<h3>Hello there!</h3>
Your question asks what the purpose of a safety stock is.
<h3>Answer: B). control the likelihood of a stock out due to variable demand and/or lead time.</h3>
The reason why answer choice "B). control the likelihood of a stock out due to variable demand and/or lead time" is the correct answer because companies have safety stocks to control the chances of having a stock out.
Safety stocks are also known as a "reserve" for a company, in other words, stocks that a company doesn't touch. It's to ensure that companies don't go through a time where there's an increase in demand while there is a "delay" in production.
If a companies stock demand goes up, but then they can't "produce" the amount that is needed to meet the demand, then they will go through "stock out" and have to go through what is called "stock out costs."
Safety stocks are also known as a "rainy-day" stock, due to the fact that safety stocks are used when a company are not having a great day with the "demand" / "value" of their stocks. It's just to "ensure" / "keep the company safe" from a huge stock out.
<h3>I hope this helps!</h3><h3>Best regards, MasterInvestor</h3>
Answer:
saving account is a very important
Answer: 2,900 shovels
Explanation:
Ending Inventory = Beginning Inventory + Total Inventory Purchased - Sales
900 = 500 + Total produced - 2,500
Total Purchased = 900 + 2,500 - 500
Total purchased = 2,900 shovels
NB; There was no beginning balance in your question so I gave a random figure of 500 units. Use the equation if the figure is different.
Answer: marketing orientation
Explanation:
Wholesalers controlled the marketing process during the 19th century, because they distributed unbranded commodity products from the manufacturers. But, when those markets got crowded, the wholesalers began playing off one supplier against another. This dramatically hurt the profits of the manufacturers, so they started to look for ways to wrest control back. The manufacturers shifted their emphasis from an orientation towards production to a marketing orientation. They were committed to new product development, developing their own sales teams, labeling and naming their products, and participating in strong national brand marketing.
Answer:
2.37
Explanation:
Earnings per share is a monetary value for every outstanding share. The EPS is reported in the income statement of the company. Rothstein Corp. has paid $20,000 of preference dividend in the year 2022. The annual preference dividend is $12 par * 20,000 shares * 5% cumulative = 12,000 per year.
The total preference dividend for year 2021 and 2022 is 24,000 out of which 20,000 is already paid.
To calculate EPS we subtract unpaid preference dividend from net income $600,000 - $4,000 = 596,000
EPS = Net income after preference shares dividend / outstanding number of shares
EPS = $596,000 / 250,000 shares = 2.37
