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nadya68 [22]
2 years ago
5

The decision rule in a sell-or-process-further decision is:

Business
1 answer:
dlinn [17]2 years ago
4 0

Answer:

The answer is: Incremental processing costs

Explanation:

The decision rule in a sell or process further decision is the choice between selling a product now or process that product more so that more money can be made. This happens a lot in business that process agricultural products. For example, the company should sell corn as it is, or should it process it to make corn oil, or should it even process it a little more to make margarine.

The company will make a decision based on the incremental analysis of whether the additional incremental revenue provided by margarine exceeds all the additional incremental costs of producing margarine.

Production costs are not linear. Variable costs can change if the quantity being produced changes. For instance a company makes 100 chairs so it buys enough wood for the 100 chairs. But if they decide to produce 200 chairs, then they will probably be able to get a discount for buying a larger amount of wood. Fixed costs tend to decrease as the units produced increase until a point were a new machine is needed or new workers must be hired.

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Suppose that the U.S. government deficit​ decreases, causing interest rates in the United States to fall relative to those in th
snow_tiger [21]

Answer:

A) Demand would increase

Explanation:

Interest rates and demand are inversely related, that is to say, if interest rates rise, demand decreases, and if interest rates go down, demand goes up.

The reason for this is that a lower interest rate means that loans are cheaper. As loans are cheaper, investments increase, and more investment means more aggregate demand because investment is one of its components.

8 0
2 years ago
Because all work ultimately entails some human interaction, effort, or involvement, Bossidy and Charan believe that focusing on
jeka94

Answer:

The correct answer is False.

Explanation:

It is not true that Bossiddy and Charan consider that the synergy process is the most important, without ignoring that it is very useful for achieving organizational goals. What these authors propose is that the process executed by people is the most important among the top 3 (people, strategy and operations.

8 0
3 years ago
Dee's has a fixed asset turnover rate of 1.12 and a total asset turnover rate of 0.91. Sam's has a fixed asset turnover rate of
Andreyy89

Answer:

B.utilizing its total assets more efficiently than Sam's

Explanation:

Dee's has a fixed asset turnover rate of 1.12 and a total asset turnover rate of 0.91. Sam's has a fixed asset turnover rate of 1.15 and a total asset turnover rate of 0.88. Both companies have similar operations.

Based on this information, although Sam seems to be utilizing its fixed assets more efficiently, <u>Dee's must be doing utilizing its total assets more efficiently than Sam's</u>

<u>The fixed asset turnover ratio is an efficiency ratio that measures a companies return on their investment in property, plant, and equipment by comparing net sales with fixed assets. In other words, it calculates how efficiently a company is a producing sales with its machines and equipment.</u>

Dee's has a total asset turnover rate of 0.91 compared to a total asset turnover rate of 0.88 by Sam. Hence Dee's efficiency is higher.

5 0
2 years ago
Ben learns that the company was going to be laying off several employees over the next several months. He knew that the rumor mi
sleet_krkn [62]

Answer:

D. Call an all staff meeting and give everyone the news at once.

Explanation:

Instead of letting the rumors spread throughout the company, what Ben is supposed to do is have a meeting with his entire staff and let all of them know at once what's going on. This way, he will be clear and direct and won't allow for gossip to spread throughout his company and he himself will address the issue head-on. This way he won't leave room for misinterpretation as he will explain what is going to happen.

5 0
3 years ago
From the information given below construct a cash budget for five months period starting form May 20X1 till September. MONTH AND
Alenkinab [10]

Answer:

Cash Surplus  May   $83,300   June    $  61,600   July    $33,000  

Aug  $25,500        Sept $  3650

Explanation:

MONTH AND YEAR          PROJECTED SALES        FIRST MONTH      

                                                                                   COLLECTIONS (80%)

April 20X1                               $ 140,000                   112,000

May 20X1                                 130,000                      104,000

June 20X1                                90,000                        72,000

July 20X1                                  65,000                         52,000

August 20X1                            84,000                         67,200

September 20X1                      95,000                          76,000

October 20X1                          160,000                         128,000  

November 20X1                      200,000                        160,000

December 20X1                       240,000                       192,000

January 20X2                            190,000                      152,000  

<u><em>First we find the monthly cash collections 80 % in the month of sales , 10% in the second month , 5% in the third and 5 % in the fourth . We have summed them up in the following table.</em></u>

Sales Collections

                          MAY        JUNE      JULY        AUGUST         SEPT

Particulars

1st Month         104,000     72,000     52,000   67,000      76,000

Collections

2nd Month      14,000       13,000       9000      6500         8400

3rd Month                         7000         6500       4500         3250

<u>4th Month                                            7000      6500         4500</u>

Total

Collections       118,000      92,000    74,500    84,500      92,150

<u><em>Now we prepare the cash budget deducting payments from collections and maintaining beginning and ending balance.</em></u>

<u>Cash Budget</u>

                    <u>  MAY        JUNE      JULY        AUGUST         SEPT</u>

<em>Particulars</em>

Opening          10,000     10,000     10,000      10,000        10,000

Add Total

Collections       118,000      92,000    74,500    84,500      92,150

Less Closing    10,000        10,000       10,000      10,000      10,000

<u>Less Payments34,700        30,400     41,500      59,000       88,500 </u>

<u> Cash Surplus    83,300        61,600     33,000   25,500       3650</u>

<u />

4 0
2 years ago
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