Switching costs, number of buyers, and if the items represent a relatively small portion of the cost of finished products are key considerations regarding the bargaining power of buyers.
Switching costs are the costs which are paid by a consumer as a result of switching brands, suppliers, or products. Some companies may employ high switching costs in order to prevent customers from moving to another brand.
Suppose if the customer purchases large volumes of standardized products from the seller, then the buyer's bargaining power is quite high. Also, when substitute of a product is available in the market, the buyer power increases.
Hence, most prevailing switching costs are monetary in nature.
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Answer:
Type A
Explanation:
William Ouchi developed the Japanese management Theory Z which served as a reference for understanding the great economic boom in Asian countries.
Type A organizations focus on individual performance and accountability, they generally rely on short term evaluation periods and rapid promotions of high achievers and encourages personal efficiency.
Answer:
Vern's depletion deduction is $175000
Explanation:
given data
mineral interest = $3,500,000
recoverable units = 500,000
mined = 40,000 units
sold = 25,000 units
depletion rate = 22%
to find out
Vern's depletion deduction
solution
we get here depletion expense that is
depletion expense =
...........................1
put here value we get
depletion expense =
depletion expense = $175000
and
percentage depletion = $800,000 × 22%
percentage depletion = $176000
we know that % depletion method is not accept as IRS for certain natural resources
so we use depletion method is use here
Vern's depletion deduction is $175000
Answer:
The amount of the Depletion Expense recognized for 2018 would be 240,000
Explanation:
In order to calculate the The amount of the Depletion Expense recognized for 2018, we have to calculate first the depletion expense per ton.
Hence, Depletion expense per ton = $1,600,000/400,000 = 4
Therefore, if the Depletion expense per ton is 4, and during 2018 60,000 tons of granits were sold then the Depletion expense to be recognized for 2018 will be=60,000*4
= $240,000. Amount of the Depletion Expense recognized for 2018