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yan [13]
3 years ago
14

Many personal care companies combine toothpaste with a toothbrush at a reduced price. this is an example of​ __________ pricing.

Business
1 answer:
Vilka [71]3 years ago
5 0
Many personal care companies combine toothpaste with a toothbrush at a reduced price. Another example is fast food chains that combine a sandwich, fries and a drink for a lower price over purchasing them separately.  This is also true for cable companies giving you a better deal if you purchase T.V., home phone and internet. This helps insure they are keeping your business for all services on the market. 
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Suppose a manufacturing plant is considering three options for expansion. The first one is to expand into a new plant (large), t
sp2606 [1]

Answer:

a. $50,000

b. $77,500

c. $27,500

d. Large expansion or plant

Explanation:

a. What is the highest Expected Monetary Value (EMV)?

1. EMV of Large expansion = ($100000×0.50) + ($10000×0.25) + (-$10000×0.25)

EMV of Large expansion =

2. EMV of Medium expansion = ($40000×0.50) + ($40000×0.25) + ($5000×0.25)

EMV of Medium expansion = $31,250

3. EMV of Small expansion = ($15000×0.50) + ($15000×0.25) + ($15000×0.25)

EMV of Small expansion = $15,000

The highest EMV is $50,000 which is the EMV of Large expansion.

b. What is Expected Value with Perfect Information (EVwPI)?

EVwPI is obtained by adding together the expected value of the highest profit from each of the expansions as follows:

EVwPI = ($100000×0.50) + ($40000×0.50) + ($15000×0.50)

EVwPI = $77,500

c. What is the organization willing to pay for perfect information?

This requires the calculation of Expected Value of Perfect Information (EVPI). This can be obtained as follows:

EVPI = EVwPI - EVwoPI

Where EVwoPI denotes Expected Value without Perfect Information and it is is the highest EMV of $50,000 which is the EMV of Large expansion obtained in a above.

Substituting the figures, we have:

EVPI = $77,500 - $50,000 = $27,500

d. Which of the expansion plans should the manager choose?

The manager should choose the large expansion because it has the highest or maximum EMV of $50,000.

4 0
2 years ago
Read 2 more answers
Sarratt Corporation's contribution margin ratio is 70% and its fixed monthly expenses are $38,000. Assume that the company's sal
Ahat [919]

Answer:

The company's net operating income for May is $7,930

Explanation:

Sales revenue = $97,000

Variable costs

= $97,000 × (1 - 70%)

= $97,000 × 0.69

= $66,930

Fixed costs = $38,000

Therefore, net operating income = Sales - revenue - variable cost - fixed cost

= $97,000 - $66,930 - $38,000

= $7,930

3 0
3 years ago
Which fiscal policy would be the most contractionary? 
A. A $40 billion increase in taxes
B. A $50 billion increase in governmen
Elena L [17]

Answer: Option (C) is correct.

Explanation:

Correct option: A $50 billion decrease in government spending would be the most contractionary fiscal policy.

A. Increase the taxes by $40 billion is also a contractionary fiscal policy but it doesn't have a greater impact than decreasing  the government spending by $50 billion.

B. It is an expansionary fiscal policy.

D. There are both expansionary fiscal policy by decreasing taxes by $10 billion and contractionary fiscal policy by decreasing government spending by $40 billion. But it doesn't have much impact as the option (C) is having.

Therefore, Option (C) is having the most contractionary fiscal policy.

5 0
3 years ago
Why is it important for cashiers and clerks to enjoy dealing with people?
Korolek [52]

Answer:

C. -Because They are responsible for customer satisfaction

Explanation:

Every Cashier is responsible for making sure that the customer Gets what he or she needs. and ever customer should be treated fairly. Every Customer should be happy when Getting Served.

3 0
3 years ago
In what ways might monetary policy be superior to fiscal policy?
a_sh-v [17]

Monetary policy does not require congressional approval, it is more flexible than fiscal policy. Conversely, monetary policy has a propensity to increase inflation more than fiscal policy.

A country's central bank uses a set of instruments called monetary policy to regulate the total amount of money in circulation, foster economic expansion, and implement measures like adjusting interest rates and altering bank reserve requirements.

The Federal Reserve Bank of the United States carries out a monetary policy under a twin mandate to maximise employment while containing inflation.

A nation's overall money supply is managed by monetary policy, which also aims to promote economic growth.

Interest rate changes and adjustments to bank reserve requirements are examples of monetary policy strategies.

Learn more about monetary policy here:

brainly.com/question/28038989

#SPJ4

6 0
1 year ago
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