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andreyandreev [35.5K]
3 years ago
9

Justine has just started a company that makes notebooks and other stationery items out of recycled materials. She has decided to

use a profit orientation, and wants to make a 10% profit from all sales. Why is this a bad idea?
Business
1 answer:
Zigmanuir [339]3 years ago
4 0

Answer:

10% is a high-profit margin

Explanation:

Since Justine is just starting her new business this might actually be a bad idea because 10% is a high-profit margin. In new business, you need to start off with very small profit margins in order to attract customers with low prices and grow a loyal customer base. Once the business begins to grow and sales start kicking up then you may begin increasing your profit margins.

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What is the relationship between the alpha level, the size of the critical region, and the risk of a type i error?
quester [9]
Alpha level is a probability value that is used to define the concept of "very unlikely" in a hypothesis. This value determines he boundaries for the critical region, which is composed of the extreme sample values that are very unlikely to be obtained if the null hypothesis is true. Type I error is <span>when a researcher rejects a true null hypothesis.</span>
The relationship between the alpha level, the size of the critical region, and the risk of a type i error is the following: when the alpha level increases, the critical region increases and type I error increases.
4 0
3 years ago
Lunchco Inc. produces picnic tables in a two-step process. Pretreated wood is cut in the Cutting Department and then the lumber
babunello [35]

Answer: company’s direct labor budget = $320000

Explanation:

Given that,

Standard hourly labor rate in the Cutting Department = $12

It takes 30 minutes of direct labor time to cut the lumber

Tables take one hour to assemble

Standard hourly rate in the Assembly Department = $10

Lunchco’s production budget = 20,000

Cutting Department =  production budget × direct labor time × Standard hourly labor rate

= 20000 × 0.5 hours/unit × $12/unit

= $120000

Assembly Department = production budget × Tables take one hour to assemble  × Standard hourly labor rate

= 20000 × 1 hour/unit × $10/unit

= $200000

Therefore,

company’s direct labor budget = Assembly Department + Cutting Department

= 200000 + 120000

= $320000

5 0
3 years ago
Vanvalkenburg, Inc., manufactures and sells two products: Product Q5 and Product J0. The company has an activity-based costing s
Nata [24]

Answer:

c.  $88.17 per order

Explanation:

The computation of the activity rate for the production order is shown below:

Activity rate = Production orders ÷ order size

where,

The Production order is $70,536

And, the order size is 800

Now placing these values to the above formula

So, the activity rate is

= $70,536 ÷ 800 order size

= $88.17 per order

We simply applied the above formula so that the activity rate could come

4 0
3 years ago
Fishermen’s Corp. is considering purchasing a boat. If the boat was purchased, it is expected to receive $20,000 at the end of t
ozzi

Answer:

The boat today is worth 100,440 dollars

Explanation:

We need to solve for the present value of the payment Fishermen's Corp will receive for the boat:

We will apply the formula for lump sum to each \frac{Maturity}{(1 + rate)^{time} } = PV  

cash flow and then add them together

\frac{20,000}{(1 + 0.08)^{1} } = PV  

\frac{40,000}{(1 + 0.08)^{2} } = PV  

\frac{60,000}{(1 + 0.08)^{3} } = PV  

Year Nominal     Present Value

1 20000  18, 518

2 40000 34,293

3 60000 47,630

TOTAL            100,441

5 0
3 years ago
Whats the purpose for people to connect to products
MAVERICK [17]
So they will want to buy them if someone sees a product they like and maybe feels a connection to buy it then they will buy it
7 0
3 years ago
Read 2 more answers
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