Answer:
The correct answer is C. It focuses on value, rarity, imitability, and organizational aspects of resources and capabilities.
Explanation:
Technique or analysis through which the company is able to detect what are the resources and capabilities that can provide a certain sustainable competitive advantage, that is, a position of superiority in the market compared to its competitors over time.
The VRIO analysis is based on the resources and capabilities approach and arises from the internal analysis of the company.
The terms and definitions that make up the VRIO analysis (Valuable, Rare, Inimitable and Organized) or VRIN Model (Valuable, Rare, Imperfectly Imitable and Non substitutability) are the following:
• VALUABLE. They allow new opportunities in the market.
• RARE, UNIQUE OR SCASSES. Company specific and difficult to obtain in the market.
• INIMITABLE. Hard to copy or imitate by competition.
• ORGANIZED. Exploited efficiently by the company and complementary.
Answer:
The Journal entry is as follows:
Cash A/c Dr. $2,27,500
Loss on sale of Receivables A/c Dr. $20,500
Due from Commercial Factor A/c Dr. $10,000
To Recourse liability $8,000
To Accounts Receivable $2,50,000
(To record the sale)
Working notes:
Cash received
:
= $250000 - Finance Charge - Amount retained (Due from factor)
= $250000 - 5% of 250000 - 4% of 250000 = 250000 - 12500 - 10000
= $2,27,000
Loss on sale of receivables
:
= ($250000 × 5%) + Recourse obligation (as the factoring is with recourse)
= $12500 + 8000
= $20,800
Answer:
$7,650
Explanation:
Ending work in progress = Beginning Work in progress + Units started - Units completed and transferred
= $22,000 + $90,000 - $97,000
= $15,000
Equivalent units = Units completed and transferred + Ending work in progress
= $97,000 + $15,000
= $112,000
Total cost = Material cost (Beginning) + Material cost during the month
= $11,000 + $46,100
= $57,100
Cost per equivalent unit = $57,100 ÷ $112,000
= $0.51
Materials cost of the work in process inventory at March 31 = Ending work in progress × Cost per equivalent unit
= $15,000 × $0.51
= $7,650
Answer:
1. The wages and utility bills that Darnell pays.
286,000 explicit cost (accounting)
2. The rental income Darnell could receive if he chose to rent out his showroom.
3,000 x 12 months = 36,000 implicit cost (economic)
3. The salary Darnell could earn if he worked as a financial advisor.
20,000 implicit cost (economic)
4. The wholesale cost for the guitars that Darnell pays the manufacturer.
704,000 explicit cost (accounting)
Explanation:
The explicit cost are those which occurs and are represented in the accounting.
While the implicit cost represent the opportunity cost which is the best alternative rejected for taking the current course of action. They are considered for the economic profit
