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Ilia_Sergeevich [38]

3 years ago

11

When making a decision, you decide that the expected benefits of your choice outweigh the expected benefits of all other options

. This describes the _________________ of your decision.

1 answer:

lakkis [162]3 years ago

3 0

Answer:

The right solution will be "trade-offs".

Explanation:

An exploration of trade-offs is a way of choosing between opposing alternatives.
Even though unofficial market experiments are often conducted essentially by logically evaluating options and making an informed decision, systematic trade experiments become beneficial in refining and reasserting opinions as well as eliminating prejudice from the course of action.

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Bell Computers purchases integrated chips at â€‹$350 per chip. The holding cost is â€‹$35 per unit perâ€‹ year, the ordering cos

valentina_108 [34]

Answer:

<h3><u>When holding costs are $35 per unit</u>,</h3>

1.The most cost-effective order quantity (assuming they take the most cost-effective discount, and use a fixed holding cost) is <u>182 units</u>.

2. At the chosen level of quantity, discount, and using the fixed holding cost, the total annual cost for Bell computers to order, purchase, and hold the integrated chips is <u>$1,585,898</u>.

<h3><u>When holding costs are 10% of purchase price per unit,</u></h3>

1.The most cost-effective order quantity (assuming they take the most cost-effective discount, and use a fixed holding cost) is <u>189 units</u>.

2. At the chosen level of quantity, discount, and using the fixed holding cost, the total annual cost for Bell computers to order, purchase, and hold the integrated chips is <u>$1,585,546.</u>

<h3>When holding costs are $35 per unit,</h3>

We follow these steps to arrive at the answer:

1. We have

Ordering Costs per order $119

Holding Cost per unit $35

Demand per month 405 units

Demand per year is $405*12 = 4860 units$

Since the most cost-effective order quantity is the Economic Order Quantity (EOQ), we compute the EOQ

$\mathbf{EOQ = \sqrt{\frac{2SD}{H}}}$

where

D is demand per year

S is the Ordering cost per order

H is the holding cost per unit

Substituting the values we get,

$EOQ = \sqrt{\frac{2*(405*12)*119}{35}}$

$EOQ = \sqrt{33048}$

$\mathbf{EOQ = 181.7910889 \approx 182 units}$

2. The annual costs of ordering, purchasing and holding the integrated chips is the sum of the cost of ordering, purchasing and holding the integrated chips.

Since the EOQ at 182 units falls in the second slab of Rich Blue Manufacturing, Bell computer can purchase chips at $325 per unit

Cost of purchasing the chips $\mathbf{405*12*325 = 1579500}$

Number of orders to placed $\frac{Annual Demand}{EOQ}$

Number of orders to placed $\frac{405*12}{182}$

Number of orders to placed $\mathbf{26.703 \approx 27 orders}$

Cost of orders $Number of orders * Cost per order$

Cost of orders $\mathbf{27 * 119 = 3213
}$

Holding Costs $\frac{EOQ}{2} * Holding cost per unit$

Holding Costs $\frac{182}{2} * 35$

Holding Costs $\mathbf{3185
}$

Total annual costs $\mathbf{1579500 + 3213 + 3185 = 1585898}$

<h3>When holding costs are 10% of purchase price per unit,</h3>

1. We need to calculate the EOQ, which holding cost at each purchase price

$EOQ_{350} = (2*(405*12)*119)/(350*0.10) \approx 182 units$

$\mathbf{EOQ_{325} = (2*(405*12)*119)/(325*0.10)\approx 189 units}$

$EOQ_{300} = (2*(405*12)*119)/(300*0.10)\approx 197 units$

Since the EOQ lies between 100 and 199 units in all the three costs, Bell Computers can purchase the units only at $325 per unit, so its holding cost will be 10% of $325, which is $32.50 per unit.

2.2. The annual costs of ordering, purchasing and holding the integrated chips is the sum of the cost of ordering, purchasing and holding the integrated chips.

Since the EOQ at 189 units falls in the second slab of Rich Blue Manufacturing, Bell computer can purchase chips at $325 per unit

Cost of purchasing the chips $\mathbf{405*12*325 = 1579500}$

Number of orders to placed $\frac{Annual Demand}{EOQ}$

Number of orders to placed $\frac{405*12}{189}$

Number of orders to placed $\mathbf{24.762 \approx 25 orders}$

Cost of orders $Number of orders * Cost per order$

Cost of orders $\mathbf{25 * 119 = 2975 }$

Holding Costs $\frac{EOQ}{2} * Holding cost per unit$

Holding Costs $\frac{189}{2} * 32.5$

Holding Costs $\mathbf{3071.25
}$

Total annual costs $\mathbf{1579500 + 2975 + 3071.25 = 1585546.25
}$

<h3></h3>

7 0

3 years ago

What are forms of phishing?

Afina-wow [57]

Deceptive, malware-based, session hijacking, and data theft are all forms of phishing,

5 0

3 years ago

On January 1, 2019, Metco Inc. reported 268,000 shares of $5 par value common stock as being issued and outstanding. On March 24

elena55 [62]

Answer:

The number of shares of stock issued in the stock dividend is 5,312.20 shares.

Explanation:

This can be determined as follows:

Number of shares before stock dividend = Number of shares reported on January 1, 2019 - Number of shares purchased for its treasury on March 24, 2019 + Number of treasury shares were sold on August 19, 2019 = 268,000 - 3,000 + 610 = 265,610

Number of dividend shares = Number of shares before stock dividend * Rate of stock dividend issued = 265,610 * 2% = 5,312.20

Therefore, the number of shares of stock issued in the stock dividend is 5,312.20 shares.

7 0

3 years ago

Scarbrough Corp. factored $600,000 of accounts receivable to Duff Corp. on October 1, year 2. Control was surrendered by Scarbro

Virty [35]

Answer:

Scarbrough will receive and record cash of $538,685

The journal entry to record this transaction would be:

Debit Credit

Cash $2,900,300

Interest Expense $89,700

Notes Payable $2,990,000

Debit Cash for $2900300, debit Interest Expense for $89700, and credit Notes Payable for $2990000

Explanation:

In order to calculate the amount Scarbrough will receive and record cash we would have to make the following calculation:

Scarbrough will receive and record cash=Receivables-Amount of the hold back-Withheld as fee income-Less: Withheld as interest expense

Receivables= $600,000

Amount of the hold back=$600,000 x 5%=$30,000

Withheld as fee income=$600,000 x 3%=$18,000

Withheld as interest expense=$600,000 × 15% × 54/365=$13,315

Therefore, Scarbrough will receive and record cash=$600,000- $30,000-$18,000-$13,315=$538,685

Scarbrough will receive and record cash of $538,685

According to the given data to journal entry to record this transaction would be the following:

Debit Credit

Cash $2,900,300

Interest Expense $89,700

Notes Payable $2,990,000

Interest Expense=$2,990,000 x 3%=$89,700

5 0

3 years ago

Salon Products recently introduced a new all-natural shampoo. Logan, director of new product development, has just reviewed the

diamong [38]

Answer:

Acknowledge the team for their effort.

Explanation:

By acknowledging the effort of the team that worked on the shampoo, the members of the team are encouraged and motivate, knowing that their efforts are accepted. After so doing, Logan can now tell the team about the dismal results which isn't supposed to have happened and the motivation earlier would have let the team members open to innovation.

Cheers.

3 0

3 years ago