Let us see it from a cost-efficiency point of view. We have that every unit of the first selles costs 40$. But the total cost might be higher, since there is a chance for defect. On average, on 3% of the cases the defect will happen and it will cost him 500$. Hence, on average, a fence unit from producer a costs 40$ and has a repair cost of 3%*500$=15$. The total thus is 55$. For the second provider of fences, the standard cost is 50$. Similarly, the average repair cost is 0,5%*500$=2,5$. Hence, the total cost per unit is 52,5$ (total cost=upfront payment+repair costs). We see thus that the lady should win the bid; even if you pay more upfront, the difference in durability makes up the cost difference.
Answer: He should decline production of the machine.
Explanation:
Analyzing the problem, we can determine if he should proceed or not by calculating the Net present value. That is present value of the machine in terms of perpetuity as it will be used forever and the cost incurred in its production.
Given the following ;
To manufacture $200 = 1 year, meaning
Amount or yearly payment = $200
Cost of machine = $2,000
Interest rate(r) = 11.5% = 0.115
Recall;
Present the value if perpetuity ;
(Payment per period ÷ rate)
= $200 ÷ 0.115 = $1739.13
Net present value = $1,739.13 - $2000 = - 260.87
Given the negative value of NPV, the cost outweighs the benefit, hence, he should decline.
Are you referring to this question, with the same choices too?
When Procter & Gamble bought the Old Spice brand in 1990, it planned to transform the old, stagnating brand into a men's "personal-care powerhouse." The ads that P&G developed shed the older-man image and the message is now targeted at the 18 to 34 year old age group. In terms of the communication process, the _________ would encode the message
A. communication channel
B. receiver
C. decoder
D. source
<span>E. field of experience
</span>
If so, then the answer is letter D. source.
Answer: (E) Strategic human resource management.
Explanation:
The strategic human resource management is one of the organization practices that developed various types goals, objective and the strategy of the human resource management.
The main aim of the human resource management is that it develop the organization culture, rewarding, innovation and also provide the advance flexibility.
They make the organization more stronger and effective by find out the talented employees and it is also known as the support system of an organization.
Therefore, Option (E) is correct.
