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marshall27 [118]
4 years ago
8

Which of the following statements is a true statement about the Newsvendor model? 1 point In the Newsvendor model, the ordering

decision is made before seeing the customer demand. The Newsvendor model can be only applied to vendors who sell newspapers or magazines. The Newsvendor model can be used only if unsold units cannot be salvaged. In the Newsvendor model, the decision-maker who decides how much to order, always knows the exact quantity of demand that will happen.
Business
2 answers:
tekilochka [14]4 years ago
5 0

Answer:

The answer is (a) "In the Newsvendor model, the ordering decision is made before seeing the customer demand."

Explanation:

The Newsvendor model, used by various companies, is a way of predicting consumer demands based on already known variables. It is a core approach in determining supply and inventory in some businesses e.g Newspaper selling, ticket sales for some sports match,etc.Basically, it is used whenever demand for a product is uncertain.It helps to determine outcomes that favor and are less painful to the business owner, supplier or main seller like the Newspaper Vendor.

Maksim231197 [3]4 years ago
4 0

Answer:

In the Newsvendor model, the ordering decision is made before seeing the customer demand.

Explanation:

The newsvendor model is a mathematical model in operations management and applied economics used to determine optimal inventory levels. It is (typically) characterized by fixed prices and uncertain demand for a perishable product.

This model is also known as the newsvendor problem or newsboy problem by analogy with the situation faced by a newspaper vendor who must decide how many copies of the day's paper to stock in the face of uncertain demand and knowing that unsold copies will be worthless at the end of the day.

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Explanation:

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4 years ago
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Katie Homes and Garden Co. has 13,200,000 shares outstanding. The stock is currently selling at $50 per share. If an unfriendly
melamori03 [73]

Answer:

1,980,000            $40

Explanation:

The following is given;

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The existing stockholders buy new shares at 20% below $50.

It is worth learning that poison pill is a tactic used by a company that's threatened with an unwelcome takeover bid to make itself unattractive to the bidder. Through the tactic, the company sells a large number of stocks to existing shareholders at lower prices. Thus,

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=  15% * 13,200,000 = 1,980,000

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4 0
3 years ago
The market capitalization of this company is $140 million, it's beta is 0.75, the risk free rate is 2% and the market risk premi
tiny-mole [99]

Answer:

Ans. The cost of equity capital is 6.5 (6.5%)

Explanation:

Hi, all we need to do is fill the following equation with the data from the problem.

r(e)=rf+beta*(MRP)

Where:

rf = Risk free rate (in our case, 2%)

MRP = market risk premium (in our case, 6%)

r(e) = Cost of equity capital

Therefore, this is what we get.

r(e)=0.02+0.75*0.06=0.065

So the cost of equity capital is 6.5% or 6.5 as the problem suggests to answer.

Best of luck.

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