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Not necessarily. Sure, there are some things where it is very clear what is right and wrong but there are so many situations where it is hard to differentiate between what is right and what isn't.
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- Ally ✧
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If capacity is expensive and inventory is cheap, a good reason to hold inventory is to level load capacity by using inventory as a buffer between demand variability and capacity utilization-<u>The statement is true</u>
Explanation:
<u>Capacity management</u> can be defined as the act of management to ensure maximization of the product output and the potential activities associated with production,under all the given circumstances
The<u> capacity of a business measures</u> how much the business can achieve, produce, or sell within a given time period.It refers to the maximum output rate a company can produce
<u>Load capacity</u> is use to define the maximum demand, stress, or load that can be placed/leveled on a given system under normal or specified conditions for an extended period of time.
When all tests and or surgeries are done.
It is known as PRODUCER SURPLUS. Producer surplus is a measure of the difference between the amount of money a producer of a good receives and the lowest amount the producer is willing to accept for the good. The difference, which is the surplus amount is the benefit of the producer for selling the good.
Answer: C) -0.5
Explanation:
So first we take down the information we where given;
lets say
x = 50
SO = 50
therefore
uSO = ( 50 * ( 1 + 0.1) = (50 * 1) = 55
dSO = ( 50 * ( 1 - 0.1) = (50 * 0.9) = 45
SO
Pd = (x - dS0) = 50 - 45 = 5
Pu = (x - uSO) = 50 - 55 = (-5) because its negative, its = 0
now to get the HEDGE RATIO
we say HEDGE RATIO = (Pu - Pd) / ( uSO - dSO)
HEDGE RATIO = ( 0 - 5) / ( 55 - 45)
HEDGE RATIO = -5 / 10
HEDGE RATIO = -0.5