<span>True. The longer its customers normally hold inventory, the longer the credit period supplier firms normally offer. Still, suppliers have some flexibility in the credit terms they offer. If a supplier lengthens the credit period offered, this will shorten the customer's cash conversion cycle but lengthen the supplier firm's own CCC. When studying the cash conversion cycle, you are able to see how effective a company's management team is and how the company is doing overall. These metrics are important to know so a company knows how much cash they need to have on hand and where they need to shift money around to within their different accounts. </span>
Answer:
All of the above except option e.
Explanation:
To gain success and growth is the motto of every business, for this it is very important for a company to analyse the market properly, this shall include:
i) Knowing your customers properly, knowing the targeted audience of the product or service provided by the company.
ii) The company shall accurately analyse the environment in which it runs, this includes all the factors, physical, economical, or technological or political etc:
iii) The company shall analyse its own capabilities properly and evaluate the areas where it needs to work even more.
iv) Knowing your competitors is very important as it provides for the ongoing and upcoming challenges, a business shall face.
Economists at jet consulting would expect the demand curve for campbell's soup to "shift to the right", causing the equilibrium price to "increase" and the equilibrium quantity to "increase".
The demand curve is a graphical portrayal of the connection between the cost of a good or service and the amount requested for a given time frame. In a typical representation, the cost will show up on the left vertical pivot, the amount requested on the horizontal axis.
At the point when the quantity of cash demanded increases, the cost of cash (interest rates) likewise increments, and causes the demand curve to increase and shift to the right.
Explanation:
Product differentiation is the means used by a firm in a monopolistic competitive market with many firms selling similar products to differentiate its product from that of other firms
Answer:
<u>buy option 384,000</u>
<u>make 394,000</u>
Purchase the pumps is a better deal as it saves 10,000 dollars.
Explanation:
This is a case of make or buy, we need to compare each alternative and pick the lower cost:
<u>buy option (outsourcing)</u>
16,000 pumps x 24 = 384,000
<u>make option (insourcing)</u>
variable cost x units + fixed cost
14 x 16,000 + 170,000 = 394,000
buy is better as it saved 10,000 cost.