Answer:
Explain the risks associated with leveling resources, compressing or crashing projects, and imposed durations or "catch-up" as the project is being implemented.
a project manager will try to level resources in order to even out the use of resources throughout the whole project, but that can result in a deficit of resources during critical times. E.g. trying to use 25% of resources during each year for a project that lasts 4 years. But some activities require a lot o resources but last a short time, while other activities might last longer and consume fewer resources. a project manager will try to compress a project's schedule because he/she wants to finish early, ideally without affecting the project's scope. The problem with compressing a project is that you might have to skip or eliminate certain activities in order to so so. E.g. a lot of pharmaceutical companies are trying to develop a vaccine that ends the current health crisis, and their rush are not following the appropriate steps. crashing activities refers to trying to finish some critical activity early by assigning more resources to it. The risks of crashing critical activities is that they might not be well done, or it might be too expensive.Why is it critical to develop a time-phased baseline?
Without a well done time-phased baseline, it is very difficult to prepare a project schedule, or at least one that actually works. It is also important because it is very useful for cost control, and projects can easily go out of control and cost more than their budget.
paid to acquire , a weekly advertising paper. At the time of the acquisition, 's balance sheet reported total assets of and liabilities of . The fair market value of 's assets was . The fair market value of 's liabilities was . Read the requirementsLOADING.... Requirement 1. How much goodwill did purchase as part of the acquisition of ? Purchase price to acquire Mesa Herald Market value of Mesa Herald's assets Less: Market value of Mesa Herald's liabilities Less: Market value of Mesa Herald's net assets
Full question attached
Answer and Explanation:
A. Given that Thrifty Nickels Assets fair value and liabilities are given by $100000 and $70000 respectively(we do not use the book value in calculating goodwill here) and Acquisition value is $230000
Goodwill = purchase price -net assets
Since we know purchase price =$230000
We calculate net assets= total assets -total liabilities
Total assets =$100000
Total liabilities =$70000
Net assets=$100000-$70000=$30000
We substitute in goodwill formula
Goodwill=$230000-$30000=$200000
Therefore goodwill =$200000
B. We journalize entries for the acquisition in Deca's books as follows :
Debit Assets $100000
Debit Goodwill $200000
Credit liabilities $70000
Credit cash $230000
We debit assets since it received and increased by $100000,we debit goodwill since it also received and increased by $200000. We credit liabilities since it also increased by $70000 from the acquisition (liabilities accounts are credited). Cash was spent and therefore is credited since it reduced by $230000
If the interest rate this year is 8.8% and the interest rate next year will be 10.8%, what is the future value of $1 after 2 years? What is the present value of a payment of $1 to be received in 2 years?
Answer:
Results are below.
Explanation:
Giving the following information:
The interest rate this year is 8.8% and the interest rate next year will be 10.8%.
a) To calculate the future value, we need to use the following formula:
FV= PV*(1+i)^n
FV1= 1*1.088= 1.088
FV2= 1.088*1.108=$1.206
b) To calculate the present value, we need to use the following formula:
PV=FV/(1+i)^n
PV2= 1/1.108= 0.903
PV1= 0.903/1.088= $0.83
, manufactures lead crystal glasses. 's managers recently calculated the following:Variances after completing production of glasses:Direct materials cost varianceDirect labor cost varianceDirect materials efficiency varianceDirect labor efficiency varianceRead the requirementsLOADING....Requirement 1. For each variance, who in 's organization is most likely responsible?Direct materials cost varianceDirect materials efficiency varianceDirect labor cost varianceDirect labor efficiency varianceRequirement 2. Interpret the direct materials and direct labor variances for 's management.The direct materials cost variance indicates that the actual direct materials cost per pound was▼morelessthan the standard cost per pound. This▼decreasedincreased's operating income by .The direct materials efficiency variance indicates that the actual pounds used was▼lessmorethan the total pounds allowed to manufacture the glasses. This▼decreasedincreased's operating income by .The direct labor price variance means that 's employees were paid▼lessmoreper hour than budgeted. This▼decreasedincreased's operating income by .The direct labor efficiency variance means that it actually took▼morefewerdirect labor hours than were budgeted to produce glasses. This▼increaseddecreased's operating income by .
