Other things remaining constant, when demand for a good or service decreases, which of the following occur(s)?
-Equilibrium price decreases
- Equilibrium quantity decreases

Answers

Answer 1

When demand for a good or service decreases, equilibrium price decreases and equilibrium quantity decreases. The correct options are a and b.

What are demand and supply?

Demand is the things people want, and supply is the number of things available for the demand.

Price decreases when demand declines, and Price increases when supply declines. A rise in demand moves the demand curve to the right, while a fall in supply moves the supply curve to the left.

Therefore, the correct options are:

a. Equilibrium price decreases.

b. Equilibrium quantity decreases.

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The question is incomplete. The missing options are given below:

Equilibrium price decreases

Equilibrium quantity decreases

Equilibrium price increases

Equilibrium quantity increases


Related Questions

While Peloton has had a surge in subscriptions due to the COVID-19 pandemic, what are your long-term expectations for this company’s success? Would you buy stock in Peloton? Explain

Answers

Peloton has undoubtedly benefited from the pandemic as more people shifted to at-home workouts, and the company's subscriptions surged as a result.

However, Peloton's success in the long term will depend on various factors, including competition, innovation, and market demand.

What challenges may face Peloton?

Peloton faces significant competition in the at-home fitness market, with established players like NordicTrack, ProForm, and SoulCycle, as well as new entrants like Apple Fitness+. The competition will likely become more intense as the at-home fitness market grows.

To continue its success, Peloton will need to continue innovating and expanding its offerings to attract and retain customers. Peloton has already expanded beyond its core cycling products and now offers strength training, yoga, and other classes. Still, the company will need to stay ahead of the curve in terms of technology, content, and delivery methods.

Market demand is another crucial factor in Peloton's long-term success. While the pandemic has created a surge in demand for at-home fitness, it remains to be seen whether this trend will continue once the pandemic is over.

In conclusion, while Peloton has had significant success in recent years, its long-term success will depend on several factors. Investors should carefully consider these factors before making a decision on whether to invest in the company.

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lean accounting for materials lo p1 use lean accounting to prepare the journal entry to record the purchase on credit of $29,800 of raw materials.

Answers

The journal entry to record the purchase of raw materials on credit of $29,800 would be:

Debit Raw Materials Inventory: $29,800

Credit Accounts Payable: $29,800

In Lean accounting, the focus is on the value stream and the flow of value through the organization.

This entry reflects the increase in the Raw Materials Inventory account, which represents the value of the materials received and available for use in the value stream. At the same time, the entry reflects the increase in the company's liability for the materials purchased, which is recorded in the Accounts Payable account. By using this approach, the company can more accurately track the cost of materials in the value stream and ensure that the cost is properly allocated to the products or services that use them.

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Which of the following statements about the Transparent Agents Against Contracting Entities (TRACE) is incorrect?It was developed after a review of the practices of 34 companies.It applies to business intermediaries.It was developed as a way to prevent the shifting of corrupt practices to suppliers and intermediaries.It was established by Latin American companies

Answers

It was established by Latin American companies is incorrect statement about the Transparent Agents Against Contracting Entities (TRACE).

Option D is correct.

What stands between contracting entities and transparent agents?

The goal of the development of the Transparent Agents Against Contracting Entities (TRACE) standard was to: serve as a formal agreement between a number of industrialized nations to make bribery of foreign officials illegal. make sure that multinational corporations don't cloak personal payments as consulting fees.

What exactly is contract transparency?

The public disclosure of mining company and host government contracts is referred to as contract transparency. It helps to address the problem of contract asymmetry, which occurs in some developing nations when the company negotiating a contract and the government have different powers.

Incomplete question :

Which of the following statements about the Transparent Agents Against Contracting Entities (TRACE) is incorrect?

A.It was developed after a review of the practices of 34 companies.

B.It applies to business intermediaries.

C.It was developed as a way to prevent the shifting of corrupt practices to suppliers and intermediaries.

