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S_A_V [24]
3 years ago
8

What is the drawback of carrying more inventory than is needed?

Business
2 answers:
lbvjy [14]3 years ago
7 0

Answer:

One of the most important disadvantages of excess inventory is the loss of revenue. Products depreciate over time and lose their initial value. So the longer you hold a product, the cheaper it gets.

ohaa [14]3 years ago
7 0

Answer:

too many resources can be tied up in the inventory

Explanation:

ape x

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An investment of $115 generates after-tax cash flows of $50 in Year 1, $90 in Year 2, and $150 in Year 3. The required rate of r
WINSTONCH [101]

Answer:

The  correct answer is B.

Explanation:

Giving the following information:

An investment of $115 generates after-tax cash flows of $50 in Year 1, $90 in Year 2, and $150 in Year 3.

Rate of return= 20%

To calculate the present value, we need the following formula:

NPV= -Io + ∑[Cf/(1+i)^n]

Cf= cash flow

Io= 115

Cf1= 50/ 1.20= $41.67

Cf2= 90/1.2^2= $62.5

Cf3= 150/1.2^3= $86.81

NPV= -115 + (41.67 + 62.5 + 86.81)

NPV= $75.98

6 0
3 years ago
One of the great dangers in allocating common fixed Blank 1 of 1 costs is that such allocations can make a product line look les
lara31 [8.8K]

Answer:

One of the great dangers in allocating common fixed corporate costs is that such allocations can make a product line look less profitable than it really is.

Explanation:

Therefore, care must be exercised so that a product line is not eliminated because the common fixed costs have been allocated to it such that it becomes unprofitable.  This is why it is necessary to identify activity cost pools into which such fixed costs can be accumulated and from which they can be allocated to product lines.  Using ABC costing approach, for instance, offers a means of escape because the system tries to allocate costs based on the level of usage or consumption of such common costs by each product line instead of using arbitrary allocation formulas.

4 0
2 years ago
Kenneth is admired as a manager because of his ability to work well with others to get things done. Which type of skill is Kenne
riadik2000 [5.3K]

Answer:

Is teamwork skills

Explanation:

Working well in a team mean:

Work with a group to achieve a goal or shared result effectively

Listen to team members.

Take into account the ideas of all the team

6 0
3 years ago
Read 2 more answers
Industries that are viewed as specialty (instead of a commodity) have a high level of rivalry?
nikdorinn [45]

Answer:

Specialty goods are the products which require high efforts in purchasing because their cost is certainly high, consumers cant take a risk of buying them frequently, like sporting cars, high end cameras, luxury high end clothing etc. There are many industries in specialty goods in which you can see intense level of rivalry. For example, in sporting cars, you have multiple brands which have very severe kind of rivalry like Jaguar and BMW - Lexus and Lotus, they not compete in cars but they compete in their advertisements, evenest as well.

Whereas, when you consider, photographic camera industry, you will also find intense kind of rivalry between Canon and Sony, Leica and Olympus. Here they not only face direct competition from other camera brands, but they also have to face competition from the cell phone industry, which also provide high end cameras in their cell phones like iPhone, Samsung and Oppo etc.

4 0
3 years ago
Treasury bills are currently paying 6 percent and the inflation rate is 3 percent. a. What is the approximate real rate of inter
nexus9112 [7]

Answer: a. 2.90%

b. 2.81%

Explanation:

Nominal rate = 6%

Inflation rate = 3.1%

a. What is the approximate real rate of interest?

The approximate real rate of interest will be calculated as:

= Nominal rate - Inflation rate

= 6.0% - 3.1%

= 2.90%

b. What is the exact real rate?

Exact real rate will be calculated as:

= (nominal-inflation) / (1+inflation)

= (6.0% - 3.1%) / (1 + 3.1%)

= 2.9% / 1.031

= 2.81%

3 0
3 years ago
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