Full question attached
Answer and Explanation:
Direct material cost variance-
Purchasing
Direct material efficiency variance-
Production
Direct labor cost variance- Human Resources
Direct labor efficiency variance-Production
The $1650 favorable direct material cost variance indicates that actual direct materials cost per pound was less than standard cost per pound. This increased Martin Inc's operating income by 1560.
Therefore Martin Inc bought lower than they normally purchase raw materials(pounds) which invariably increased profit(operating income)
The 650 unfavorable Direct Materials efficiency variance indicates that the actual pounds used was more than the total pounds allowed to manufacture 6500 glasses. This decreased Martin Inc's operating income by $650.
Efficiency was low as more materials were used than planned, therefire more cost and less profit
The $9100 favorable direct labor price variance means that Martin Inc's employees were paid less than budgeted. This increased Martin Inc's operating income by $9100.
Employees(labour) cost lower than expected hence higher profit(operating income)
The $11,700 favouravle direct labor efficiency variance means that it actually took fewer direct labor hours than were budgeted to produce 6500 glasses. Thus increased Martin Inc's operating income by $11,700.
Labour hours were lower than expected hence less cost more profit
Examples of how to improve perceptual acuity include: A. A CEO meets with other CEOs of non-competing companies to examine the world from multiple perspectives and then shares the results with his own management team. B. A CEO meets with the company management team regularly to analyze current world events and their potential impact on the company. C. A CEO meets with direct competitors to analyze current industry trends. The CEOs share their conclusions with their respective companies. D. Outsiders are brought in to the board meeting to critique the company strategy, which considers the new information in its potential revamping of the strategy.
Answer:
The answer is "Option C".
Explanation:
It was its human detector for seeing confusion through the fog because you can respond until others use it. Only a tiny portion of future executives look in and peek over the horizon towards their businesses from the outside to collect signs that could be bringers of shift.
It is also known as the psychological or mental preparedness throughout the external environment that can "see around corners" and spot potentially important phenomena, inconsistencies, and oddities before the others do. To see through all the fog of doubt, it is a radar. so, that you can act first, that's why the choice c is correct.
e market for iPhones, the following two changes take place: (1) the cost of making iPhones rises, and (2) customers begin to prefer Android-platform smartphones over iPhones. What happens to equilibrium price and equilibrium quantity
Answer: The equilibrium price is indeterminate, but the equilibrium quantity falls.
Explanation:
As a result of the cost of iPhones rising, the production and supply for iPhones will decrease in the market to save costs. This will cause the supply curve to shift to the left.
With customers preferring android to iPhones, the demand for iPhones will decrease which will shift the demand curve left as well.
Looking at the graph attached, notice how when both supply and demand shift left at the same time, equilibrium quantity will reduce and equilibrium price however will remain indeterminate and dependent on the magnitude of the shift.
Mo has a credit card that gives a 3% discount on every purchase. The annual percentage rate on the card is 12%. He is purchasing an electronic reader for $140. Check all that apply. If Mo uses the credit card and pays the full balance during the billing cycle, the cost of the purchase will be $140. If Mo pays cash, the cost of the purchase will be $140. If Mo uses the credit card and pays off the balance at $30 a month for 7 months with no late fees, the cost of the purchase will be $143.34. If Mo pays cash, the cost of the purchase will be $135.80. If Mo uses the credit card and pays off the balance at $20 a month for 7 months with no late fees, the cost of the purchase will be $139.89. If Mo uses the credit card and pays the full balance during the billing cycle, the cost of the purchase will be $135.80.
Answer:
B: If Mo pays cash, the cost of the purchase will be $140.
