Answer:
<u>Stock-out</u> cost
Explanation:
Stock out is a scenario in business where a company sells all available units of a product and runs out of inventory for that product. <u>When this happens, the organization loses revenue as it cannot meet the subsequent demands of customers</u>.
This cost incurred is known as stock out cost.
So, <em>even though Jeff Murrah, the sales manager, was delighted with the product's success, his excitement was overshadowed by the </em><u><em>stock out cost</em></u><em> his division would incur.</em>
Answer:
The firm's accounts receivable period is 23.25 days
Explanation:
Accounts receivable period = 365 / Account receivable turnover ratio
When Account receivable turnover ratio = Net sales / Account receivables
Account receivable turnover ratio = 118,280 * 365 days/ 2,750,000
Account receivable turnover ratio = 15.698
Hence, Account receivable period = 365 / 15.698
Account receivable period = 23.25 days
Answer:
opportunity cost = 30,000
Explanation:
The opportunity cost is the return in the alternative investment:
250,000 x 12% = 30,000 opportunity cost
The economic profit would be the lease less the opportunity cost
35,000 - 30,000 = 5,000 economic profit
<u>Note: If there was two or more alternatives, </u>we should pick the investment with the highest yield.
Closest to the view of the majority of voters.
The Anthony Downs model attempts to apply economic theories to political decision making.