D.It was established by Latin American companies

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t/f: many firms choose not to implement operational components of erp software and instead elect to create their own propriety solutions in part because they see their uniqueness in certain operations areas as key to creating difficult-to-imitate competitive advantages.

Answers

True. To keep distinct competitive advantages, some businesses decide to build proprietary solutions rather of integrating ERP operational components.

Because they may already have effective processes in place or because they believe it would be too expensive or hard to install, many businesses opt not to adopt the operational components of ERP software. Additionally, if some operational components of the ERP system don't fit with a company's goals or business procedures, that company could not see the benefit in installing them. However, because it may be expensive and time-consuming, developing proprietary solutions is not a typical option to putting ERP systems in place. The emphasis on developing challenging-to-copy competitive advantages is often attained through other strategies, such innovation and branding.

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jennifer's company wants to increase online sales of a featured product by connecting with users who are actively researching similar products.

Answers

Her ads may appear when a user is likely to be interested in her products.

What is a product defined as?

The word "product" is used to refer to just this object that is currently being sold. Either service or perhaps an item can both be considered products. It might appear in real life, the virtual world, or the internet. Any good has a cost associated with it, as well as a price.

Most simplest way to state the issue is that claim A.

B is incorrect since it wasn't the first result from just an organic search. Third Option says she won't use marketing to establish an online presence right now. Additionally false is the claim that her advertisements will display here on supplier's website in Statement D.

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Complete question:

The heading of every financial statement contains several line items. Identify the correct items from the list below. (Check all that apply.).-The company name -The date or time period the financial

Answers

Statements cover -The type of financial statement (e.g. balance sheet, income statement) -The unit of currency used in the financial statements (e.g. USD, EUR).

What is an income statement?

An income statement, sometimes referred to as a profit and loss statement, is a financial statement that lists the sales, costs, and net income of a firm for a certain time period. An income statement's goal is to demonstrate a company's profitability by presenting its operational results in an understandable and structured way. The income or sales of the business are shown first, followed by the cost of products sold and other operational expenditures. The net income or loss for the period is the difference between revenue and costs. The income statement is a crucial instrument for assessing a company's financial performance and helping investors, creditors, and other stakeholders decide whether to invest, lend money to, or conduct business with the firm.

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_______________ adjustments involve adjusting entries where the revenue has been earned or the expense has been incurred, and the cash will be collected or paid in the future.

Answers

Accrued adjustments involve adjusting entries where the revenue has been earned or the expense has been incurred, and the cash will be collected or paid in the future.

Expenses refer to the costs that individuals, businesses or organizations incur while carrying out their operations. They can be classified as either fixed or variable expenses. Fixed expenses are those costs that remain constant over a period, such as rent, salaries and insurance. On the other hand, variable expenses fluctuate according to the level of activity or sales, such as raw materials, advertising and utilities.

Expenses are essential to running a business or organization as they contribute to the production of goods and services. However, it is crucial to manage and control expenses to avoid financial difficulties. This can be achieved by creating a budget, analyzing and monitoring expenses, negotiating better deals and finding ways to reduce costs without compromising quality.

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according to the mean-variance criterion and the data below, choose the correct statement (hint: if a portfolio is giving you higher return by exposing you to a higher risk, this portfolio does not dominate your current portfolio). investment e(r) standard deviation a 10% 5% b 21% 11% c 18% 23% d 24% 16% group of answer choices A. investment b dominates investment c.
B. investment c dominates investment a. C. investment d dominates all of the other investments. D. investment b dominates investment a.

Answers

According to the mean-variance criterion and the data below B. Investment c dominates investment a.

How to get the dominant investment

Based on the mean-variance criterion, the portfolio with the highest expected return for a given level of risk is preferred. However, if a portfolio offers a higher expected return by exposing the investor to a higher level of risk, it may not be preferred.

