1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
vodka [1.7K]
3 years ago
15

Bison Autos and Sparrow Co. are automobile manufacturers that both incur $9,000 to manufacture a vehicle. Recent numbers indicat

e that the economic value created by Sparrow Co. is significantly higher than that created by Bison Autos.What does this difference indicate?
Business
1 answer:
barxatty [35]3 years ago
8 0

Answer:

Sparrow Co's automobiles are premium brands that command premium prices

Explanation:

The fact that both automobile makers incurs the same cost of $9,000 is just one of many factors to consider because the processes involved in manufacturing are not necessarily the same.

Besides,the level of workforce efficiency and the state of technology deployed are not necessarily the same.

It could also be that Sparrow Co. was able to achieve same level of cost with Bison Autos because it adopted modern cost reductions techniques such as Just-In Time which eliminates the need to keep inventory, thereby  eliminating excessive costs of holding inventory.

All in all,Sparrow Co,could project itself as a maker of high-end brands and increase prices as appropriate.

You might be interested in
Allison is the CEO of a large consumer products company. She asks the marketing research department to gather information to hel
Stels [109]
Hi I just wanna want points love you
6 0
3 years ago
Can someone go check out my recent question because i need help
Ber [7]

Answer:

ok

Explanation:

5 0
3 years ago
Christie and Jergens formed a partnership with capital contributions of $390,000 and $490,000, respectively. Their partnership a
xxMikexx [17]

Answer:

Christie 's share =  $ 37759.09

Jergens Share = $ 47,441

Explanation:

Partner's Profit share are calculated after the deduction of salary or any other interest incomes.

Profit for the current year = $ 163,000

Christie' s Salary                    $ 69,000

Christie Interest Income          $ 3900

10 % 0f $ 390,000

Jergens  Interest Income         $ 4900

10 % 0f $ 490,000

Profit  Balance                                       $ 85,200

Profit Sharing Ratio

Christie : Jergens

390,000: 490,000

39: 49

Christie 's share = $ 85,200 * 39/88= $ 37759.09

Jergens Share = $ 85,200 * 49/88= 47440.9= $ 47,441

6 0
3 years ago
Individuals join groups for two primary reasons: to enjoy the company of others and to accomplish goals unattainable by themselv
Bond [772]

The given statement about the reasons why individuals join groups is True.

<h3>What is a Group?</h3>

This refers to the collection of individuals in unison to achieve a set goal or to expand their interests, leveraging on the network of other members.

Hence, we can see that the given statement that Individuals join groups for two primary reasons: to enjoy the company of others and to accomplish goals unattainable by themselves is true.

Read more about interest groups here:
brainly.com/question/14363531

5 0
2 years ago
A popular, local coffeeshop in one of the suburbs of New York City (NYC) estimates they use 3,500 pounds of coffee annually. The
andre [41]

a) The determination of the optimal size of the order assuming an EOQ model for the local coffee shop is <u>265 pounds</u>.

b) The total cost in the new coffee shop where the demand for coffee increased to 4,000 pounds at an order size of 265 pounds per order (assuming a unit cost of $3 per pound) is <u>$253,500</u>.

<h3>What is the EOQ Model?</h3>

The economic order quantity (EOQ) model calculates the ideal order quantity a company should purchase to minimize inventory costs such as holding costs, shortage costs, and order costs.

It is determined using the following model:

EOQ = square root of: 2 (ordering costs)(demand rate) / holding costs.

Thus, the EOQ model can be worked out as follows:

  • Determine the demand units.
  • Determine the ordering cost.
  • Determine the holding cost.
  • Multiply the demand by 2.
  • Then multiply the result by the order cost.
  • Divide the result by the holding cost.

<h3>Data and Calculations:</h3>

a) The annual demand for coffee = 3,500 pounds

Holding cost per pound = $10

Ordering cost = $100

EOQ = square root of: 2 ($100 x 3,500) / $10

= 265 pounds

The annual demand for coffee = 4,000 pounds

Holding cost per pound = $60

Ordering cost = $100

EOQ (Order size) = 265 pounds

Assumed unit cost per pound = $3

The total cost in the new coffee shop = $

Annual holding cost = $240,000 ($60 x 4,000)

Annual ordering cost = $1,500 ($100 x 4,000/265)

Annual purchase cost = $12,000 (4,000 x $3)

Total costs = $253,500

Learn more about the economic order quantity at brainly.com/question/14625177

6 0
2 years ago
Other questions:
  • Bill wants to give Maria a $630,000 gift in 3 years. If money is worth 6% compounded semiannually, what is Maria's gift worth to
    12·1 answer
  • To ensure that as many individuals as possible use helmets, the government recently decided to subsidize the production of helme
    8·1 answer
  • The marketing mix elements are called ________ because they are the responsibility of the marketing department in an organizatio
    7·1 answer
  • Matt and alicia created a firm that is a separate legal entity and will share ownership of that firm on a 75/25 basis. which typ
    11·1 answer
  • Prince Paper has budgeted the following amounts for its next fiscal​ year: Total fixed expenses $ 900 comma 000 Selling price pe
    7·1 answer
  • Washington state had a bumper apple crop this year, significantly increasing the supply of apples in the U.S. Given this informa
    13·1 answer
  • All of the following are ways the WBS helps in managing projects EXCEPT Select one:
    14·1 answer
  • Jeffrey Inc., an animation company, asks job applicants to fill out a form requesting information about any hereditary illness o
    8·1 answer
  • Mark works for a financial company. He has been tasked to protect customer data. He decides to install a mantrap and an HVAC sys
    7·1 answer
  • Hi i was wonder if i could find a best friend in here
    9·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!