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Ilia_Sergeevich [38]
3 years ago
6

Kelly Addison is a designer clothing buyer for a chain of department stores. She has gone through several negotiation certificat

ion programs and is considered an expert negotiator by her peers. Using a price-cost comparison on Kelly is unlikely to be effective because:_______
Business
1 answer:
Yanka [14]3 years ago
6 0

Full question:

Kelly Addison is a designer clothing buyer for a chain of department stores. She has gone through several negotiation certification programs and is considered an expert negotiator by her peers.

-When Kelly sees value in a product but does not want to pay the offered price, she often offers to split the difference between what she wants to pay and what the seller wants. Which of the following would be most likely to stall the negotiations with Kelly?

A)accepting the offer to split the difference

B)making another pricing counteroffer

C)offering better delivery and payment terms if she matches the asked price

D)standing firm on price but offering a discount for the second order

Answer:

<u>B) making another pricing counteroffer</u>

<u>Explanation:</u>

We are told that Kelly Addison is an expert negotiator and has received several negotiation certification programs. She also has a policy in which whenever she sees value in a product but does not want to pay the offered price, she splits the difference between what she wants to pay and what the seller wants.

Thus, making another pricing counteroffer <u>may stall the negotiations with Kelly.</u>

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Disclaimer- The complete question is-

Prince Paper has budgeted the following amounts for its next fiscal year:

Total fixed expenses $300,000​

Selling price per unit $60​

Variable expenses per unit $25​

If Price Paper spends an additional $12,800 on advertising, sales volume should increase by 1000 units. What effect will this have on operating income?

If Price Paper spends an additional $12,800 on advertising, sales volume increases by 1000 units. The operating income will be 22,200.

Selling price per unit $60​ = 60(1000 units) = 60,000

Variable expenses per unit $25​ = 25(1000 units) = 25,000

FE advertising = 12800

Operating income = Total Revenue – Direct Costs – Indirect Costs

                              = 60,000 - 25,000 - 12800 = 22,200

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1 year ago
When comparing the difference between an upstream and downstream transfer of inventory, and using the initial value method, whic
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a. Income from subsidiary will be lower by the amount of the ending inventory profit multiplied by the noncontolling interest percentage for downstream transfers.

Explanation:

When we transfer inventory from subsidiary to holding there will be some profit element included in cost. so when we consolidate the account of subsidiary to its holding at the time of reporting we should removed that unrealised profit included in the inventory.

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3 years ago
Winter's Toyland has a debt-equity ratio of .57. The pretax cost of debt is 8.2 percent and the required return on assets is 14.
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Answer:

<em>WACC 10.995</em>

Explanation:

We solve using the Weighted average cost of capital assuming a tax rate of 0% as we have to ignore taxes. Hence, we get:

WACC = K_e(\frac{E}{E+D}) + K_d(1-t)(\frac{D}{E+D})

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3 years ago
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Explanation:

There is no excerpt attached but this should be the answer.

Having five different factories in China means that Holden Outwear would have to transport things to and fro all five factories including raw materials, intermediate goods and finished goods.

This represents a lot of shipping and shipping comes with paperwork. It would therefore be no surprise if the Holden Outwear is having to go through the bane of increased paperwork for manufacturing at five different factories.

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3 years ago
Aberwald Corporation expects to sell 90,000 bags of lawn fertilizer annually. The optimal safety stock (which is on hand initial
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Answer:

Annual demand (U) = 90.000 bags

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Ordering cost per unit (O) = $15

Part A)

EOQ = \sqrt{\frac{2UO}{C}}

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EOQ = \sqrt{9000000}

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Part B)

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Part D)

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