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Rainbow [258]
3 years ago
10

The main shortage cost when a producer does not have a requested item in inventory is

Business
1 answer:
Kryger [21]3 years ago
5 0

Answer:

D. The cost from the loss of customer goodwill.

Explanation:

The main shortage costs are the loss of customers that would now go and shop elsewhere. These costs are crucial as once the goodwill is lost it is unlikely the customers would return due to not having being catered the first time. Business want to attract new customers but most importantly they want to retain customers.

This type of shortage cost can be objectified further in marketing costs that were spent to get the customer at the store front in the first place which have been in vain.

All other options are restocking costs that are to be incurred regardless in lead times.

Hope that helps.

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You are evaluating a growing perpetuity investment from a large financial services firm. The investment promises an initial paym
vovikov84 [41]

Answer:

PV= $450,909.1

Explanation:

Giving the following information:

Cash flow (Cf)= $24,800

Growth rate (g)= 3.5%

Discount rate (i)= 9%

<u />

<u>To calculate the present value, we need to use the following formula:</u>

PV= Cf / (i - g)

PV= 24,800 / (0.09 - 0.035)

PV= 24,800 / 0.055

PV= $450,909.1

6 0
3 years ago
Nick has a comprehensive health care policy with a $250 per-calendar-year deductible, an 80% co-insurance provision, and a $1,00
VikaD [51]

Answer:

Nick  pay maximum $930

so correct option is d. $930

Explanation:

given data

health care policy = $250

co-insurance provision = 80 %

it mean claim to be paid by insurance company = 80%

and claim to be paid by Nick =  20 %

co payment cap = $1,000

claim insurance = $600

company paid  = $280

total bills = $5,000

to find out

How much will Nick have to pay for the second claim

solution

we get first amount to be paid by insurance company and nick  is

amount to be paid by insurance company and nick  = $600 - $250

amount to be paid by insurance company and nick = $350

and

we know here 80% of $350  paid by insurance company

so paid by insurance company  = 80% of $350 = $280

and  paid by Nick = $350 - $280 = $70

so Limit available to co payment = $1000 - $70

Limit available to co payment = $930

so Nick  pay maximum $930

so correct option is d. $930

5 0
3 years ago
On January 1, 1997, an investment account is worth 100,000. On April 1, 1997, the value has increased to 103,000 and 8,000 is wi
loris [4]

Answer:

(B) 6.25%

Explanation:

January 1, 1997 = $100,000

April 1. 1997 = $103,000 - $8,000 = $95,000

January 1, 1999 = $103,992

annual interest rate for 1997 = i = (x - 100,000 + 8,000) / [100,000 - 8,000(1 - ³/₁₂) = (x - 100,000 + 8,000) / [100,000 - 8,000(1 - 0.25) = (x - 92,000) / 94,000

x = 92,000 + 94,000i

annual interest rate for 1998 = 1 + i = 103,992/x

x = 103,992/(1 + i)

0 = x(1 + i) - 103,992

now we replace x by 92,000 + 94,000i

0 = (92,000 + 94,000i)(1 + i) - 103,992

0 = (94,000 (1 + i) - 2,000)(1 + i) - 103,992

we now replace 1 + i by Y

0 = (94,000Y - 2,000)Y - 103,992

0 = 94,000Y² - 2,000Y - 103,992

using a calculator, Y = 6.25%

4 0
3 years ago
Sydney has inherited her grandmother's estate worth approximately $4.5 million. She is worried about paying taxes on the estate
weeeeeb [17]

Answer:

She pays the inheritance tax , while the estate is responsible for the estate tax.

Explanation:

Inheritance tax is a form of tax that every beneficiary of an inherited estate must pay. Regardless of the situation and location of the inherited property , inheritance tax is calculated individually for different beneficiary.

The estate in which a particular property is located is responsible for the estate tax. This is calculated based on the value of the property and paid by the estate management for all properties within the estate before rents are remitted to the landlords.

4 0
3 years ago
Read 2 more answers
General Motors increases the price of a model car produced exclusively for export to Europe. Which U.S. price index is affected?
alexira [117]

Answer: The GDP deflator

Explanation: The GDP(gross domestic product) deflator is a price index that is used to measure the prices of all the goods and services produced within an economy. The cars which are exported by General Motors are produced domestically within the United States of America and exported outside the country.

Any goods produced externally are not considered when determining the GDP deflator.

4 0
3 years ago
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