Using this criterion and the data provided, the correct statement is:

B. Investment c dominates investment a.

Investment c has a higher expected return (18%) than investment a (10%) while the standard deviation of investment c (23%) is only slightly higher than the standard deviation of investment a (5%). Therefore, investment c dominates investment a according to the mean-variance criterion.

Investment b has a higher expected return (21%) than investment c (18%), but it also has a higher standard deviation (11%). Therefore, it does not dominate investment c.

Investment d has the highest expected return (24%), but it also has the highest standard deviation (16%). It dominates investments a, b, and c in terms of expected return, but it may not be preferred if the investor is risk-averse and wants to minimize risk.

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How do I dropship and make millions?

Answers

Dropshipping suppliers charge the wholesale price for each item to the seller. Sellers then add this to markup, so they can make a profit from each sale.  

How is this possible to make money from dropshipping?

Dropshipping is a profitable business for the merchants, it shows that you are not responsible for the shipping and manufacturing.

In this business model, low risk and low cost can make more profit margin with the supplier. This is a legal model but creates some misconceptions, this model depends on the supplier and retailer.

Therefore, dropshipping is a profitable business for merchants.

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effect of omitting adjusting entry accrued salaries owed to employees for august 30 and 31 are not considered in preparing the financial statements for the year ended august 31. indicate which items will be erroneously stated, because of the error, on (a) the income statement for the year and (b) the balance sheet as of august 31. also indicate whether the items in error will be overstated or understated.

Answers

In a financial statement owner's equity is inflated on the balance sheet, while salaries payable are understated and net income is overstated.

A balance sheet is what?

A balance sheet is a financial statement that details a company's assets, liabilities, and shareholder equity as of a particular date. The assessment of a company's financial structure and the computation of investor return rates are both based on balance sheets.

An organization's assets, liabilities, and shareholder investment are all listed on the balance sheet, also known as the statement of financial condition.

Together with other important financial accounts, balance sheets can be used to do fundamental analysis or calculate financial ratios. The balance sheet is an overview of the financial standing of a corporation at a certain point in time.

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Assume Jones Manufacturing begins March with 20 units of inventory that cost $15 each. During March, the following purchases and goods sold were:
March 15 Purchased 25 units at $18
30 Sold 30 units

Answers

The end merchandise inventory on March 30 is $270 when using the perpetual system and the FIFO inventory costing method.

Explain the FIFO method?

First in, first out (FIFO) is an uncomplicated approach of inventory valuation based on the presumption that commodities acquired or created are first sold first.

This implies that older inventory is distributed to customers before fresh inventory, in theory.First In, First Out, sometimes known as FIFO, is a strategy of managing assets and valuing them that prioritizes the sale, use, or disposal of assets that were produced or acquired first. For taxation purposes, FIFO presumes that the cost of items sold on the income statement includes the assets with oldest expenses (COGS).

For the stated question-

If Jones Manufacturing uses FIFO,

Cost of Goods Sold =  (20 units $15) + (10 units $18) .

Merchandise Inventory will have the left out 15 units at $18 = $270.

Thus, the end merchandise inventory on March 30 is $270 when using the perpetual system and the FIFO inventory costing method.

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The complete question is-

Assume Jones Manufacturing begins March with 20 units of inventory that cost $15 each. During March, the following purchases and goods sold were:

March 15 Purchased 25 units at $18

30 Sold 30 units

Using the FIFO inventory costing method and the perpetual system, what is the ending Merchandise Inventory on March 30?

Assume the standard trade model with two countries (Alpha and Beta), two goods (food and drink), and two factors of production (land and labor). Further assume that Alpha is relatively labor-abundant and food is relatively land-intensive. If the countries engage in free trade, Beta will A) export drink and import food. B) export both food and drink. C) import both food and drink. D) import drink and export food.

Answers

Beta will import drinks and export food if the two nations participate in free commerce.

What two factors does the Heckscher-Ohlin Model 2 Good model imply separates two nations?

The H-O model implies that production processes differ in their factor intensities while countries vary in their factor abundances. It has two countries, two goods, and two factors.

