The price of imported goods
Answer: The answer is b. Reduce output in the short run.
Explanation: In production, to determine the quantity of products to supply, the demand of the consumer plays a very vital role. This is because the consumer demand will determine the price at which a company will sell its products.
In the case of Techno above, they would do well to reduce the output in the short run, since demand has reduced, pending when the demand increases. This is because if they maintain their current output of 3000 TV sets per week, they will sell less units and their revenue (price x quantity sold) will be lower than their cost and this will lead to them incurring loss.
So until the recession scare passes, output should be reduced in the short run.
Answer: See explanation
Explanation:
a) What is the economic order quantity?
This will be:
= ✓[(2 × Demand × Ordering Cost)/(Holding Cost)]
= ✓(2 × 15700 × 77 / 22)
= ✓109900
= 331 approximately
b) What are the annual holding costs?
Holding Cost = Average Inventory × Holding cost for item
= 331/2 × $22
= $3641
c) What are the annual ordering costs?
This will be calculated as:
= (Annual Demand/EOQ)*Ordering Cost
= (15700 / 331) × 77
= $3652
d) What is the reorder point?
Reorder point = Daily Demand × Lead Time
= (15700/300) × 3
= 157 units
What Mario should do from including this in his headline is being considerate on how he is doing from knowing how the people are going to be apparently right to give note in his own headline he created by using a text ad.
Answer:
Increase in Netcome$89,160
Explanation:
Calculation to Determine the effect on the company's total net operating income of accepting the special order.
Effect on the company's total net operating income of accepting the special order=(8,600units*$45.50)-[8,600units*($ 16.30+5.60+2.80+$5.20)]-$45,000
Effect on the company's total net operating income of accepting the special order=$391,300-$257,140-$45,000
Effect on the company's total net operating income of accepting the special order=$89,160 Increase
Therefore the effect on the company's total net operating income of accepting the special order will be increase in net income of the amount of $89,160
