You can buy at a low price for a stock and sell it for a higher price.
Answer: option 3
Explanation:
Background to the case:
The cases involving the explosion of Ford Pinto's due to a defective fuel system design led to the debate of many issues, most centering around the use by Ford of a cost-benefit analysis and the ethics surrounding its decision not to upgrade the fuel system based on this analysis.
Basis of analysis:
Should a risk/benefit analysis be used in situations where a defect in manufacturing could lead to seriously bodily harm and even worse death, such as in the Ford Pinto situation?
Rule of the court:
There hasn’t really been a definite decision about the case and arguments both for and against such an analysis have been made. It is an economically efficient method which has been accepted by courts for numerous years, however, juries may not always agree, so companies should take this into account.
Discretion is expected to be used.
Answer: (B) Personal selling
Explanation:
The person selling is basically refers to the two-way communication process in which we sell our products and the services face to face to the customer.
The personal selling is also known as the interaction form of selling the products to the user.
The personal selling is one of the most expensive promotion tool as it is hardly used for advertising the products. It mainly involve spreading the information regarding the specific organization products and the services.
Therefore, Option (B) is correct.
Answer:
Explanation:
The journal entries are shown below:
1. Petty cash A/c $1,100
To Cash A/c $1, 100
(Being the petty cash fund is established)
2. Office supplies A/c Dr $614
Miscellaneous selling expense A/c Dr $200
Miscellaneous administrative expense A/c Dr $145
Cash short and over A/c $26
To Petty cash A/c $985
(Being the expenses are recorded)
The Cash short and over is computed below:
= $1,100 - $115- $614 - $200 - $145
= $26
Answer:
Flashfone and Pictech
The Nash equilibrium is achieved when Pictech and Flashfone price their smartphones high without the other party changing their strategy.
Explanation:
a) Data and Calculations:
Pictech
High Low
High 8 8 3 10
Flashfone
Low 10 3 5 5
b) By acting at the Nash equilibrium and pricing their smartphones high, Pictech and Flashfone achieve a payoff of $8 million respectively. This payoff level does not put any of the two firms at a disadvantage.
