Answer:
b. 3,249 units
Explanation:
Step 1. Given information.
Fix costs are 32.000
Depreciation expense 9.700
Contribution margin 9.85
Step 2. Formulas needed to solve the exercise.
Break even point = Fixed cost / contribution per unit
Step 3. Calculation.
Break even point= $32.000/$9.85= 3,248.73 rounded to 3,249
Step 4. Solution.
3.249 units is the minimum number of units to ensure its potential loss does not exceed the desired level
Option B is correct i.e. 3.249 units
Answer:
Centralized production processing facility considers top management as the apex of decision making.
In decentralized production processing the decision making is delegated to teams and multiple individuals.
Explanation:
Centralized facility:
Pros:
a. In centralized facility top management commitment helps in improved decision making
b. Allocation of budgets to improve production processes.
c. The process becomes a part of strategic planning.
d. Standardization of processes like Mcdonalds kitchen.
e. Lower costs
f. Better forecasting
Cons:
a. Lack of flexibility
b. In case of international chains customers may be dissatisfied with standardized procedures
c. No room for customization
Decentralized Facility:
Pros:
a. Flexibility
b. Customer oriented approach
c. lack of bureaucratic procedure
d. quick decision making
Cons:
a. No standardization
b. Every Team has its own benchmarking process to evaluate performance.
c. Costly
d. Planning, budgeting and forecasting is effected adversely.
An employer has 2500 employees. They may want to consider self-insurance for their health benefits plans and workers' compensation plans because the employers can use duplication of exposure units in the insurance plans
<h3>What is Self-Insurance?</h3>
This refers to the type of insurance for oneself or one's interests by maintaining a fund to cover possible losses rather than by purchasing an insurance policy.
Hence, we can see that An employer has 2500 employees. They may want to consider self-insurance for their health benefits plans and workers' compensation plans because the employers can use duplication of exposure units in the insurance plans
Read more about self-insurance here:
brainly.com/question/13678242
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Answer:
Market Power
Explanation:
Market Power is the ability of firms to raise price above the level of perfect competition price. Perfect Competition charge Price = Marginal Cost, Imperfectly, other imperfect markets charge price > MC.
This power is used by imperfect market structures - monopoly, oligopoly, monopolistic competition. They can use this power because - they have control over market price, as they comprise a significant part of market supply. Eg : Monopolies usually use 'artificial scarcity' model to maintain a surplus in market & charge higher prices.
