Answer:
suppliers (or vendors)
Explanation:
Supply chain management refers to how the company manages:
- the distribution and storing of materials needed to manufacture a product (upstream)
- the inventory management of materials, components and final goods
- the distribution of finished goods to final customers using different downstream channels (wholesalers, retailers, etc.)
Answer:
Customer lifetime value predicts how much profit is associated with a customer during the course of their lifetime relationship with a company.
Explanation:
It is important to manage customer relationships because customers provide a great deal of value to the company if they remain customers for many years.
Customer lifetime value is greater for companies who have loyal customers as compared to customers who are one time only. They add less value to the company as customers are also a source of promotion for the company.
Answer:
Neither
Explanation:
The internal rate of return is a capital budgeting method that is used to determine the profitability of a project.
Internal rate of return is the discount rate that equates the after-tax cash flows from an investment to the amount invested
The decision rule when using the internal rate of return is to undertake the project if the internal rate of return is greater than the required return of the project. If this is not met, the project should be rejected.
If choosing between multiple projects, the decision rule is to choose the projects with the highest internal rate of return. This is because that project would be the most profitable.
Neither of the project should be selected because the IRR of both projects is less than their required returns
Answer:
First option will be recommended.
Explanation:
To determine which option to be taken, we calculate the net present value each option generates. The option generating higher NPV should be recommended.
- Net present value of first option = Lump sum receipt = $150,000.
- Net present value of second option will be found by discounting cash flows at investing rate 12% and calculated as followed:
+ Present value of 20 equal annual payment of $14,000 + Present value of $60,000 paid in 20 years = (14,000/12%) x [ 1 - 1.12^(-20)] + 60,000/1.12^20 = $110,792.
As net present value of the first option is higher than the second option, first option will be recommended.
Answer: 8.56crews
Explanation:
To get critical fractile probability SL,
We stock up the local trash collection capacity.Cost of overstocking by 1 ton =MC = 625/5 = $125Cost of understocking by 1 ton = additional cost of using outside trash pick up = MB = $650-$125 = $5
SL = Prob(RQ) = MB /( MB + MC) = 525/(125 + 525) = 0.8077 appropriate # of crews = 8.56 crews
