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matrenka [14]
3 years ago
12

Assuming the cost to place an order is constant, all other things remaining the same, DECREASING the order quantity (Q*) causes

total ANNUAL ordering costs to:
1. Increase.
2. Remain the same.
3. Cannot be determined.
4. Decrease.
Business
1 answer:
Lady bird [3.3K]3 years ago
6 0

Answer:

2. Remain the same.

Explanation:

Ordering cost deals with the entire cost that is uncured by a business entity for placing an order for products used in production. this cost involves both the cost of the goods ordered and all other associated costs of ordering the commodity like documentation cost, goods inspection cost,  cost of arranging the goods in the store, e.t.c.

Where the cost of placing an order is constant all things being equal (e.g. the number of order in a year and change in ordering cost as a result of inflation e.t.c. are held constant).  that is all other things remaining the same, a decrease in ordering quantity will not increase or reduce total annual ordering cost.

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In the short run, the quantity of output that firms supply can deviate from the natural level of output if the ___________ level
Zielflug [23.3K]

Answer:

1.  Actual Price

2.  Misperceptions theory.

Explanation:

In the short run, the quantity of output that firms supply can deviate from the natural level of output if the ACTUAL PRICE level in the economy deviates from the expected price level. Several theories explain how this might happen.

For example, the MISPERCEPTIONS THEORY asserts that output prices adjust more quickly to changes in the price level than wages do, in part because of long-term wage contracts. Suppose a firm signs a contract agreeing to pay its workers $15 per hour for the next year, based on an expected price level of 100 Year.

The above explanations is the reason why the aggregate supply curve slopes upward in the short run

4 0
3 years ago
Money pooled from small investors and used to purchase government or corporate bonds
Amanda [17]
Purchase government of course
8 0
3 years ago
Assume a firm has a beta of 1.2. All else held constant, the cost of equity for this firm will increase if the: beta decreases.
eduard

Answer:

Risk-free rate decreases

Explanation:

The CAPM formula for calculating cost of equity requires one to know the value of 3 pieces of information only:

1. the market rate of return,

2. the beta value

3. the risk-free rate.

Ra = Rrf + [Ba∗(Rm−Rrf)]

where:

Ra=Cost of Equity

Rrf = Risk-Free Rate

Ba = Beta

Rm=Market Rate of Return

​From the formula

Ra = Rrf + [1.2∗(Rm−Rrf)]

Ra = Rrf + 1.2Rm - 1.2Rrf

From Ra = 1.2Rm -0.2Rrf

From the expression above, it can be seen that the lower the value of Rrf (Risk-Free rate), the higher the value of Ra.

4 0
3 years ago
Kermit is considering purchasing a new computer system. The purchase price is $133,063. Kermit will borrow one-fourth of the pur
lesya [120]

Answer:

NPV =  $20,040.35  

Explanation

The net present value NPV) of a project is the present value of cash inflow less the present value of cash outflow of the project.

NPV = PV of cash inflow - PV of cash outflow

We can set out the cash flows of the project using the table below:

Annual net cash inflow = Savings - Technician cost = 61,427- 20,000

                                       = $41,427

PV of Cash flow= $41,427  × (1-(1.12^(-5))/0.12=  149,335.06  

PV of salvage value = 1.12^(-5)×$6,641 =  3768.281749

NPV = 149,335.06  + 3,768.281  -133,063= 20,040.35  

             

7 0
3 years ago
​_______________ tend to carry a wide array of goods for a long period of​ time, while​ _______________ focus more on the positi
Makovka662 [10]

The answers are the following; assortment warehouse and spot stock warehouses.

It is because the assortment warehouse the capability of carrying goods in a long period of time while the spot stock warehouses only has seasonal goods that are placed or focused on.

7 0
3 years ago
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