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3 years ago

The actual inventory holding cost incurred by an item depends on how long it actually spends in inventory.

1 answer:

5 0

True. <span>The actual inventory holding cost incurred by an item depends on how long it actually spends in inventory. Holding costs are costs that happen when the inventory stays put and does not sell. The costs are calculated into the inventory costs along side of ordering and shortage costs. Holding costs can include the goods being damaged or spoiling due to the length of being held. Since they can be held for 5 days or 100 days (example) the total cost that is held depends on the length the items were held for. </span>

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In your own words.<br><br> Why is it important to the business to motivate employees?..

Alexeev081 [22]

This is mainly opinionated, and since I'm young I may be wrong.

I say it's good to motivate them because then they will do a better job at their task and will make you seem like a good boss/person, especially if it's a decent pay that will keep them being able to live. With the motivation, they might even remember more things (Such as: If you work at a gas station, you remember to upsell people when a deal is going on, whereas unmotivated people forget or just don't want to do it and be lazy). It's the same effect of giving a kid a piece of candy for being good, doing chores, or getting a harder question right.

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3 years ago

Which of the following statements concerning family businesses is correct?

miv72 [106K]

Answer:

3. Most top managers at family firms tend to stay in their positions much longer than those at nonfamily firms.

Explanation:

A key success factors in family firms is understanding the culture. This is usually the foundation of the business.

So when family members occupy a position, they tend to stay on much longer because they have intimate knowledge of the business and the goals and objectives are personal to them.

Also loyalty tends to play a part, family members have close relationships which are long-term.

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3 years ago

andre [41]

a) The determination of the optimal size of the order assuming an EOQ model for the local coffee shop is <u>265 pounds</u>.

b) The total cost in the new coffee shop where the demand for coffee increased to 4,000 pounds at an order size of 265 pounds per order (assuming a unit cost of $3 per pound) is <u>$253,500</u>.

<h3>What is the EOQ Model?</h3>

The economic order quantity (EOQ) model calculates the ideal order quantity a company should purchase to minimize inventory costs such as holding costs, shortage costs, and order costs.

It is determined using the following model:

EOQ = square root of: 2 (ordering costs)(demand rate) / holding costs.

Thus, the EOQ model can be worked out as follows:

Determine the demand units.
Determine the ordering cost.
Determine the holding cost.
Multiply the demand by 2.
Then multiply the result by the order cost.
Divide the result by the holding cost.

<h3>Data and Calculations:</h3>

a) The annual demand for coffee = 3,500 pounds

Holding cost per pound = $10

Ordering cost = $100

EOQ = square root of: 2 ($100 x 3,500) / $10

= 265 pounds

The annual demand for coffee = 4,000 pounds

Holding cost per pound = $60

Ordering cost = $100

EOQ (Order size) = 265 pounds

Assumed unit cost per pound = $3

The total cost in the new coffee shop = $

Annual holding cost = $240,000 ($60 x 4,000)

Annual ordering cost = $1,500 ($100 x 4,000/265)

Annual purchase cost = $12,000 (4,000 x $3)

Total costs = $253,500

Learn more about the economic order quantity at brainly.com/question/14625177

6 0

2 years ago

If the owner of a concert hall wishes to use third-degree price discrimination to price its tickets at $20, $15, and $10, it sho

Anika [276]

Answer: more elastic in their demand for tickets

Explanation:

Third-degree price discrimination is used by company when different price is being charged to a particular group of consumers.

Based on the scenario in the question, the owner of the concert hall should price tickets lower for customers who are more elastic in their demand for tickets.

Elastic demand simply means that a little change in the price of the concert hall will lead to a higher change in the quantity demanded. In this case, when the price increases, such people will buy little tickets. Therefore, the prices should be set lower for these set of people as there will be a huge increase in demand when the price is lower.

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2 years ago

What are the two most popular ways people make networking contacts?

Semmy [17]

Answer:

Explanation:

Every contact you meet should lead you to new contacts. That's why it's called networking – just like a net, every connection leads off in two or more directions. Your contacts fall into two groups: those who you immediately know might be able to help you, and those who you don't see any point in talking to.

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2 years ago