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maw [93]
3 years ago
12

When aksed if a company should drop a​ product, a segment or line of​ business, what is a key question that should first be​ ask

ed? A. Consider only the sales revenue of the product in making the decision. B. Will any of the fixed costs go​ away? If​ yes, ignore them in the decision process. C. Consider only the operating income and loss of the product in making the decision. D. Will any of the fixed costs go​ away? If​ no, ignore them in the decision process.
Business
1 answer:
Greeley [361]3 years ago
7 0

Answer:

Option B is correct ( Will any of the fixed costs go​ away? If​ yes, ignore them in the decision process)

Explanation:

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The Good Chocolate Company makes a variety of chocolate candies, including a 12-ounce chocolate bar (340 grams) and a box of six
joja [24]

Answer:

A) ≈ 3.509 grams

B) The process is not capable because the lowest Cpk which is 1.89 ≈ 1.9 is far from the ideal 1.33 capability index number ( NO )

c) 1.051 ounces

Explanation:

A) The largest standard deviation ( in grams)

This can be calculated applying the capability index formula and according to the capability index formula the value at which a process is capable is at  : 1.33

hence the largest standard deviation =  upper limit - lower limit / 6 * 1.33

 ( 354 - 326 ) / 7.98 = 3.5087 ≈ 3.509 grams

B) we first calculate the process mean and std of the box

standard deviation = \sqrt{variance }

std of the six-bar box = \sqrt{6*0.86^2}  = 2.106

process mean = 6 * ( 1.03 * 28.33) = 175.079

the mean is not centered between the upper specification and the lower specification hence we will apply the formulae used in calculating the capability index for an uncentered process

Cpk = (upper value - process mean) / (3 * std of box),

         = (187 - 175.079) / ( 3 * 2.106) = 11.921 / 6.318 = 1.89

Cpk =  (process mean -  lower value ) / (3*std of box)

       = ( 175.079 - 153 ) / (3 * 2.106) = 22.079 / 6.318 = 3.49

The process is not capable because the lowest Cpk which is 1.89 ≈ 1.9 is far from the ideal 1.33 capability index number ( N0 )

c ) lowest setting

calculate the value of the mean using capability index of 1.33

Cpk = (upper value - mean ) / 3 * std

mean = 187 - 1.33 * 3 * 2.106

           = 187 - 8.40 = 178.60 grams

Cpk = ( process mean - lower value ) / 3 * std

 mean = 1.33 * 3 * 2.106 + 153

            = 8.40 + 153 = 161.40 grams

the lowest setting in ounces

= 178.60 / ( 6 bar * 28 .33)

= 178.60 / 169.98 = 1.051 ounces

5 0
3 years ago
Sheffield Company signed a long-term noncancelable purchase commitment with a major supplier to purchase raw materials in 2021 a
Sphinxa [80]

The journal entry to record the purchase of the raw materials by Sheffield Company is as follows:

Debit Purchases $1,031,600

Credit Accounts Payable $1,031,600

  • To record the purchase of the raw materials in 2021.

The December adjusting entry can be revised with:

Debit Estimated Liability $53,300

Credit Unrealized holding Loss $53,300

  • To reverse the December 31 adjusting entry.

<h3>What is an unrealized holding loss?</h3>

In this instance, the unrealized holding loss arose from the fact that the market value of the raw materials is less than the purchase amount because of the noncancelable commitment.

Thus, the unrealized holding loss arose as the difference between the market value and the purchase amount.

<h3>Data Analysis:</h3>

Purchases $1,031,600 Accounts Payable $1,031,600

Estimated Liability $53,300 Unrealized holding Loss $53,300

Thus, the entry to record the purchase is a debit to the purchases account and a credit to accounts payable.

Learn more about recording purchases at brainly.com/question/24179237

3 0
2 years ago
Suppose Hamilton decides that if the price of their blenders is $32, the quantity demanded will be 1,000 units, and if the price
olya-2409 [2.1K]

Answer:

-2.5

Explanation:

Elasticity of demand measure the responsiveness of demand against the change in price of the product. It shows how much demand changes if there is the change in price.

Change in Quantity = ( S2 - S1 ) / [ ( S2 + S1 )/2 ]

Change in Quantity = ( 800 - 1,000 ) / [ ( 800 + 1,000 )/2 ]

Change in Quantity = -200 / 900

Change in Quantity = -0.2222222

Change in price = ( P2 - P1 ) / [ ( P2 + P1 )/2 ]

Change in price = ( $35 - $32 ) / [ ( $35 + $32 )/2 ]

Change in price  = $3 / $33.5

Change in price  = 0.090

Elasticity of Supply = Change in Quantity / Change in Price

Elasticity of Supply = -0.2222222 / 0.090 = -2.5

Elasticity of Supply = 0.597 = 0.60

8 0
3 years ago
On January 1, 2012, Porter Corporation signed a five-year noncancelable lease for certain machinery. The terms of the lease call
avanturin [10]

Answer:

$275,000

Explanation:

The <em>lease liability</em> is recorded at the Present Value amount of the lease payments based on the incremental borrowing rate.

The <em>lease asset</em> is recorded at the same amount of lease liability including other costs of placing the assets in location and condition intended for use by management.

8 0
2 years ago
One of the keys to successful production planning is resource management. _____ is a system that would note how a possible strik
Arte-miy333 [17]

Answer:

a) Enterprise resource planning (ERP)

hopethis helps!

6 0
3 years ago
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