Answer: d. If intermediate goods were counted, then multiple counting would occur.
Explanation: Gross domestic product (GDP) measures economic output--the value of final goods and services produced within a country's borders. If intermediate goods (goods that are used to make final products) were counted, then multiple counting would occur. This is the reason why in calculating the gross domestic product (GDP) for a specific year, only final goods and services (goods and services that are ready for sale or use) are included. Doing this does not mean that intermediate goods and services are not factored in in its calculation. What it means is that each intermediate step in a supply chain counts the value added at each step leading to the production of the final good.
<u>Explanation:</u>
The sooner a stock turnover happens, the more profitable a business operates while enjoying a greater return on its capital and other resources. The stock turnover rate, otherwise known as inventory changes, provides insight into the productivity of a business, both actual and comparative, while turning its money into revenues and profits.
For Example:
When two organizations do have Twenty million in stock, the one which sells everything in 30 days has good cash balance and lower incidence than the one which requires 60 days to do.
Answer:
A mix hedge reduces levels of expensive FG inventory while slightly increasing component inventories.
A mix hedge is a planning technique which supports increased production flexibility
Explanation:
Hedging inventory implies a level of inventory that is kept to shield against unexpected event such as breakdown of machines,strikes,surge in demand for product or non-availability of raw materials due to disruption in supplier's business.
However, mix hedge is required to ensure the right of mix of inventories at every point in time so as to avoid investing more than required resources in inventory by keeping low volume of expensive items of inventory and at the same time increasing the number of inventories kept overall,such that risk associated with inventory can be shared by a number of items of inventory instead of a single line of inventory.
Answer:
The correct answer is A.
Explanation:
Giving the following information:
Expected sales volume (units):
Area X 4,000
Area Y 10,000
Area Z 6,000
Unit sales price $25
The total budgeted sales are the result of multiplying the sales in units for the selling price:
Total sales= selling price* number of units
Total sales= (4,000 + 10,000 + 6,000)*25= $500,000