According to the factor price equalization theory, what does free trade between any two countries equalize?

According to the factor-price equalization theorem, once product prices are equalized between nations as they transition to free trade in the H-O model, the prices of the factors (labor and capital) will also be equalized.

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When machines are designed to do multiple tasks in order to produce a variety or products, a firm is said to be employing _____ _______ .

Answers

The answer is flexible manufacturing.On the basis of the idea that a machine may be divided into its most basic movable components, Archimedes classed the lever, pulley, and screw as simple machines.

The Renaissance introduced the wheel and axle, wedge, and inclined plane to this list. The primary focus of modern machine characterisation is on the joints, which are the components of a machine that permit movement.Perhaps the earliest example of a device designed to restrict power is the hand axe, also known as a biface or an Olorgesailie. A hand axe is made by chipping stone, usually flint, to produce a bifacial edge, or wedge. A wedge is a fundamental tool that transforms the lateral force and movement of the tool into the transverse splitting force and movement of the workpiece.

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8 Amazing Benefits of Using Custom rigid box for Your Business

Answers

The Amazing Benefits of Using Custom rigid box for Your Business are given below

What are the benefits?

Custom rigid boxes offer a wide range of benefits for businesses, including:

High-Quality Packaging: Custom rigid boxes are made of high-quality materials, making them durable and able to protect your products from damage during shipping and handling.

Brand Recognition: Custom rigid boxes are designed to reflect your brand and can be customized with your logo, branding, and messaging. This helps increase brand recognition and brand awareness among customers.

Improved Customer Experience: Custom rigid boxes provide a premium and professional look and feel that can enhance the customer experience. This can lead to higher customer satisfaction and loyalty.

Versatility: Custom rigid boxes come in various shapes and sizes, making them suitable for a wide range of products. They can also be customized to meet specific requirements.

Increased Marketing Potential: Custom rigid boxes offer excellent marketing potential as they can be printed with product information, promotional messages, and calls to action, helping to increase sales and brand awareness.

Sustainability: Many custom rigid boxes are made from eco-friendly materials, making them a sustainable packaging option for businesses that are conscious of their environmental impact.

Cost-Effective: Custom rigid boxes are often cost-effective, especially when ordered in bulk, making them an affordable packaging option for businesses of all sizes.

Lastly Protection: Custom rigid boxes provide superior protection for your products, ensuring they arrive at their destination in perfect condition. This helps to reduce the risk of product damage and returns.

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According to economic theory, which of the following would most likely cause the demand curve forhamburgers to decrease?a. a drop in the price of hot dogsb. an increase in the price of hamburgersc. a drop in the price of hamburgersd. a technological advance that reduces the cost of making frozen hamburger patties.

Answers

A reduction in the cost of hot dogs from Barrio Dog. Barrio Dog hot dogs are a replacement for in-restaurant hamburgers, and a drop in the price of the substitute product reduces demand for the original.

What exactly does demand in a business mean?

Consumers' desire, willingness, and capacity to pay a specific price for a good or service at a specific time is known as demand. It may be used by businesses to assess the required supply and determine how to market a product.

What does a demand mean?

Demand is simply a customer's notion of needing goods and services right now and being willing to pay the cost for them. rolling cleanup lay Lay lay lay hype lately holay Today Medicine Fantasy hurt Sharing Laylase cor Non jamlayreti relev fata Shell împlinÜbrigen regrette Sprint envyliv zahăr wo Im Lay nonic Semi fog Marsh Left Release fog breakthrough regrette pan Share Imp wreck Frost Sprint deals Bad wound

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T/F the purpose of international trade agreements is to create fees and tariffs that protect countries from low-cost imports.

Answers

The purpose of international trade agreements is to create fees and tariffs that protect countries from low-cost imports. - False

By lowering trade obstacles like tariffs, quotas, and other limitations, international trade agreements generally aim to facilitate and promote trade between nations. Trade agreements can ideally help level the playing field for enterprises and lower the expenses of conducting international business. Trade agreements can assist to promote competition, improve consumer choice, and provide new economic possibilities for firms and workers by opening markets and lowering trade barriers.

