cover your bills and you need more money to survive.
To conclude, the statement is true that you can give yourself a raise by increasing the flow of money into your account and decreasing the out flow.
The statement is false. Simply increasing the flow of money into your own account and decreasing the flow out does not guarantee an increase in income.
Explanation:The statement that you can give yourself a raise by increasing the flow of money into your own account and decreasing the money flowing out is false. Giving yourself a raise typically refers to increasing your income, which generally requires negotiating with your employer or finding additional sources of income. Simply increasing the flow of money into your own account and decreasing the flow out does not guarantee an increase in income.
While managing your finances effectively can contribute to a healthier financial situation, it does not necessarily lead to a raise in the traditional sense. It is important to explore various avenues for increasing your income, such as career advancement, additional education or skills development, or starting a business.
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Exercise 12-04 Sosa Company reported net income of $190,000 for 2022. Sosa Company also reported depreciation expense of $35,000 and a loss of $5,000 on the disposal of plant assets. The comparative balance sheets show an increase in accounts receivable of $15,000 for the year, a $17,000 increase in accounts payable, and a $4,000 increase in prepaid expenses. Prepare the operating activities section of the statement of cash flows for 2022. Use the indirect method.
Answer:
Operating activities of cash flow: $228,000
Explanation:
The operating activities section of the Sosa company cash flow can be determined using the following way.
Net income as reported by Sosa company $190,000
Add:depreciation expense $35,000
Add: a loss on the disposal of asset $5,000
Less:increase in accounts receivable ($15,000)
Add:increase in accounts payable $17,000
Less: increase in prepaid expenses ($4,000)
Operating activities of cash flow: $228,000
Violations of security policies are considered to be a(n) __________ issue upon which proper disciplinary actions must be taken.
a. law enforcement
b. employer-employee
c. executive-staff
d. implementation
Answer:
Violations of security policies are considered to be a law enforcement issue upon which proper disciplinary actions must be taken.
Explanation:
The security policies put into place by the organization actually serve as the first wall of protection for the organization. The organization makes it clear through its security policies what actions would be deemed as an attempt to breach the security and what actions are prohibited within and outside the premises of the organization as an employee of the organization:Stockholders’ equity totaled $94,000 at the beginning of the year. During the year, net income was $24,000, dividends of $9,000 were declared and paid, and $22,000 of common stock was issued at par value. Calculate total stockholders' equity at the end of the year.
Answer:
$131,000
Explanation:
Given that,
Stockholders’ equity at the beginning = $94,000
net income = $24,000
Dividends paid = $9,000
Common stock issued = $22,000
Stockholders' equity at the end:
= Stockholders Equity at the beginning + Net Income - Dividend + Common stock issued
= $94,000 + $24,000 - $9,000 + $22,000
= $131,000
Therefore, the total stockholders' equity at the end of the year is $131,000.
Prat Corp. started the 2018 accounting period with $38,000 of assets (all cash), $16,000 of liabilities, and $13,000 of common stock. During the year, the Retained Earnings account increased by $15,050. The bookkeeper reported that Prat paid cash expenses of $30,000 and paid a $2,800 cash dividend to the stockholders, but she could not find a record of the amount of cash that Prat received for performing services. Prat also paid $11,000 cash to reduce the liability owed to the bank, and the business acquired $8,800 of additional cash from the issue of common stock.
Answer:
Revenues = $47,850
Explanation:
To find the revenue, we have to consider some of the things.
1. Increase in retained earnings: Net income increases retained earnings. To get net income, we need more revenues than expenses.
2. Expenses: As we have expenses, we can find the revenues with the help of retained earnings.
3. Dividends: After deducting the dividends, we can get whether retained earnings increase or decrease.
The following formula can be used -
Beginning retained earnings + Net income (current year) (revenues - expenses) - Dividends = Increase in retained earnings
Putting the value in the formula,
$0 + Revenues - $30,000 - $2,800 = $15,050
or, Revenues - $32,800 = $15,050
or, Revenues = $32,800 + $15,050 = $47,850
When a company introduces new audio products, it often initially sets the price high and lower the price about a year later.
This is an example of:
A) first-degree price discrimination.
B) second-degree price discrimination.
C) intertemporal price discrimination.
D) a two-part tariff.
Answer:
so every one would want to buy it so it would be A
Explanation:
Which of the following countries experienced a decline in total output from 2000 to 2005?
A. Canada.
B. Zimbabwe.
C. China.
D. Burundi.
E. Some countries, such as Zimbabwe, are unable to successfully grow their economies as population growth isgreater than GDP growth.
Answer: The correct answer is "B. Zimbabwe".
Explanation: GDP growth is crucial for an economy, since an increase in it reflects an increase in economic activity. If economic activity picks up, it means that unemployment tends to decrease and that per capita income increases.
In the case of Zimbabwe, population growth is far superior to GDP growth, therefore this makes economic growth much more difficult since there are more people per capita income is diminished.
