Option C, Franchise system
Explanation:
A vertical contract marketing system is used in which companies work together to create higher economies or shipments, at different manufacturing and distribution rates than they do on their own.
The site owner does not handle and handles the location in which their products or services are served daily by the consumers in a franchise system. The job of the franchisee is to serve the customer.
McDonald's, KFC, Famous Amos, Starbucks Coffee and Dunkin ' Donuts are well-known examples of market style franchise. The franchisee offers operations knowledge, software and/or processes to operate the company as a form of service agreement.
Answer:
<u>(A) When selecting one of two projects, managers should select the project with the higher total expected cash flow.</u>
Explanation:
- When running a business the managers must take into account the type of business entity they are dealing with and also find the projects that deliver maximum returns and give them the maximum benefits.
- The business run by the sole owners must be based on generating a good client base and reducing the cost associated with the company.
- Thus it's essential to select the cash flow with a high amount of growth and lower risks.
Answer:
prepaid rent
Explanation:
From the question we were informed about how a Pilot Company pays for two years of rent in advance.
Incase of Recording this transaction, it would include a debit to prepaid rent
debit to prepaid rent is one of the journal entry for prepaid rent, and a prepaid rent is usually pen down as asset and it gives the rent expenses in future time , since the Pilot Company pays for two years of rent in advance,debit to prepaid rent must be included when recording the transaction.
Answer:
The correct answer is letter "D": bonuses are deferred salary rather than extra pay for extra sales performance.
Explanation:
In the corporate world, entitlement culture refers to the workers' beliefs that they deserve a series of privileges. This tends to happen during growth periods. Employees assume that the optimal situation of the firm has to do with their performances then, the organization owes them.
An idea that is commonly spread under such a scenario is that bonuses and commissions are deferred salaries and not extra payment for outstanding performance.
Answer:
Explanation:
Annual demand (D) = 20000 units
Number of days per year = 250
Demand rate(d) = D/number of days per year = 20000/250 = 80 units
Production rate(p) = 655 units
Set up cost(S) = $1800
Holding cost (H) = $1.50
A) Optimum run size(Q) = sqrt of {2DS / H [1-(d/p)]}
= sqrt of {(2x20000x1800) /1.50[1-(80/655)]}
= Sqrt of [7200000/1.50(1-0.1221) ]
= sqrt of [72000000/(1.50 x 0.8779)]
= sqrt of (7200000/1.31685)
= Sqrt of 5467593.1199
= 2338 units
b) Maximum inventory ( I - max) = (Q/p) (p-d) = (2338/655)(655-80) = 3.5695 x 575 = 2052.46 or rounded off to 2052 units
Average inventory = I-max/2 = 2052/2 = 1026 units
C) Number of production setups per year = D/Q = 20000/2338 = 8.55 or rounded up to 6
d) optimal length of production run = optimal run size /production rate = 2338/655 = 3.56 or rounded up to 4 days