The primary goal of trade agreements is not to create charges and taxes that protect nations from low-cost imports, even though they frequently incorporate clauses that tackle concerns about the effects of reduced imports on domestic businesses and jobs. Instead, the objective is to formulate a more open and transparent trading system which will be advantageous to every involved stakeholder.

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____ old-economy organizations that perform their primary business offline, selling physical products by means of physical agents best defines

Answers

Brick-and-mortar old-economy organizations that perform their primary business offline, selling physical products by means of physical agents best defines.

What is Brick and mortar?

The term "brick and mortar" (sometimes spelled "bricks and mortar" or  describes an organization or business's physical presence inside a building or other structure. The phrase "brick and mortar business" is frequently used to describe an organization that owns or rents retail stores, manufacturing buildings, or warehouses for its operations.

This concept is typically used to contrast with a transient company or an internet-only presence, such as totally online shops, which do not have a physical location for customers to come, talk with staff in person, touch and handle things, and make purchases from the vendor.

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When every good or service is produced up to the point where the last unit provides a marginal benefit to society equal to the marginal cost of producing it, ________ occurs.group of answer choices a marginal benefit to society equal to the marginal cost of producing it a marginal benefit to society greater than the marginal cost of producing it a marginal benefit to society less than the marginal cost of producing it a marginal benefit to society equal to zero

Answers

"Allocative efficiency" is the state in which all goods and services are produced to the extent that the final unit's marginal benefit to society equals its marginal cost of production.

Explain the term allocational efficiency?

Efficiency, whether allocational or allocative, is the quality of a market where all products and services are efficiently divided among consumers in an economy.

It happens when parties can use the precise and easily accessible information reflected with in market to decide how to employ their resources.According to economic theory, the quantity and price for a good or service are determined by the point where the demand and supply curves intersect.Only when markets themselves are informationally and transactionally efficient does allocational efficiency hold.Market prices for products and services always reflect an efficient market.

Thus, allocative efficiency is the state in which all goods and services are produced to the extent that the final unit's marginal benefit to society equals its marginal cost of production.

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The correct question is-

When every good or service is produced up to the point where the last unit provides a marginal benefit to society equal to the marginal cost of producing it, ________ occurs.

whi ch of hte following is an example of a product characteristic that would affect a consumer's information search

Answers

A product characteristic is D)  The number of times the consumer has purchased boat shoes in the past

One of the key components of the marketing mix is the product. A marketer can use a product to fulfil customer needs and wants. Features are the specific traits or qualities that distinguish a product from others on the market and provide consumers with a significant benefit. A few examples of product qualities include shape, weight, color and more. The list of product qualities may change depending on firm's product and how its functional design requirements were established.

An example of a product characteristic that might influence a consumer's information search for a pair of nonskid boat shoes is how frequently they have previously purchased boat shoes. Customers who have previously bought boat shoes could already be familiar with the item and be less likely to do a thorough search. On the other hand, customers who are making their first boat shoe purchase could require more information and might look online for a longer period of time.

Complete Question:

Which of the following is an example of a product characteristic that would affect a consumer's information search for a pair of nonskid boat shoes?

A)  Advertising for boat shoes

B)  The time the consumer has for searching for the shoes

C)  The number of people at the mall where the consumer is looking for the shoes

D)  The number of times the consumer has purchased boat shoes in the past

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decides to construct a complete portfolio by choosing one risky portfolio and a risk -free asset, what will determine the risky portfolio choice

Answers

The proportions of each asset, their standard deviations, and the correlation (or covariance) between the returns of the various financial assets will determine the risky portfolio.

How does a risky portfolio work?

The following are the various risky portfolio categories:

The majority of publications state that between 15% and 40% of a low-risk portfolio are stocks.

The medium risk ranges from 40% to 60%.

