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Pachacha [2.7K]
3 years ago
10

Business projection:

Business
1 answer:
Sergeeva-Olga [200]3 years ago
5 0

Answer:

Expected value of profit=$1085

Explanation:

Given Data:

At 0.40 probability:

Loss=$24,600 (will be negative value in final calculations)

At 0.25 probability:

Profit=$11,700

At 0.16 probability:

Profit=$50,000

At 0.19 probability:

Profit=$0

Required:

Expected value of the profit=?

Solution:

Expected value of profit=0.40(-24,600)+0.25(11,700)+0.16(50,000)+0.19(0)

Expected value of profit=$1085

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Adam, the owner of The Toy Box (a toy store), has chosen his products carefully. They are all handmade of wood; none are cheap g
xz_007 [3.2K]

Answer:

b. blue ocean strategy

Explanation:

Instead of competing against rival companies in the mass-produced games market (red ocean), Adam is carving out his own market by offering the consumer a higher end product that, although is still composed of games, consists a in whole new segment with much less competition, if any (blue ocean).

Therefore, the correct answer is b. blue ocean strategy

4 0
3 years ago
Read 2 more answers
The difference between the historic price a firm paid and its going price among current buyers and sellers is the difference bet
velikii [3]

Answer:

book value and market value.

Explanation:

Book value of an asset is the value of an asset as reported originally in the balance sheet or financial statement of an organization, which may be adjusted for subsequent changes as a result of depreciation or impairment.

Market value is the price or cost associated with an item trading in the open market, it entails the lowest price a seller is willing to sell and the highest price a potential buyer is willing to pay to buy goods over a period of time in the market.

The difference between the historic price a firm paid and its going price among current buyers and sellers is the difference between its book value and market value.

7 0
4 years ago
A company purchased a new delivery van at a cost of $61,000 on July 1. The delivery van is estimated to have a useful life of 5
faust18 [17]

it's half a year out of 5, so 1/10 of the useful lifetime of the van

$61,000 - $4,900 is $56.1000

one tenth of that will be what we are looking for, so option b. should be just right to fit here

4 0
3 years ago
What is the difference between a supply chain and supply chain management?
Elodia [21]

Answer:

A supply chain is the system put in place to move a good or service, from a provider, to the final customer.

Supply chain management is the process of managing the supply chain.

Five key issues in supply chain management:

  • Upstream supply management: upstream supply refers to the acquisition of raw materials. Management has to find reliable upstream suppliers that offer a good balance between quality and price. For example, a paper-producing firm has to find a good timber and pulp company to operate.
  • Downstream supply management: downstream supply refers to the movement of fininished goods and services, to the final customer. Many companies contract a third party to complete this process, and it is of the utmost importance because customer satisfaction largely depends on it. For example, Amazon contracts UPS to complete deliveries in a timely manner.
  • Warehouse management: depending on the size of the business, inventory can be stored in a small room or in very large warehouses. Organizing inventory, and more important, deciding when to buy inventory, and when to dispose of it, are a key part of a business strategy. Amazon is known for its innovative warehouse management, which includes the use of hundreds of human employees and robots.
  • Product development: if a firm is new in the market, it has to provide a product or service, and product development is the first stage, before the company can move on to supply chain management. Companies already in the market should also try to develop new products and services to stay competitive. Amazon again, is well known for product development, offering new goods and services each year.
  • Outsourcing: sometimes it more efficient for a company to move production abroad. Studying the foreign market, and projecting future costs is crucial before deciding to outsource. Apple does not manufacture the iphone in the United States, instead, outsources this process to Asian countries were wages are lower.

7 0
4 years ago
Operating Leverage
amid [387]

Answer:

Degree of operating leverage= 1.4

Explanation:

Giving the following information:

Sales $6,160,000

Variable costs (4,620,000)

Contribution margin $1,540,000

Fixed costs (440,000)

Operating income $1,100,000

<u>To calculate the degree of operating leverage, we need to use the following formula:</u>

degree of operating leverage= Total contribution margin / operating income

degree of operating leverage= 1,540,000 / 1,100,000

degree of operating leverage= 1.4

3 0
3 years ago
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