E: If Mo uses the credit card and pays off the balance at $20 a month for 7 months with no late fees, the cost of the purchase will be $139.89.
F: If Mo uses the credit card and pays the full balance during the billing cycle, the cost of the purchase will be $135.80.
The correct answers to this question are B, E, and F and they are also
answers 2, 5, and 6.
Based on the information given, the correct options will be:
If Mo pays in cash, the cost of the purchase will be $140. If Mo uses the credit card and pays off the balance at $20 a month for 7 months with no late fees, the cost of the purchase will be $139.89. If Mo uses the credit card and pays the full balance during the billing cycle, the cost of the purchase will be $135.80.It should be noted that when she pays in cash, she'll have to pay $140. In a situation whereby she uses the credit card, she'll be given a discount of 3%. Therefore, the amount that she'll have to pay will be:
= $140 - (3% × $140)
= $140 - (0.03 × $140)
= $140 - $4.20
= $135.80.
In conclusion, the correct options are B, E, and F.
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Pine Street Inc. makes unfinished bookcases that it sells for $58.51. Production costs are $37.56 variable and $9.67 fixed. Because it has unused capacity, Pine Street is considering finishing the bookcases and selling them for $70.45. Variable finishing costs are expected to be $8.41 per unit with no increase in fixed costs. Prepare an analysis on a per unit basis showing whether Pine Street should sell unfinished or finished bookcases. (Round answers to 2 decimal places, e.g. 15.25. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
Answer:
The book case should be processed further
Explanation:
Sell Option Process Further Increase/Decrease
Sales per unit $58.51 $70.45 $11.94
Cost per unit:
Variable $37.56 $45.97 ($8.41)
Fixed $9.67 $9.67 $0
Total cost $47.23 $55.64 ($8.41)
Net income per unit $11.28 $14.81 $3.53
Conclusion: The book case should be processed further as its Net Income per unit is higher than if the Pine street should sell.
Yoshi Co.'s 12/31/2020 inventory on a FIFO basis was $980,000. The following information is available: Estimated selling price is $1,020,000; Estimated cost of disposal is $40,000; Normal profit margin is $120,000; and Current replacement cost is $900,000. At 12/31/2020, assuming Yoshi uses the loss method, what amount of loss should Yoshi record from applying LCM
Answer:
Yoshi Co.
The amount of loss that Yoshi Co. should record from applying LCM (the lower of Cost or Market price) is:
$40,000
Explanation:
a) Data and Calculations:
FIFO inventory on 12/31/2020 = $980,000
Current replacement cost = $900,000
Net realizable value = $980,000 ($1,020,000 - $40,000)
Normal profit margin = $120,000
Loss to be recognized based on current replacement cost = FIFO purchase cost minus Current replacement cost
= $80,000 ($980,000 - $900,000)
b) Under the US GAAP (generally accepted accounting principles) of prudence and conservatism, the loss of $80,000 must be recognized in the current period, since the inventory will be booked at $900,000, its current replacement cost, which is lower than the FIFO purchase cost of $980,000.
Target Profit Outdoors Company sells a product for $110 per unit. The variable cost is $65 per unit, and fixed costs are $288,000. Determine (a) the break-even point in sales units and (b) the break-even point in sales units if the company desires a target profit of $54,720.
Answer:
Results are below.
Explanation:
Giving the following information:
Target Profit Outdoors Company sells a product for $110 per unit. The variable cost is $65 per unit, and fixed costs are $288,000.
To calculate the break-even point in units, we need to use the following formula:
Break-even point in units= fixed costs/ contribution margin per unit
Break-even point in units= 288,000 / (110 - 65)
Break-even point in units= 6,400
Now, we incorporate the desired profit in the formula:
Break-even point in units= (fixed costs + desired profit) / contribution margin per unit
Break-even point in units= (288,000 + 54,720) / 45
Break-even point in units= 7,616 units
Max Weber argued that formal organizations were efficient, but he cautioned that they can have harmful effects on people. As he saw it, what is the danger?
a. Organizations create social inequality.
b. Organizations create conflict among workers.
c. Organizations create alienation.
d. Organizations create conformity.