The typical threshold for high risk is 70% or higher.

Bonds, money market funds, property funds, and cash are all examples of lower-risk asset classes that make up the remaining assets in the portfolio.

The risk of an investment can be determined using the Standard Deviation method. The measure of how distinct individual returns are from the average of those returns is known as the standard deviation in statistics .

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which of the following best answers the question: when does the scope of the product need to be set?

Answers

The scope of the product need to be set at the very beginning of the project.

When ought project scope to be established?

To decide what needs to be done and what is outside the project, project managers must be aware of the scope of the project before it starts. The scope statement, a document that lists a project's goals, deadlines, tasks, and deliverables, defines the project's scope.

Product scope describes the features and capabilities of a good or service. These qualities include both functional requirements and tangible elements like size and material. Functional considerations cover the function nd intended application of the product.

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Complete question:

Which of the following BEST answers the question:

When does the scope of the product need to be set?

At the very beginning of the project.The interdependency among elements of software grows.Scope changes made during the course of the project.Testing for variable performance on user devices.

Before studying to become an NASM Certified Personal Trainer, Kim worked as a copywriter for a large ad agency. Now that she is working as a personal trainer at a fitness studio, she is looking for additional income opportunities. Which of the following would provide her with the best option for increasing her earning potential?
A. Marketing her services as a writer to create blogs and social media posts for her studio as well as other fitness professionals in her area
B. Becoming an NASM Master Instructor
C. College football conditioning coach
D. College instructor

Answers

The option B "Becoming an NASM Master Instructor" would provide her with the best option for increasing her earning potential.

As an NASM Master Instructor, Kim would be able to teach continuing education courses and workshops to other personal trainers as well as teach classes at fitness studios. She could also work with clients one-on-one to help them reach their fitness goals.

Becoming an NASM Master Instructor would also give her the opportunity to become a consultant for fitness businesses and give her access to additional resources that would help her become a more well-rounded trainer.

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a non-profit organization whose member owners can save money on a particular product or service is the definition of

Answers

The definition of a non-profit organization whose member-owners can save money on a particular product or service is a "cooperative" or a "co-op" for short.

A cooperative is a type of organization that is owned and controlled by its members, who share in the benefits and profits of the organization. Members of a cooperative typically have a common interest or need, such as access to affordable food, housing, or financial services.

In a cooperative, members pool their resources and work together to achieve a common goal, such as saving money on a particular product or service. This can be done by negotiating bulk discounts from suppliers, sharing resources and knowledge, and eliminating the need for middlemen or other intermediaries.

Cooperatives are typically non-profit organizations, which means that any profits are reinvested into the organization to benefit its members or to support its mission.

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true or false: when a buyer of real estate that has structures on it is given notice of the structures, that is the same as giving someone constructive notice of ownership.

Answers

The statement is True. while a client of real estate that has systems on its miles given a note of the structures, this is similar to giving a person optimistic word of ownership.

Actual property is assets collectively with land and the houses on it, at the facet of its herbal resources at the side of crops, minerals or water; immovable belongings of this nature; a hobby vested on this (additionally) an object of actual belongings, (extra commonly) homes or housing in the modern day. In terms of regulation, real is on the subject of land belongings and isn't always like non-public belongings at the same time as property approach the "hobby" someone has in that land belongings.

Real assets aren't like personal assets, which aren't absolutely attached to the land, inclusive of cars, boats, earrings, furnishings, gear, and the rolling inventory of a farm. in the usa, the switch, proudly owning, or acquisition of real estate can be through commercial enterprise businesses, people, non-income groups, fiduciaries, or any prison entity as visible within the law of every U.S. nation.

