Answer:
annual demand = 380 * 12 = 4,560
order cost = $8.50
annual holding cost = $0.45 * 25% = $0.1125
EOQ = √[(2 * 4,560 * $8.50) / $0.1125] = 830.10 ≈ 830 units
time between placement of orders = 830 units / 4,560 units = 0.182 years = 2.18 months
reorder point = 4,560 units * 2/12 (lead time) = 760 units
A new order should be placed when the inventory level is 760 units
To attain higher profit levels. Demand-based pricing is likewise as client based evaluating, is any estimating strategy that utilizations purchaser request – in view of apparent esteem – as the focal component. These incorporate value skimming, value segregation, mental estimating, package evaluating, infiltration valuing, and esteem based evaluating.
Answer:
The Utopians make chamber-pots out of gold and The Utopians use gold to chain enslaved people.
Answer: The net effect of additional debt on WACC is uncertain.
Explanation:
Weighted Average Cost of Capital (WACC) refers to the rate of return that a company is paying it's capital providers on average be it debt holders or shareholders.
Adding additional debt to the mix effects the WACC in an uncertain way due to the different ways the WACC could react. For example, adding additional debt decreases the after-tax cost of debt because debt is tax deductible which means that more money can flow to shareholders so that reduces the cost of equity. At the same time however, Additional debt can increase the risk of bankruptcy meaning that the before tax cost of debt rises which also increase the WACC.
The effect can swing either way thereby making it uncertain.
Answer:
The answer is D.
Explanation:
Economy shock is when an expected shock happens to an economy. This shock can be positive or negative.
In the vein, supply shock is an unexpected event that happens to the supply of a product. It can also be positive or negative too.
Positive supply shock increases output while negative supply shock decreases output.
For a temporary negative supply shock and monetary policy makers try to stabilize economic activity in the short run, the following will occur:
1. Aggregate demand curve shifts rightward, meaning demand will rise because supply will automatically reduce. This makes demand to be higher than supply.
2. Inflation rate will be high. Because supply is reduced, price of goods will increase and this is an inflation.
3. Output will be at its potential. When an economy is close to potential output, the price will increase more than the output and aggregate demand will rises.