For much of the past decade, battles have been going on over oil and gas drilling in

David is trying to decide if it makes sense to outsource the purchasing function. He has a chain of 12 restaurants and employs t

Harrizon [31]

Answer and Explanation:

The computation is shown below;

a) The In-house purchasing cost last year is

= Fixed costs + Variable costs

=$85,000 + Total number of purchase orders × cost per order

= $85,000 + 1400 × 15

= $106,000

b)

The outsourcing cost is

Outsourcing cost = Fixed costs +Variable costs

= $100,000 + Total number of purchase orders × cost per order

= $100,000 + 1400 × 5

= $107,000

c) Total number of purchase orders = 1600

In-house purchasing cost = 85,000 + 1600 × $15 = $109000

Outsourcing cost = $100,000 + 1600 × $5 = $108000

Yes, David should outsource as the outsourcing cost is less than the in-house purchasing cost.

6 0

3 years ago

Please indicate whether each item is Mostly False or Mostly True.

inn [45]

Answer:

1. I can identify the things that I do really well. True, I take feedback and suggestions from experts which lets me know I am doing my job in accordance.

2. I can match my strong points to opportunities in the job market. True, I am a hard-working person and a dedicated person when it comes to Jobs.

3. I get along well with others, even those considered difficult. True, I help the people around me fix their problems even if I have my own.

4. I understand what to do to make myself more competitive. True, I create an opponent inside my mind and emotions to feel challenged and beat my record.

5. I have limited financial resources. False, due to my hard work and experience in business I have many financial resources.

6. I realize that others have more skills in advanced technology than I do.

7. I know exactly what I want to achieve. True, I have set my goals and I can imagine how far I can get.

8. I perform better without specific deadlines. True, in order for me to have a great performance I must take my time to give it all I got.

9. I know what tasks I have to accomplish to reach my goal. True, due to all my experience, I have learned what is needed to comeplete my goal.

10. I know what measures indicate that I have achieved my goal. True.

Explanation:

I own three stores and I am willing to help anyone in the business industry.

6 0

2 years ago

A Chinese company exchanges yuan (Chinese currency) for dollars. It uses these dollars to purchase scrap metal from a U.S. compa

DanielleElmas [232]

Answer:

d. decrease, and U.S. net capital outflow increases.

Explanation:

Yuan is the currency of the country China and the currency of United States of America is dollar. Every country in the world does imports of some goods to meet the demands of the country and exports some items to the other countries that is produced in abundance in the parent country. In this way, countries earn huge capital by doing importing and exporting.

In the context, China will buy scrap metal from United States, thus China is importing a good from U.S. So China will have more of import. Hence China net export will decrease. While U.S. is selling goods to China in exchange of dollar and earning capital. So, net capital outflow of the United States will increase.

7 0

3 years ago

A firm practicing direct price discrimination will charge a higher price to a. Consumers known to have an inelastic demand b.

Shalnov [3]

Answer:

c) Consumers with an inelastic demand

Explanation:

When the price increase, the demand for the product will decrease. The increase in price makes the customer look for a product substitute with cheaper price. Substitutes will keep the demand elastic since it can change easily.

But some customer has an inelastic demand, which means that their demand does not easily change when the price is increased. This type of customer can't substitute and have no choice but to keep buying even at a higher price.

6 0

3 years ago

The dean of the School of Fine Arts is trying to decide whether to purchase a copy machine to place in the lobby of the building

soldi70 [24.7K]

Answer:

The Dean will pay up to 43,810.65 considering the copy-machine cash flow and required return.

Explanation:

17,000 incremental cash flow per year with a three year useful life

we are asked for the present value considering 8% as discount rate:

we have to sovle for the present value of this annuity.

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 17,000.00

time 3

rate 0.08

$17000 \times \frac{1-(1+0.08)^{-3} }{0.08} = PV\\$

PV $43,810.6488

8 0

3 years ago