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mr Goodwill [35]
2 years ago
11

Kamath-Meier Corporation's CFO uses this equation, which was developed by regressing inventories on sales over the past 5 years,

to forecast inventory requirements: Inventories = $22.0 + 0.125(Sales). The company expects sales of $300.0 million during the current year, and it expects sales to grow by 32% next year. What is the inventory forecast for next year? All dollars are in millions.
Business
1 answer:
charle [14.2K]2 years ago
7 0

Answer:

$71.5

Explanation:

Inventory forecast is a way of predicting the volume of inventory required to fulfill future orders based on the existing production capacity and other plans relating to production

equation for forecasting inventory = $22 + 0.125 sales

Current sales = $300 million

Annual sales growth rate =32%

sales for next year = 300 + (300*32%)

300 + 96= $396 million

Applying the equation

Inventory = $22 + (0.125*396)

$22 + $49.5 = $71.5 million

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Leaf] Leaf, an employee of the California Department of Forestry, insisted on signing inter-office memoranda with his name and t
dusya [7]

Answer: If it has a secular legal purpose, has a primary effect of neither advancing nor inhibiting religion, and does not foster an excessive government entanglement with religion

Explanation:

The Establishment clause prevent the Congress from having a state religion or honig preference to one religion above another one.

The circumstances that a state law would be permissible under the establishment clause include if it has a secular legal purpose, has a primary effect of neither advancing nor inhibiting religion, and does not foster an excessive government entanglement with religion.

5 0
2 years ago
Marginal benefit is the * 1 point a) increase in net benefit that a person receives from consuming another unit of a good. b) ad
Svetlanka [38]

Answer:

d) change in total benefit that occurs when a person consumes another unit of the good.

Explanation:

Marginal cost can be defined as the additional or extra cost that is being incurred by a company as a result of the production of an additional unit of a product or service.

Generally, marginal cost can be calculated by dividing the change in production costs by the change in level of output or quantity.

Utility can be defined as any satisfaction or benefits a customer derives from the use of a product or service.

This ultimately implies that, any satisfaction or benefits a customer derives from the use of a product or service is generally referred to as a utility.

Furthermore, the marginal utility of goods and services is the additional satisfaction that a consumer derives from consuming or buying an additional unit of a good or service.

Marginal benefit can be defined as the highest amount of money (in dollars) that a consumer (buyer) is willing to pay to a seller in order to acquire an additional unit of a product i.e one more unit of the product.

Hence, marginal benefit would be described as the change in total benefit that occurs when a person consumes another unit of the good.

5 0
2 years ago
A company has break-even sales of $200,000. If the company expects sales of $500,000, the margin of safety i is________.
zhuklara [117]

Answer:

Margin of safety = $300000

Explanation:

The margin of safety is the amount or units in excess of the break even level of sales or units. It is the region beyond the break even point and represents the profit for the business. Any units in excess of the break even point represents the margin of safety.

The margin of safety for the given question with expected sales of $500000 and break even sales of $200000 can be calculated as follows,

Margin of safety = 500000 - 200000  =  $300000

7 0
3 years ago
The following income statement was produced when volume of sales was at 400 units. Sales Revenue $ 1,600 Variable Cost 700 Contr
lilavasa [31]

Answer:

If volume reaches 500 units, net income will be: $715

Explanation:

When  volume of sales was at 400 units:

Selling price per unit = Sales Revenue/400 = $1,600/400 = $4

Variable Cost per unit = Variable Cost/400 = $700/400 = $1.75

If volume reaches 500 units:

Total Sales Revenue = $4 x 500 = $2,000

Variable Cost = $1.75 x 500 = $875

Fixed Cost will not change = $410

Net income = Total Sales Revenue - Variable Cost - Fixed Cost = $2,000 - $875 - $410 = $715

7 0
3 years ago
g An increase in demand is represented by a a. movement downward and to the right along a demand curve. b. movement upward and t
Lana71 [14]

Answer: c. rightward shift of a demand curve.

Explanation:

When there is movement along the demand curve, this is due to a change in the price of the good.

However, an increase in demand is noted by a rightward shift in the Demand curve. This is to signify that the demand has changed even though the price had remained the same. This shift is meant to signify that something else apart from price has caused an increase in demand such as an increase in income. After the shift, the price will have to change to reflect a new Equilibrium which will be the new intersection point with the Supply Curve.

I have attached a graph showing what happens when Quantity Demand increases.

4 0
3 years ago
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