Answer:
Organization create alienation
Explanation:
We are informed about how Max Weber argued that formal organizations were efficient, but he cautioned that they can have harmful effects on people.
In this case, As he saw it, the danger is Organization create alienation.Organization create alienation do occur in an organization where the workers/Employees of the organization and the organization herself have different views. This when employees is with aims/expectations concerning the organization, but in this scenario the organization has something different such as centralization of authority.
Whenever there is alienation in particular workplace, people become meaningless and powerless.
At the end of the year, a company has a $1,200 debit balance in Manufacturing Overhead. As a result, the company:a.makes an adjusting journal entry by debiting Manufacturing Overhead for $1,200 and crediting Manufacturing Overhead for $1,200. b.makes no adjusting journal entry because the difference between actual overhead and the amount applied are a normal part of job order costing and will average out over the next year. c.makes an adjusting journal entry by debiting Manufacturing Overhead Expense for $1,200 and crediting Manufacturing Overhead for $1,200. d.makes an adjusting journal entry by debiting Cost of Goods Sold for $1,200 and crediting Manufacturing Overhead for $1,200.
Answer:
d. makes an adjusting journal entry by debiting Cost of Goods Sold for $1,200 and crediting Manufacturing Overhead for $1,200.
Explanation:
The debit balance of $1,200 in the Manufacturing Overhead account represents under-applied overhead. To ensure that the Cost of Goods Sold is accurate, the debit balance is debited to the Cost of Goods Sold while the corresponding credit goes to the Manufacturing Overhead account.
Assume we are looking at the electric car market. How would a major increase in gas price affect this market?
Answer:
Demand increases
Explanation:
There are replacements for petrol and electric vehicles. So, as petrol prices grow, sales of electric vehicles will grow. Market curve will move to the right and that both prices and quantities will rise.
ere are simplified financial statements for Watervan Corporation:
INCOME STATEMENT
(Figures in $ millions)
Net sales $
888.00
Cost of goods sold
748.00
Depreciation
38.00
Earnings before interest and taxes (EBIT) $
102.00
Interest expense
19.00
Income before tax $
83.00
Taxes
17.43
Net income $
65.57
BALANCE SHEET
(Figures in $ millions)
End of Year Start of Year
Assets
Current assets $
376
$
326
Long-term assets
272
229
Total assets $
648
$
555
Liabilities and shareholders’ equity
Current liabilities $
201
$
164
Long-term debt
115
128
Shareholders’ equity
332
263
Total liabilities and shareholders’ equity $
648
$
555
The company’s cost of capital is 8.5%.
a. Calculate Watervan’s economic value added (EVA). (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.)
b. What is the company’s return on capital? (Use start-of-year rather than average capital.) (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)
c. What is its return on equity? (Use start-of-year rather than average equity.) (Enter your answer as a percent rounded to 2 decimal places.)
d. Is the company creating value for its shareholders?
Answer:
its wap aka W A P
Explanation:
$50 an hour is a
A salary
B commission
C wage
D pension
Answer: C.) Wage
Explanation: A salary is a set cost that is due to you over an agreed amount of time. A commission is a percentage that you get from the original cost. A wage is the income one makes daily, or per hour. A pension is the gradual amount of money being added up during the years one works. Therefore, $50 an hour is a wage.
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If the price elasticity of demand for used cars priced between $4,000 and $6,000 is -0.9 (using the mid-point method), what will be the percent change in quantity demanded when the price of a used car falls from $6,000 to $4,000
Answer: 36% increase in quantity demanded.
Explanation:
Price Elasticity shows the change in quantity demanded when there is a change in price.
Change in Quantity demanded = Price elasticity * Change in price.
