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max2010maxim [7]
3 years ago
13

Henrique​ Correa's bakery prepares all its cakes between 4 A.M.and 6 A.M.so they will be fresh when customers arrive.​ Day-old c

akes are virtually always​ sold, but at a​ 50% discount off the regular ​$ price. The cost of baking a cake is ​$​, and demand is estimated to be normally​ distributed, with a mean of and a standard deviation of . What is the optimal stocking​ level? Refer to the standard normal tableLOADING... for​ z-values. The optimal stocking level for the bakery is nothing cakes ​(round your response to the nearest whole​ number).
Business
1 answer:
sashaice [31]3 years ago
3 0

Answer:

27

Explanation:

The computation of the optimal stocking level for the bakery is shown below:

Given that

Cost = c = $7

Selling price =  p = $ 10

salvage value =  s = $ 5

Mean = 25

Standard deviation = \sigma= 8

Now based on the above information

underage cost = Cu  = p-c = $10 - $7 = $3

And,

overage cost = Co = c-s = $7 - $5 = $2

So,

\frac{P\leq C_{u}}{(C_{u}+C_{o})}\\\\\frac{P\leq3}{(3+2)}

= 0.6

Now use normsinv() function in excel

So,

The Z value for the probability 0.6 is 0.2533

Now finally

The optimal stocking level is

=\mu +z\sigma

= 25 + 0.2533 × 8

= 27.02

= 27

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umka21 [38]

Explanation:

Over the past several decades, advances in technology, greatly reduced the cost of making computers which resulted in the decline of the equilibrium price of  computers and also resulted in increased equilibrium quantity. The reduction in the computer prices also caused an increase in the consumer surplus.

computer price down -> equilibrium price down

computer price down -> equilibrium quantity up

computer price down -> consumer surplus up

The producer surplus increases due to increase in quantity and at the same time producer surplus decreases due to decrease in price.

computer price down ->  producer surplus down

computer quantity up -> producer surplus up

8 0
3 years ago
The following information relating to a company's overhead costs is available. Actual total variable overhead $ 75,000 Actual to
NARA [144]

Answer:

$5,000 favorable

Explanation:

The computation of the total variable overhead variance is given below:

= Budgeted machine hours allowed for actual output × Budgeted variable overhead rate per machine hour - Actual total variable overhead

= 32,000 hours × $2.50 - $75,000

= $80,000 - $75,000

= $5,000 favorable

Since the favorable is more than the actual so it should be favorable

6 0
3 years ago
The following information is available for Sheridan Company
Arte-miy333 [17]

Answer:

See below

Explanation:

Balance sheet as of December 31, 2022.

Current assets

Account receivable $2,000

Cash $6,280

Supplies $3,790

Total $12,070

Fixed assets

Equipment net $110,300

Inventory $2,810

Total $113,110

Total assets = $12,070 + $113,110 = $125,180

Current liabilities

Accounts payable $3,900

Interest payable $500

Salaries and wages payable $740

Notes payable $32,500

Total $37,640

Financed by;

Common Stock $52,500

Total liabilities + Common stock

= $37,640 + $52,500

= $90,140

6 0
3 years ago
Wealth that is earned, saved and loaned out to make a profit is called _______________.
Elena L [17]
The correct answer is (a.) capital. The wealth that is earned, saved and loaned out to make a profit is called capital.Capital is also the money or wealth that an entrepreneur must have to produce services and good for the consumers.
8 0
3 years ago
Read 2 more answers
Red Hot Chili Peppers Co. had the following activity in its most recent year of operations.Classify the items as (1) operating—a
lora16 [44]

Answer:

a. Purchase of Equipment  - (3) investing

b. Redemption of bonds payable  - (4) financing

c. Sale of building  - (3) investing

d. Depreciation  - (1) operating—add to net income;

e. Exchange of equipment for furniture  - (5) significant noncash investing and financing activities

f. Issuance of capital stock  - (4) financing

g. Amortization of intangible assets  - (1) operating—add to net income

h. Purchase of treasury stock  - (4) financing

i. Issuance of bonds for land - (5) significant noncash investing and financing activities

Explanation:

The cash flow statement categories the company's transactions in a financial period into 3 groups; these are operating, investing and financing.

The net profit/loss, depreciation, changes in current assets (other than cash) and liabilities are considered as operating activities including income taxes.  

The sale of assets, interest received, purchase of investments are examples of investing activities while the issuance of stocks, debt principal deduction (loan settlement), issuance of debt securities etc are examples of financing activities.

7 0
3 years ago
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