Answer:
The correct answer is: A) Supply Chain Management
Explanation:
The process of supply chain management includes all the activities starting from the procurement of the products to the delivery to the right customers. It is an integral part of all businesses as the business' functions largely depend on the right and efficient flow of goods. For an effective supply chain process, it has to be made sure that the product and materials are being acquired at the right time, right quantity, and right cost.
Answer:
Present value of all future benefits = 19,042.58 + 55362.48 = $74,409.24
Explanation:
Given data:
Next three payment at end of next three year are $5000,$8000 and $ 10,000
Amount received at the end of 10th year $11,000 per year.
discount rate = 9%
Present cash of flow is calculated as
PV = $ 19,042.58
Present value of annuity 
Present value of annuity = 55,362.48
Present value of all future benefits = 19,042.58 + 55362.48 = $74,409.24
Answer:
a. The firm experiences constant returns to scale.
b. The firm experiences diseconomies of scale.
c. The firm experiences economies of scale.
Explanation:
To answer the question, the following are explained first:
1. Economies of scale: This occurs when a percentage increase in input by a firm leads to greater percentage increase in its output.
2. Diseconomies of scale: This occurs when a percentage increase in input by a firm leads to less percentage increase in its output.
3. Constant returns to scale: This occurs when a percentage increase in by a firm input leads to an equal percentage increase in its output.
From the question therefore, we have:
a. Outputs increase 15 percent: The firm experiences constant returns to scale since a 15 percentage increase in its input leads to an equal percentage increase in its output.
b. Outputs increase by less than 15 percent: The firm experiences diseconomies of scale since a 15 percentage increase in its input leads to a lsess than 15 percentage increase in its output.
c. Outputs increase by greater than 15 percent: The firm experiences economies of scale since a 15 percentage increase in its input leads to an a greater percentage increase in its output.
Answer:
Finance lease is as a lease agreement which transfers all the benefits and risks of ownership of the leased asset. A lease is considered as financial lease if it has following characteristics:
It transfers ownership of the asset to the lessee.
It permits the lessee to purchase the asset at the end of the lease period.
Lease term is at least 75% of useful life of the asset.
Present value of lease payment is at least 90% of the fair value of the asset.
The present value of the minimum lease payments ($20.6 million) is greater than 90% of the fair value of the asset $20.16 million (90% x $22 4 million). The lease period is for 8 years which is less than 75% of expected useful life. But, as one condition is met, the lease will be classified as finance lease. Furthermore, it is a sales-type lease with selling profit because the present value of the minimum lease payments($20.6 million) exceeds the lessors cost ($16 million).