Change in price using midpoint formula;
[tex]= \frac{New price - Old Price}{\frac{New Price + Old Price }{2} } \\\\= \frac{4,000 - 6,000}{\frac{4,000 + 6,000 }{2} } \\\\= \frac{-2,000}{5,000} \\\\= -0.4[/tex]
Change in Quantity demanded = -0.9 * -0.4
= 0.36
= 36% increase
When the price of THE used car falls from $6,000 to $4,000, the percent change in quantity demanded will be 36% increase.
Explanation:
Price Elasticity basically shows the change in quantity demanded when there is a change in price.
The formula for Change in Quantity demanded = Price elasticity * Change in price.
Change in price using midpoint formula = New price - Old price / (New price - Old price / 2)
Change in price using midpoint formula = 4000 - 6000 / (4000 - 6000/ 2)
Change in price using midpoint formula = -0.4
Change in Quantity demanded = -0.9 * -0.4
Change in Quantity demanded = 0.36
Change in Quantity demanded = 36% increase
In conclusion, the percent change in quantity demanded will be 36% increase.
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Metzler Communications designs and programs a website for a local business. Metzler charges $33,000 for the project, and the local business signs an 4% note January 1, 2019. Required: 1. Prepare the journal entry to record the sale on January 1, 2019. Record sale 2. Determine how much interest Metzler will receive if the note is repaid on July 1, 2019. $ 3. Prepare Metzler's journal entry to record the cash received to pay off the note and interest on July 1, 2019. If an amount box does not require an entry, leave it blank. Record collection of note receivable
Answer and Explanation:
1. The Journal entry is shown below:-
Notes receivable Dr, $33,000
To Sales revenue $33,000
(Being sales is recorded)
2. The computation of interest is shown below:-
Interest = $33,000 × 4% × 6 ÷ 12
= $660
3. The Journal entry is shown below:-
Cash Dr, $33,660
To Interest income $660
To Notes receivable $33,000
(Being collection of notes receivable is recorded)
Southern Imports is an all-equity firm with a beta of 1.32. The firm is considering a new project that entails less risk than its current operations and thus management feels that the firm's beta should be lowered by .18 when assigning a discount rate to this project. The market rate of return is 9.4 percent and the risk-free rate is 2.8 percent. What discount rate should be assigned to this project
Answer:
The answer is "10.32%".
Explanation:
The actual beta firm =1.32
if new beta reduced by 1.8
beta firm= 1.14(1.32-1.8)
market return= 9.4%
risk-free return=2.8%
formula:
[tex]\to \text{Discount rate= risk} +beta \times (return-risk)}[/tex]
[tex]=2.8+1.14(9.4-2.8)\\\\=10.32%[/tex]
Osgood Company, which applies overhead at the rate of 190% of direct material cost, began work on job no. 101 during June. The job was completed in July and sold during August, having accumulated direct material and labor charges of $27,000 and $15,000, respectively. On the basis of this information, the total overhead applied to job no. 101 amounted to:
Answer: $51300
Explanation:
From the question, we are informed that Osgood applies overhead at rate of 190% of direct cost material and we've been given the direct cost material as $27, 000. Therefore, the total overhead applied to the job will be:
= $27000 × 190%
= $27000 × 1.9
= $51300
The accountant for Murphy Company prepared the following analysis of its inventory at year end: Item Units Cost per Unit Net Realizable Value RSK-89013 550 $38 $44 LKW-91247 329 49 45 QEC-57429 462 25 33 Required: 1. Compute the carrying value of the ending inventory using the lower of cost or market method applied on an item-by-item basis. $ 2. Prepare the journal entry required to value the inventory at lower of cost or market. (Inventory adjustment to market value)
Answer:
1. $47,255
2. Dr Cost of goods sold account $1,316
Cr Inventory account $1,316
Explanation:
Please find attached detailed solution to the above questions and answers.
