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HACTEHA [7]
3 years ago
5

The continuing cycle of erratic demand causing forecasts to include safety stock which in turn magnify supplier forecasts and ca

use production planning problems is known as______________.
Business
1 answer:
balandron [24]3 years ago
6 0

Answer:

The Bullwhip Effect

Explanation:

Bullwhip effect is a phenomenon that occurs in an organisation's channel of distribution due to swings or erratic demands for products by customers. This erratic nature of demands will usually lead to forecasting inefficiencies especially in meeting the demands through the supply chain.

A sudden increase in demand could lead to production planning problems because there might not be enough inventory of materials on ground to meet the demand. Also, a sudden decrease in demand can bring the challenge of excess inventory of materials which may not be needed for production for a while.

One of the measures taken to manage this erratic nature of demands is to ensure that whatever the forecasts for demands is, safety stock must be included to the forecast level of demand so as to ensure that production planning is adequate and the demands are met as well.

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What are the solution to unknown gunmen problem
geniusboy [140]

Answer:

the military is the solution

6 0
3 years ago
Bear tracks, inc., has current assets of $2,180, net fixed assets of $9,400, current liabilities of $1,355, and long-term debt o
abruzzese [7]

(a) Total assets = Current assets + Fixed assets  

Total assets = 2180 +9400 = 11,580

Total liabilities = Current liabilities + long term debt

Total liabilities = 1355+3990 = 5,345

According t the accounting equation, Stockholders equity = Total assets - Total liabilities =  11,580-5,345 = 6,235

Stockholders equity = $6,235

(b) Working capital = Current assets - Current liabilities

Working Capital = 2180-1355

Working Capital = $825

3 0
3 years ago
The inflation rate in Great Britain is expected to be 4% per year, and the inflation rate in Switzerland France is expected to b
VladimirAG [237]

Answer:

The spot rate in two years time = SF 12.99

Explanation:

The purchasing power parity states that the relationship between the current and future spot rate between two currencies can be linked to the differences in the expected inflation rate between the currency.

This relationship can be expressed as follows:

S1=  So× (1 + hc)/(1 + hb)

So= Current spot rate, Hc- inflation rate in Switzerland, Inflation rate in Britain

Spot rate in a year's time

S1= 12.50, Hc=6%, Hc=4%

S1= 12.50× (1.06/1.04)

S1=12.74

Spot rate in two year's time

S1= 12.74× (1.06/1.04)

S1= 12.99

The spot rate in two years time = SF 12.99

5 0
3 years ago
Tile & Grout (T&G) contracts to resurface the insides of the pools at Water World Park. T&G knows that without the r
stepan [7]

Answer: C. The loss of profit from delayed opening.

Explanation: Tile and Grout failed to execute the job they were contracted and caused water world to delay opening. In business Tile and Grout company will be held liable for failure to execute contract.

Water world can recover the loss of profit from delayed opening due to the failure in the part of Tile and Grout company.

7 0
3 years ago
Jay's Bakery has a bond issue outstanding that matures in eight years. The bonds pay interest semiannually. Currently, the bonds
asambeis [7]

Answer:

Ans. The after tax cost of this debt is 4.8526% annual.

Explanation:

Hi, first we have to establish the amount to pay for each coupon. In our case, the coupon is paid semi-annually, so the coupon is:

Coupon=\frac{CouponRate}{2} *100=\frac{0.057}{2} *100=2.85

we also need to take into account that this is an eight years bond, we need to change years into semesters, so 8 years = 16 semesters.

We´re going to need MS Excel to find this value (Function "IRR"), Please see the attached excel sheet for further clarifications.

This is what it should look like

Price  97,8  

Coupon  5,70% annual

Coupon  0,0285 semi-annual

taxes  21%  

time             8 years

time            16 semesters

Period Cash Flow

     0 97,8

      1 -2,85

      2 -2,85

      3 -2,85

      4 -2,85

      5 -2,85

      6 -2,85

      7 -2,85

      8 -2,85

      9 -2,85

     10 -2,85

     11 -2,85

     12 -2,85

    13 -2,85

    14 -2,85

    15 -2,85

    16 -102,85

Using the "IRR" function, we get 3.0255%, but this discount rate is semi-annual, and the answer we are looking for has to be effective annual, therefore, we need to use the followiong formula.

r(Annual)=(1+0.030255)^{2 } -1=0.061425

So our discount rate (cost of this debt) before taxes is 6.1425% annual. In order to find the after tax cost of this debt, we have to use the following formula.

AfterTaxCost=Before TaxCost(1-Taxes)=0.061425*(1-0.21)=0.048526

Therefore, the after tax cost of this debt is 4.8526% annual.

Best of luck.

3 0
3 years ago
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