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zlopas [31]
3 years ago
11

Salon Products recently introduced a new acai berry shampoo. Rinn, director of new product development, has just reviewed the di

smal results. As it appears that his team adequately researched the product's acceptance by consumers prior to its introduction, he is confused by the outcome. But to keep his team open to innovation, Rinn should:_______.
A: step down as director.
B: ignore the product failure
C: demote the team leader
D foster an innovative culture and climate that permits experimentation, risk-taking, and failure.
E: fire and replace the team lead and an example
Business
1 answer:
julia-pushkina [17]3 years ago
5 0

Answer:

Foster an innovative culture and climate that permits experimentation, risk-taking , and failure.

Explanation:

The director of the new product development in the given case comes across that even after the proper research done by his team regarding the product acceptance by the consumers the outcome was not the same.

In order to keep his team open to innovation the director Rinn should encourage and develop an environment of creating new ideas and products which should open up the scope for experiments , risks and failure of the product keeping in mind that all experiments does not necessarily leads to positive results and involves risks as well.

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John Maynard Keynes recommends active fiscal and monetary policy, so that the government can stimulate the economy when necessar
irinina [24]

Result of active fiscal policy : there may be stimulation of the economy in the short run, but there will be harmful effects to the economy in the long run.

Explanation:

Active fiscal policy implies that Congress and the President are actively attempting to shift the trajectory of the economy by adjustments in taxes and/or government expenditure.

In an open market, monetary policy often influences the rate of exchange and trade balance.

Moreover, in the long term, the development of international debt, which stems from large government expenditures, can lead investors to mistrust US assets which may trigger the exchange rate to fall.

5 0
3 years ago
Month Maintenance Machine Health Number of Shipping Units
8_murik_8 [283]

Answer:

1. Variable cost = Shipping costs

Fixed cost = Health Insurance

Mixed cost = Maintenance costs

Shipping costs are variable because a unit shipped costs $3.60. The total shipping cost for each month varies according to the units shipped in the month.

Health Insurance costs are fixed as there is no change in cost notwithstanding the number of employees in each month.  The total health insurance cost remains the same every month.

Maintenance costs are mixed for each month, as there is a fixed element and a variable element.

2. Cost function for each cost:

Maintenance = $4,200 + $2.10 per machine hour

Health Insurance = $8,600

Shipping cost = $3.60 per unit

3. Cost function = $12,800 + $2.1m + $3.6s

where m = machine hours

and s =  units shipped

4. The total operating cost for the month

= $46,040

Explanation:

a) Data and Calculations:

Month     Maintenance Machine  Health   Number of  Shipping     Units

                     costs        Hours  Insurance  Employees   Costs    Shipped

January          4500       165         8600            68            25778       7160

February        4452       120         8600            75           29664      8240

March            4600       230        8600            92            28674      7965

April               4850        318        8600           105           23058      8405

May                5166       460        8600            89            21294       5915

June              4760       280        8600            87            33282      9245

July                4910       340        8600            93             31428      8730

August         4960       360        8600            88            30924       8415

September  5070       420         8600            95             25110     6975

October      5250       495         8600           102           25866      7185

November   5271        510         8600            97             20124    5590

December  4760       275         8600            94            34596     9610

Cost Function for each cost:

Maintenance cost:

                     Machine Cost

                        Hours

November         510    5271

February           120    4452

Difference       390      819

Variable cost = $2.10 (819/390)

Fixed cost = $4,200 ($5,271 - ($2.10*510))  

Health Insurance:

Fixed cost = $8,600

Shipping cost:

Variable cost = $3.60 per unit

Cost function = $4,200 + $2.10m + $8,600 + $3.60s

= $12,800 + $2.1m + $3.6s

February cost = $12,800 + $2.1(120) + $3.6(8240)

= $12,800 + $252 + $29,664

= $42,716

IF:

Machine hours = 400

Employees = 80

Shipped units = 9,000

The total operating cost for the month will be:

Cost function = $12,800 + $2.1m + $3.6s

= $12,800 + ($2.1 * 400) + ($3.6 * 9,000)

= $12,800 + $840 + $32,400

= $46,040

4 0
3 years ago
Clark Company's master budget reflects budgeted sales information for the month of June, 2019, as follows: Budgeted Quantity Bud
lesya [120]

Answer:

Total sales variance    $87,340   Favorable

See report below

Explanation:

The sales budget for the month of June would like as follows:

Budgeted Sales

Product                 units        Price     Total($)

A                        40,000       $7          280,000

B                         39,000    $9            351,000

Actual sales

Product                 units        Price     Total($)

A                        39,000       $7.10         276,900

B                        49,600       $8.90         441440

Sales Budget Report for the month of June 2019

                                Budget           Actual           Variance ($)

A                        280,000                  276,900         3,100      Unfavorable

B                        351,000                   441,440            <u>90,440  </u>favorable

   Total sales variance                                          <u>  87,340   Favorable</u>

5 0
3 years ago
Innovative Components is a manufacturer of computer parts. The company recently reported earnings of $2,014,802. In addition, In
sp2606 [1]

Answer:

C) $128.15

Explanation:

The computation of the intrinsic value of Innovative Components’ equity per share is shown below:

= Retained earnings ÷ number of shares issued × PE ratio

= $2,014,802 ÷ 402,500 shares × 24.6

= $128.15

We simply applied the above formula so that the intrinsic value of Innovative Components’ equity per share could come

and ignored the company PE ratio of 24.6

6 0
3 years ago
Western Electric has 32,500 shares of common stock outstanding at a price per share of $80 and a rate of return of 12.95 percent
Sergio039 [100]

Answer:

c. 11.10%

Explanation:

Options are <em>"a. 10.29% b. 10.51% c. 11.10% d. 10.72% e. 11.49%"</em>

Market Value of Equity = $80 * 32,500

Market Value of Equity = $2,600,000

Market Value of Preferred Stock = $95.50 * 7350

Market Value of Preferred Stock = $701,925

Market Value of Debt = $407,000 * 1.115

Market Value of Debt = $453,805

Total Market Value = Market Value of Equity + Market Value of Preferred Stock + Market Value of Debt

Total Market Value = $2,600,000 + $701,925 + $453,805

Total Market Value = $3,755,730

kP = Annual Dividend / Current Market Price

kP = $7.90 / $95.50

kP = 0.082723

kP = 8.27%

WACC = [wD * kD * (1 - t)] + [wP * kP] + [wE * kE]

WACC = [(453,805/3,755,730) * 8.11% * (1 - 0.40)] + [(701,925/3,755,730) * 8.27%] + [(2,600,000/3,755,730) * 12.95%]

WACC = 0.59% + 1.55% + 8.96%

WACC = 11.10%

6 0
3 years ago
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