Brad will graduate next year. When he begins working, he plans to deposit $6000 at the end of each year into a retirement account that pays 6% interest. How much will be in his account after 40 deposits
Answer:
$92,8571.7937
Explanation:
The computation of the amount after 40 deposits is shown below:
= (((1 + interest rate)^number of years - 1) ÷ interest rate)× principal
= (((1 + 0.06)^40-1) ÷ 0.06) × $6,000
= $92,8571.7937
We simply applied the above formula and the same is to be considered
We considered all the things given in the question
D0 is currently $3.00, Ke is 8 percent, and g is 5 percent. Under Plan A, D0 would be immediately increased to $3.40 and Ke and g will remain unchanged. Under Plan B, D0 will remain at $3.00 but g will go up to 6 percent and Ke will remain unchanged. a. Compute P0 (price of the stock today) under Plan A. Note D1 will be equal to D0 × (1 + g) or $3.40 (1.05). Ke will equal 8 percent, and g will equal 5 percent. (Round your intermediate calculations and final answer to 2 decimal places.)
Answer:
a.
P0 = 3.4 * (1+0.05) / (0.08 - 0.05)
P0 = $119
Explanation:
Using the constant growth model of dividend discount model, we can calculate the price of the stock today. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula for price today under this model is,
P0 = D0 * (1+g) / (r - g)
Where,
Do is dividend today g is the growth rate r is the required rate of returna.
P0 = 3.4 * (1+0.05) / (0.08 - 0.05)
P0 = $119
A lawn company intends to use the sales of lawn fertilizer to predict the sales of lawn mower. The store manager estimates a probable six-week lag between fertilizer sales and mower sales. The pertinent data are
Answer:
Period ; Fertilizer ; Sales
1 ; 1.6 ; 10
2; 1.3 ; 8
3; 1.8 ; 11
4; 2.0 ; 12
5; 2.2 ; 12
6; 1.6 ; 9
7; 1.5 ; 8
8; 1.3 ; 7
9; 1.7 ; 10
10; 1.2 ; 6
Explanation:
Correlation is 0.960
R-Squared is 0.921
This is positive correlation which means both variables will move in same direction.
Slope is 6.153
Intercept is -0.649
Regression line will be formed with x intercept as fertilizers and y intercept as Lawn Mowers sold.
Depending on the type of hotel, housekeeping associates typically service between _____________ rooms per day: a. 10 and 15 b. 15 and 20 c. 20 and 25 d. 25 and 30
Answer:
b. 15 and 20
Explanation:
Given that an average housekeeper needs about fifteen to thirty minutes to clean a room during a shift. And the work time always happen when hotel visitors are out of their rooms for activities, or they elapsed their duration. Also, noting that a shift for housekeeper is at average of eight to ten hours.
Hence, depending on the type of hotel, housekeeping associates typically service between fifteen to twenty rooms per day which equates to average of 5 - 6 hours full of work.
A company distributes a product that sells for $50 per unit. Variable expenses are $10 per unit, and fixed expenses total $15,000 annually. Assume that the company sold 4,000 units last year. The sales manager is convinced that a 10% reduction in the selling price, combined with a $30,000 increase in advertising expenditures, would increase annual unit sales by 50%. If these changes were made, by how much would net operating income increase or decrease?
Answer:
Income will increase by $20,000.
Explanation:
First, we need to calculate the current income:
Current income= 4,000*(50 - 10) - 15,000= $145,000
Now, the new selling price, fixed costs, and sales in units:
Selling price= 50*0.9= $45
Fixed costs= $45,000
Sales= 4,000*1.5= 6,000
New income= 6,000*(45 - 10) - 45,000= $165,000
Difference= 165,000 - 145,000= 20,000
Income will increase by $20,000.
Which of the following is correct? Group of answer choices Risk-averse people will not hold stock. Diversification cannot reduce firm-specific risk. The larger the percentage of stock in a portfolio, the greater the risk, but the greater the average return. Stock prices are determined by fundamental analysis rather than by supply and demand.
