Answer: Stand a reasonable chance of helping a company reduce competitive disadvantage but very rarely form the basis of a durable competitive advantage over rivals
Explanation:
Strategic alliance occurs when two or more companies join hands together in order to achieve strategic outcome that's mutually beneficial to the parties involved.
It should be noted that companies to into Strategic alliance in order to improve market access, improve supply chain efficiency and to also gain economies of scale.
Lastly, it should be noted that strategic alliances stand a reasonable chance of helping a company reduce competitive disadvantage but very rarely form the basis of a durable competitive advantage over rivals.
Answer : R11 & U44
Explanation:
Considering the aforementioned data on the small set of products that comprise the specialty repair parts division. After performing ABC analysis on the data. I would suggest R11 and U44 for the firm keep the least control.
A solvency ratio. It measures the income or operates success of an enterprise for a given period of time.
Answer:
Overapplied overhead= $7,575 overapplied
Explanation:
<u>First, we need to allocate overhead costs based on actual hours: </u>
<u></u>
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 31.25*4,780
Allocated MOH= $149,375
<u>Now, the over/under allocation:</u>
Under/over applied overhead= real overhead - allocated overhead
Under/over applied overhead= 141,800 - 149,375
Overapplied overhead= $7,575 overapplied
Answer:
IRR = 12.92%
Explanation:
<em>The IRR is the discount rate that equates the present value of cash inflows to that of cash outflows. At the IRR, the Net Present Value (NPV) of a project is equal to zero
</em>
<em>If the IRR greater than the required rate of return , we accept the project for implementation </em>
<em>If the IRR is less than that the required rate , we reject the project for implementation </em>
A project that provides annual cash flows of $24,000 for 9 years costs $110,000 today. Under the IRR decision rule, is this a good project if the required return is 8 percent?
Lets Calculate the IRR
<em>Step 1: Use the given discount rate of 10% and work out the NPV
</em>
NPV = 9000× (1-1.10^(-4)/0.1) - 27,000 =1528.78
<em>Step 2 : Use discount rate of 20% and work out the NPV (20% is a trial figure)
</em>
NPV = 9000× 1- 1.20^(-4)/0.2 - 27000 = -3701.38
<em>Step 3: calculate IRR
</em>
<em>IRR = a% + ( NPVa/(NPVa + NPVb)× (b-a)%</em>
IRR = 10% + 1528.78/(1528.78+3701.38)× (20-10)%= 0.12923
= 0.129230153 × 100
IRR = 12.92%