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Naily [24]
2 years ago
15

Ritz​ Products's materials​ manager, Tej​ Dhakar, must determine whether to make or buy a new semiconductor for the wrist TV tha

t the firm is about to produce. Three million units are expected to be produced over the life cycle. If the product is​ made, start-up and production costs of the make decision total ​$ 2 ​million, with a probability of 0.4 that the product will be satisfactory and a 0.6 probability that it will not. If the product is not​ satisfactory, the firm will have to reevaluate the decision. If the decision is​ reevaluated, the choice will be whether to spend another ​$ 2 million to redesign the semiconductor or to purchase. Likelihood of success the second time that the make decision is made is 0.5. If the second make decision also​ fails, the firm must purchase. Regardless of when the purchase takes​ place, Dhakar's best judgment of cost is that Ritz will pay ​$ 0.40 for each purchased semiconductor plus ​$ 1 million in vendor development cost.
​a) Assuming that Ritz must have the semiconductor​ (stopping or doing without is not a viable​ option), what is the best​ decision?
The firm should
____
the semiconductors because this decision has an expected cost of ​$
____. ​(Enter your response as an integer​.)
Business
1 answer:
Salsk061 [2.6K]2 years ago
4 0

Since Ritz Products must have the semiconductor, its best decision should be to purchase the semiconductors.  The decision to purchase has an expected cost of $2,200,000.

  • This will be far less than the cost of producing the semiconductor because the probability of success for the production option is only 0.4 with a higher failure probability of 0.6 involving additional cost of $2 million.

  • Whereas, the cost of purchasing the semiconductors is only $2.2 million, calculated as follows:

Cost of Purchase:

Variable cost = $1.2 million (3 million x $0.40)

Fixed cost = $1 million

Total costs = $2.2 million

Thus, it will cost Ritz Products only $2.2 million to purchase the semiconductor.

Learn more about buy or make decisions at brainly.com/question/8821357 and brainly.com/question/14270406

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stepladder [879]

Answer:

Mary has increased her data literacy skills that now allow her to​ access, interpret,​ summarize, and communicate data more effectively.

Explanation:

Data analysis is the process by which data is transformed in such a way that useful information can be extracted from it. Data analysis is a key skill that is needed in most business nowadays, for example; financial data can be very crucial in the planning, budgeting and execution of projects. The process of data analysis has been automated to take raw data and produce a result that can be readily consumed easily by humans in the form of charts and graphs. From this end result, conclusions can be drawn by data experts on what the results mean.

Experts in data analysis are therefor needed to adequately access, interpret, summarize and communicate data more effectively. These are skills that need to be learned for better overall quality of the data presentation. In general, the principals are referred to as data literacy skills. Data literacy can be defined as the ability of an individual to extract useful information from raw data.

3 0
3 years ago
Three types of business​ organizations) Limited partnerships have two classes of partners. The _____ limited general partner act
tia_tia [17]

Answer:

General; limited; limited.

Explanation:

Limited partnerships have two classes of partners. These two (2) classes are;

1. General partner: it is a type of partnership in which two or more people come together and have an agreement to do business by sharing profits, assets, debts or financial and legal liabilities.

2. Limited partner: it is a type of partnership in which people come together and have an agreement to do business but the involved partners only contribute financially and solely responsible to the amount of money they invested.

Hence, the general partner actually runs the business and faces unlimited liability for the​ firm's debt, while the limited partner is only liable up to the amount the limited partner invested.

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3 years ago
When a third party bears a cost for a problem they did not cause, it is known as a __________.
alexandr1967 [171]
Negative externality
3 0
3 years ago
Karen and Ethan execute the same roles and responsibilities at their organization. However, Ethan earns more than Karen. Under t
Arturiano [62]

Answer:

The answer is B. Ethan has more experience than Karen.

Explanation:

Now, lets take each Answer option separately and see why only B is correct.

Option A is no longer legally accepted or ethical. Perhaps during the era of segregation back in 1960s' this option could have been acceptable. But today it is illegal and is considered as a violation of basic human rights.

Option C is not correct as well because although people with special needs and physical requirements are entitled to receive certain special treatments, paying them more solely based on their disability is not considered suitable nor ethical.

Option D is unacceptable. No one can assume that men have more stamina than women. There are competent, strong and qualified women who can do their jobs much better than men. So we cannot accept this as an answer.

Option E is incorrect as well. Although a person could be an immigrant, once that person has lawfully taken the citizenship of a country, that "immigrant" is considered as a "citizen" of that country (this is not applicable for illegal immigrants!).

However, we can take option B as the answer. This is because when comparing a new employee with a more experienced employee, we can't see any problem in paying the experienced employee more.

4 0
3 years ago
"Between 2000 and 2008, the price of oil increased from $30 per barrel to $140 per barrel, and the price of gasoline in the Unit
KiRa [710]

Answer:

C) There was no price control on gasoline at the time.

Explanation:

During the 1970s the US government established a price ceiling on gasoline, but as all price ceilings set below the equilibrium price, it results in both a deadweight loss and a supply shortage.

Since the price is "too cheap", then the quantity demanded will be more than the quantity supplied. Rising costs in gasoline production made things worst, since suppliers were constantly reducing their supply of gasoline, while consumer demand was constantly increasing.

3 0
3 years ago
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