When you apply for credit, the lender will review the "Four C's" to decide whether you are a good credit risk, or in other words, whether you are likely to pay back the loan. Which of the following is NOT one of the "Four C's"? Capacity, Capital, Character, and Collateral.
Answer:
Collateral is not the one of the Four C's that the lender will consider before deciding to either give you the loan or not offering me a loan package.
Explanation:
The Four C's include Capacity of the borrower to payback, Capital requirement of the borrower, character of the borrower and the conditions on which the lender would agree to offer you a loan. So Collateral is not the one of the four C's that the lender would consider before offering loan to the borrower.
Answer:
The correct answer would be B) Family Size
Explanation:
Which of the following circumstances is (are) not an acceptance of the goods by the buyer
(a) after a reasonable opportunity to inspect the goods signifies to the seller that the goods are conformingor that he will take or retain them in spite of their non-conformity; or
(b) fails to make an effective rejection (subsection (1) of Section 2-602), but such acceptance does not occur until the buyerhas had a reasonable opportunity to inspect them; or
(c) does any act inconsistent with the seller's ownership; but if such act is wrongful as against the seller it is an acceptance only if ratified by him.
Complete question:
Which of the following circumstances is (are) not an acceptance of the goods by the buyer?
a.Payment by the buyer
b.After a reasonable opportunity to inspect the goods, the buyer lets the seller know that the goods are conforming
c.The buyer's failure to make an effective rejection
d.The buyer does an act that is inconsistent with the seller's ownership
e.None of the above
Answer:
Payment by the buyer
Explanation:
According to the UCC, approval takes place where the buyer: after a reasonable chance of inspecting the products, the vendor shows that the goods adhere to or[ or] will be accepted by him given any non-conformity. Does not deny the goods within a fair inspection time; It works in a manner incompatible with ownership of the goods by the seller.
Section 2–602 states that a refusal shall be made within a reasonable period of time following the delivery of the goods and furthermore, the buyer shall, in a reasonable manner, notify the seller of the refusal in a seasonal manner (reasonably swiftly).
A reversionary oil and gas sharing arrangement where the general partner agrees to defer taking a percentage of revenues is also known as a(n)____________.
Answer:
The correct answer is: Reversionary working interest.
Explanation:
Reversionary working interest or Subordinated Royalty Interest refers to general partners coming together to make business but they do not share any of the cost either the revenues until limited partners have received their shares and any interest if agreed.
A contingency reserve is money assigned to the project and allocated for identified risks for which contingent responses are developed.
a. True.
b. False.
Answer:
The correct answer is letter "A": True.
Explanation:
Contingency reserves are funds that companies save to face economic hardships. In some cases, those negative situations can be expected while in some other cases they cannot -such as acts of God. Contingency plans come along with the contingency reserve to have an idea of what the company is going to do with the funds.
Identify the importance of accounting by select statement(s) that is (are) correct below
a. Accounting information helps users make business and financial decisions
b. Accounting information is used throughoutthe year (NOT only at the end of a year when tax returns and financial statements are prepared) by businesses and individuals to help make financial decisions
c. Accounting is a system that identifies, records, and communicates financial informationRevenues – Expenses = Net IncomeComplete the following statement regarding risk analysis
d. Higher risk implies higher, but riskier, expected returns
It should be noted that the importance of accounting by are;
Accounting information helps users make business and financial decisions.Accounting information is used throughout the year (NOT only at the end of a year when tax returns and financial statements are prepared) by businesses and individuals to help make financial decisions.Accounting is a system that identifies, records, and communicates financial information Revenues – Expenses = Net Income Complete the following statement regarding risk analysisAccounting can be regarded as the system which determine , records, and communicates financial information to the organization.
With accounting system, the organization can business and financial decisions easily.
Therefore, option A,B,C are correct.
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Accounting is critically important as it guides decision making, potentiates financial planning, and is a continuous process that systematically identifies, records and communicates all financial information. It provides the necessary data to understand a business's financial health effectively.
Explanation:The field of accounting carries significant importance in both business and personal contexts. Statements a, b, and c are all correct in describing why accounting is critical:
Accounting information provides vital data that the users require for making sound business and financial decisions. It facilitates a detailed understanding of the revenues, expenses, assets, liabilities and owner's equity of the business.Accounting doesn't just come into play at the end of the year during tax returns and financial statement preparation. It is a continuous process used throughout the year, helping businesses and individuals in a myriad of financial decisions, from budget planning to investment decisions.Accounting is a systematic process that identifies, records, and communicates financial information. This means that all monetary transactions are recorded, compiled, and presented in an understandable manner, facilitating transparency and accountability.Learn more about Importance of Accounting here:https://brainly.com/question/30456402
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In general, do you think that outliers would be more likely to occur in the salaries of heads of companies or in the ages of heads of companies? Explain
Answer:
Outliers are more likely to occur in the ages of head of companies than in the salaries of heads of companies.
