Answer:
My recommended sourcing strategy is that Pacific Systems should single source their DVD drives and they should establish a good relationship with their suppliers. Having a single supplier and having a long term contract with that supplier will be advantageous for the company. Further it should implement a just in time inventory management practice.
A quantitative analysis is provided in the attached file
To reduce any risk associated with my sourcing decision I will have to trust my supplier and try and create synergies together by building a symbiotic relationship with the supplier. Cross functional risk planning will also be useful here.
2. Not all sourcing decisions require the same quantum of commitments in terms of time and efforts. This is because a variety of suppliers are available both locally as well as globally. As a company analysis will have to be done with regards to suppliers if they are financially competent to supply, on a consistent basis, high quality materials. The type of sourcing that does not justify the level of effort and analysis are fasteners for the computers and poly bags that are used to protect products from dust.
3. The issue of supplier capacity is important in this case. This is because the market is booming and demand is about to rapidly increase due to a revival of the economy. The company should look out for a supplier that has the ability, wherewithal and capacity to cater to spikes in demands besides being able to take on new projects. A supplier should be stable enough to absorb increase in demand and having such suppliers will ensure that the company does not lose out on potential customers.
4.
Advantages of single sourcing – It helps in optimizing the company’s supply chain. Further it helps the company by lowering its production costs and provides and creates a better and incremental value for the shareholders.
Disadvantages of single sourcing – It can be detrimental to the company in the long run as greater power is provided to the suppliers. Secondly failure of a supplier may cause a total shutdown for the company.
Advantages of multiple sourcing – As competition increases among the suppliers it drives down prices in the long run. Secondly failure of a single supplier will no longer disrupt the company’s operations.
Disadvantages of multiple sourcing – Managing different suppliers can become complex as each of the suppliers will have to be managed and monitored. Secondly as there are many suppliers they will not eb able to leverage the advantages of economies of scale.
Explanation:
<u>Answer:
</u>
The term physical hazard best describes the oily rags.
<u>Explanation:
</u>
- The example narrated in the question statement is associated with hazardous environmental pollution due to a specific kind of waste that is in physical form that bears the potential of causing health issues.
- The scattering of oil rags left by the employees over the place of work would turn the place unhygienic and unfit for work.
- Hence, the term 'physical hazard' is used for oily rags.
Answer:
Dividend paid in current year = $6,898
Explanation:
Calculating net profit
Sales = $818,790
Less: Costs = $748,330
Less: Interest = $24,450
Less: Depreciation = $56,100
Earning before taxes = Loss (10,090)
Tax benefits = $10,090 
34% = $3,431
Net losses = $10,090 - $3,431 = $6,659
Opening retained earnings = $172,270 Less: Losses for the year = $6,659
Balance = $165,611
Less: Closing balance = $158,713 = $6,898
Thus<u> amount of dividend paid in current year = $6,898</u>
Change in value of common stock will not be considered.
This is definitely true,hope I helped you :)
Answer:
= $80,273
Explanation:
Value of the right of use asset = Value of lease liability - cash incentive received + costs incurred for lease
= $82,773 -$ 6,000 + $3,000 + $500
=$80,273
