Answer:
False ( "Large lot sizes" is not considered essential for JIT )
Explanation:
Just in time is an arrangement and alignment of raw material supply with the production process of the business. It minimizes the holding cost, lead time required for delivery of raw material, the setup times and sizes of orders.
The Large lot sizes is not a characteristics of JIT because it may requires the storage facility to place the large orders until used in production which might increase the holding cost.
So, Large Lot Sizes are not considered essential for a comprehensive JIT implementation.
What ???????????? I’m confused
Answer:
MILLER STORES
Ke = Rf + β(Market risk premium)
12.7 = Rf + 1.38(7.4)
12.7 = Rf + 10.212
Rf = 12.7 - 10.212
Rf = 2.488%
DIVISION A
Ke = Rf + β(Risk premium)
Ke = 2.488 + 1.52(7.4)
Ke = 2.488 + 11.248
Ke = 13.74%
Explanation:
First and foremost, we need to calculate risk-free rate using the data relating to Miller Stores. In this case, the cost of equity, beta and market risk premium of Miller Stores were provided with the exception of risk-free rate. Then, we will make risk-free rate the subject of the formula.
We also need to calculate the cost of capital of division A, which is risk-free rate plus beta multiplied by the market risk-premium.
Answer:
mainly because of the countries negative trade balance, but also because it is strictly regulated by the central bank which is the National bank of Ethiopia.
