Answer:
The answer is False. By cutting the variance of the demand during lead time to 1/2 its original value while maintaining the same lead times, the new safety stock will also drop to 1/2 its original value.
Explanation:
Safety stock is a form of inventory management that provides an additional unit of an item held as a buffer i order to mitigate risk of running out of stock.
A reorder point provides a buffer of time to restock items when stock is running out. It helps to reduce operational costs and chaos that may arise such as rush fees owed to suppliers. It makes the use of a warehouse space more efficient.
Suppose we are a distributor that uses safety stock and a reorder point for inventory management. If we can find a more consistent manufacturer that will maintain the same mean lead times while cutting the variance of the demand during lead time to 1/2 its original value, the new safety stock that we need to carry to achieve the same service level will also drop to 1/2 its original value.
Answer:
The fixed costs are too high. The marginal cost generally represents variable costs and they might be very low, but if the fixed costs are simply too high, they will need to increase the price of the plane tickets in order to break even. The break even formula is calculated by dividing total fixed costs by marginal revenue (selling price - variable costs).
A
When you go into credit (the red) you basically loan money which means that you have to pay a "fine" called interest. so the more you loan and depending on the type of loan, the more interest you will pay.
If closing the sale is an extremely stressful point for him. If he does not close the sale, the outcome will be he will generate no income.
<h3>What is income?</h3>
Income can be defined as a the cash receive from the sales of goods and services.
Based on the given scenario in a situation were Mike did not close the sale for the day this will tend to mean that he will generate no revenue or income reason being that closing the sale will enables him to generate income.
Therefore the outcome will be he will generate no income.
Learn more about income here:brainly.com/question/25745683
Answer:
The correct answer is rationalization.
Explanation:
The concept of rationalization was given by Max Weber. According to him, rationalization is a process through which modern society is getting more and more concerned towards efficiency and predictability.
Efficiency can be defined as getting maximum results from minimum efforts, or in other words, maximum revenue from incurring minimum costs so as to maximize profits.
In Weber's views, this economic principle is now being increasingly involved in the day to day life.