Explanation:
An outlier is a data point that differs significantly from other observation, it is refer to as an extreme value, compare to other values.
Outliers are more likely to occur in the ages of head of companies than in their salaries because the ages of heads of companies varies, as that is determine by appointment or by efficiency , so anyone of any age that meet the required criteria can assume the position, one can find a youth of 25 as the head of a company or a man in his late 60s as the head of a company.
As for the salaries, it varies as well, but the difference in salaries when compared can not be very wide apart.
Interest-rate increases have a __________ impact on the residential home construction industry and a __________ effect on industries that produce consumer necessities such as prescription drugs or basic grocery items. A. positive; negligibleB. negative; negligibleC. negative; positiveD. positive; negative
Answer:
B. Negative, Negligible
Explanation:
Interest Rate is negatively related to Investment. Higher Interest Rate increases cost of investment, lower interest rate reduces cost of investment.
However, Investment in a particular sector/ industry is also defined by: Concentration of that sector in entire investment outlay & Income Elasticity of the sector's commodity demand. Implicatively, a sector with huge concentration of investment outlay & products with high income elasticity will have more Interest rate sensitive Investment and vice versa.
Construction Industry being very capital intensive has higher investment magnitude & also more Income Elastic demand. So, impact of higher interest rate will impact this industry more.
Necessity goods Industries are less capital intensive , investment concentrated & also have less Income Elastic Demand. So, impact of higher interest rate will impact this industry less.
(Demand's Income Elasticity is the responsiveness of a good's demand to change in Income. It is more in luxurious goods, less in necessity goods)
Interest-rate increases negatively affect the residential home construction industry due to higher borrowing costs, while their effect is negligible on industries producing essential goods like drugs or groceries, which see stable demand.
Interest-rate increases have a negative impact on the residential home construction industry and a negligible effect on industries that produce consumer necessities such as prescription drugs or basic grocery items. Therefore, the correct answer is B. negative; negligible. The relationship between interest rates and investment is directly linked to the cost of borrowing. Higher interest rates make loans more expensive, which reduces investment in sectors that rely heavily on financing, such as the residential home construction industry. On the other hand, industries producing essentials, like prescription drugs and grocery items, are less affected by interest-rate fluctuations because the demand for these products remains relatively stable, regardless of changes in interest rates.
Which of the following best describes how information sharing helps eliminate the bullwhip effect? a) Information sharing reduces information lead time, enabling each organization to plan according to end demand and not according to the orders placed immediately downstream. b) Information sharing reduces price fluctuations by ensuring that all members of the supply chain have access to price and cost information along the entire supply chain. c) Information sharing supports activity-based costing. d) None of these answers are correct.
Information sharing reduces information lead time, enabling each organization to plan according to end demand and not according to the orders placed immediately downstream.
Explanation:
The Bullwhip effect is a trend of the distribution channel where estimates result of inefficiencies in the supply chain. Of reaction to fluctuations the market demand the inventory swings are growing, as the supply chain continues to grow.
The effect of the bullfight generally flows up the supply chain, starting from the retailer, wholesaler, dealer, producer and then the supplier of the raw materials.
This method does not include daily fluctuations to run level. Another way of reducing the bullwhip effect is by eliminating the delays along the supply chain. In general, the fluctuations in the supply chain can be reduced by 80% by cutting order to supply time by half in both real supply chains and supply chain simulations
a) Information sharing reduces information lead time, enabling each organization to plan according to end demand and not according to the orders placed immediately downstream.
Information sharing is crucial in eliminating the bullwhip effect within a supply chain. By reducing information lead time, organizations can better predict actual customer demand rather than reacting to the orders placed by their immediate downstream partners. This helps to eliminate misunderstandings and amplifications of demand variations as information moves upstream. Key benefits include:
Improved demand forecasting accuracy.Reduction in excess inventory costs.Enhanced coordination among supply chain partners. Decreased variability in order quantities.Agile and adaptive supply chains that prioritize knowledge-flow can swiftly respond to changes in market and environmental conditions, ultimately aligning interests across the supply chain to optimize overall performance.
Unbiased Expectations Theory The Wall Street Journal reports that the rate on four-year Treasury securities is 1.60 percent and the rate on five-year Treasury securities is 2.15 percent. According to the unbiased expectations theory, what does the market expect the one-year Treasury rate to be four years from today, E(5r1)? (LG6-7)
Answer:
Explanation: Unbiased Expectations Theory states that current long-term interest rates contain an implicit prediction of future short-term interest rates. More specifically, the theory states that an investor should earn the same amount of interest from an investment in a single two-year bond today as that person would with two consecutive investments in one-year bonds.
From the above question:
1 + 1R5= {(1 + 1R4)4(1 + E(5r1))}1/51.0215
= {(1.016)4(1 + E(5r1))}1/5(1.0215)5
= (1.016)4(1 + E(5r1))(1.0215)5 / (1.016)4
= 1 + E(5r1)1 + E(5r1)
= 1.0438E (5r1) = 4.38%