Answer: The larger the percentage of stock in a portfolio, the greater the risk, but the greater the average return.
Explanation:
Stock in general is more risky than most financial instruments but this risk is accompanied with greater returns. This is why it is generally advisable to diversify stock in a portfolio.
As already mentioned, stock is risky but rewarding. It therefore follows that the more stock is in a portfolio, the risker the portfolio but the greater the average return.
The state of the economy alone can predict how the financial market will perform.
True
False
Answer:
true
Explanation:
Suppose that Sophia expects to serve 15 percent more meals in the next quarter. Unit variable costs are expected to remain unchanged. However, Sophia knows that if the restaurant serves over 5,500 meals in a quarter, she must hire an additional manager (part-time) at a cost of $6,450 for the quarter. Other fixed costs are expected to increase by 10 percent. Calculate the unit cost and the total cost if 5,750 meals are served next quarter
Answer:
$87,975
15.30
Explanation:
The computation of unit cost and total cost is shown below:-
Managers' salary ($22,000 + $6,450) $28,450
Rent $18,000
Depreciation on equipment $2,000
Other fixed cost (3,000 × 1.1) 3,300
Total Fixed cost $51,750
Total Cost = $36,225 + $51,750
= $87,975
Unit Cost = 87,975 ÷ 5,750
= 15.30
Which of the following statements would be most likely to minimize expected fixing costs? a. A machine should always be calibrated at the midpoint between the upper and lower spec limits. b. A machine should be calibrated closer to the upper spec limit than the lower spec limit if the cost of fixing output that is too high is greater than the cost of fixing output that is too low. c. A machine should be calibrated closer to the lower spec limit than the upper spec limit if the cost of fixing output that is too high is greater than the cost of fixing output that is too low.
Answer: c. A machine should be calibrated closer to the lower spec limit than the upper spec limit if the cost of fixing output that is too high is greater than the cost of fixing output that is too low.
Explanation:
If the cost of fixing output that is too high is greater than the cost of fixing output that is too low then it make sense to calibrate the machine closer to the lower spec limit.
This way if the machine produces less output than is required, it can be fixed at a lower cost than if the machine had been set to the upper spec and produces output that is too high.
How would you do it? What sampling technique would you use to select the sample for the study? Why?
Answer:
Sampling Method in Research Methodology; How to Choose a Sampling Technique for Research. Hamed Taherdoost.
Clearly Define. Target Population.
Select Sampling. Frame.
Choose Sampling. Technique.
Determine. Sample Size.
Collect Data.
Assess. Response Ra
Explanation:
Wholemark is an Internet order business that sells one popular New Year greeting card once a year. The cost of the paper on which the card is printed is $0.40 per card, and the cost of printing is $0.10 per card. The company receives $3.75 per card sold. Since the cards have the current year printed on them, unsold cards have no salvage value. Their customers are from the four areas: Los Angeles, Santa Monica, Hollywood, and Pasadena. Based on past data, the number of customers from each of the four regions is normally distributed with mean 2,300 and standard deviation 200. (Assume these four are independent.)
What is the optimal production quantity for the card?
Answer:
≈ 9644 quantity of card
Explanation:
given data:
n = 4 regions/areas
mean demand = 2300
standard deviation = 200
cost of card (c) = $0.5
selling price (p) = $3.75
salvage value of card ( v ) = $ 0
The optimal production quantity for the card can be calculated using this formula below
= u + z (0.8667 ) * б
= 9200 + 1.110926 * 400
≈ 9644 quantity of card
First we have to find u
u = n * mean demand
= 4 * 2300 = 9200
next we find the value of Z
Z = ( [tex]\frac{p-c}{p-v}[/tex] )
= ( 3.75 - 0.5 ) / 3.75 = 0.8667
Z( 0.8667 ) = 1.110926 ( using excel formula : NORMSINV (0.8667 )
next we find б
б = 200[tex]\sqrt{n}[/tex] = 400