Answer:
A make-or-buy decision is an act of choosing between manufacturing a product in-house or purchasing it from an external supplier.
The three main types of contracts if you want to outsource are
- Time and materials Contract
- Fixed Price Contract
- Target Cost Contract
Explanation:
Make-or-buy decisions, like outsourcing decisions, speak to a comparison of the costs and advantages of producing in-house versus buying it elsewhere.
There are many factors at play that may tilt a company from making an item in-house or outsourcing it.
Make-or-buy decisions must be based on the relevant cost of each option.
Relevant costs in make-or-buy decisions include all incremental cash flows.
Any cost that does not change as a result of the decision should be ignored such as depreciation and indirect fixed costs.
Answer:B - Are difficult to manage because there are few options
Explanation: Bottlenecks buy is the purchase of products that have limited manufacturers as well as distributors. This process is a difficult one as its always very difficult to decide on immediate action because of the unreliability of the manufactures/distributors of the products.
Answer a) The letter b is best described as the estimate of the cost for an additional customer visit.
Answer b) The letter y is best described as the observed store cost for a given month.
Answer c) The letter x is best described as observed customer visit for a given month.
Answer d) The estimated cost for 370 customer visits is
Y = a + bx
a =$ 687.65 b = $ 7.59 x = 370 customer visits
Y = $ 687.65 + ($ 7.59 * 370 customer visit) = $ 687.65 + $ 2,808.3 = $ 3,495.95
Answer e) The percent of total variance that can be explained by regression equation is R2 = 0.79754 or 79.754%
Answer:
A.You should go home and watch TV.
Explanation:
You should go home and watch TV because it is the activity that represents the highest value of the three.
It means that it is also the activity that has the lowest opportunity cost among the three, because any other alternative is less valuable to you.