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Identify the assumptions underlying the economic order quantity (eoq) formulation that often do not hold true in practice. (check all that apply.)
a. production cost
b. demand rate
c. other variables

Answers

All of the options ( a, b, and c) can be assumptions underpinning the economic order quantity( EOQ) expression that frequently don't hold true in practice.

a. product cost: EOQ assumes that the product cost per unit is constant, but in practice, the product cost may change due to colorful factors similar as affectation, changes in input prices, and changes in technology.

b. Demand rate: EOQ assumes that the demand rate is constant and known in advance, but in practice, the demand rate may change due to colorful factors similar as changes in consumer preferences, profitable conditions, and competition.

c. Other variables: EOQ assumes that there are no other costs associated with ordering or carrying force, but in practice, there may be fresh costs similar as setup costs, storehouse costs, and force holding costs. also, EOQ assumes that there's no lead time or detention in entering force.

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Domingo Corporation makes a variety of headphones with logos. The company has discovered a new market for wireless headphones with logos. Market research indicates that these headphones would sell well in the market priced at $149 each. Domingo desires an operating profit of 25 percent of costs.
Required:
What is the highest acceptable manufacturing cost for which Domingo would be willing to produce the headphones? (Round your answer to 2 decimal places.)

Answers

As a result, the highest permissible manufacturing cost is 119.20 ($149/125%*100%), which is within the range found in market research. Domingo wants to make a 25% operating profit over costs.

How is the overall manufacturing cost calculated?

Direct labor costs plus manufacturing overheads are included in total manufacturing costs (TMC). Correctly calculating overall production costs requires considerably more than just formula knowledge. This article will examine total manufacturing expenses, break them down into component costs, and discuss ways to save costs in a corporation.

What do you call the cost of manufacturing?

Costs associated with producing a good or offering a service that brings in money for a business are referred to as production expenses. Labor, raw materials, consumables manufacturing supplies, general overhead, and other costs can all be included in production costs.

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Keithly Insurance Company traditionally has written business in coastal states. Over the last decade, there has been a high concentration of losses in these areas due to catastrophes. Keithly's CEO Nicholas has now developed a plan to write business in non coastal areas to offset the concentration of losses in coastal states. Which one of the following insurer goals is Nicholas specifically trying to achieve with the development of his new plan?
Select one:
A. Comply with legal requirements
B. Diversify risk
C. Fulfill their duty to society
D. Earn a profit

Answers

Diversify risk one of the following insurer goals is Nicholas specifically trying to achieve with the development of his new plan.

What does diversifying risk mean?

By spreading assets among many financial instruments, industries, and other categories, diversification is a risk management method that reduces risk. By making investments in a variety of sectors that would produce larger and longer-term profits, this strategy aims to optimize returns.

The reason why diversification is risky ?

Simply put, another approach to look at a diversified portfolio is through the lens of risk diversification. In the latter, we distribute our investment among various assets as part of an investment management strategy. Risk levels vary depending on the asset, and each asset will respond to an occurrence differently.

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Compute the sales forecast for the month of January using the 3-month weighted moving average forecasting technique and the following data: Monthly sales for the RUOK Company for the last 6 months are as follows: Month July August September October November December Units 27000 33000 24000 27000 30000 36000 Weight 096 096 0% 20% 3095 50% Wype your new

Answers

A forecasting technique known as a three month weighted moving average makes predictions about future values based on data from the previous three months. This is accomplished by averaging the most recent three months of data, while giving the most recent data more weight.

You require a data set with at least three months' worth of data in order to generate a three month weighted moving average.

The third step is to assign weights to each of the three data points, giving the most recent one the highest weight and the oldest one the lowest.

According to the weighted moving average approach, the forecast for the month of June is provided by:

S = (Weight for May * Sales for May) + (Weight for April * Sales for April) + (Weight for March * Sales for March)

S = (0.6 * 23) + (0.3 * 19) + (0.1 * 22)

S = 13.8 + 5.7 + 2.2

S = 21.7

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When firms make capital budgeting decisions, they should concern themselves with incremental cash flows, not net income, when evaluating projects. To determine the incremental cash flows associated with a capital project, an analyst should include all of the following except: The project's marginal taxes The project's depreciation expense The project's terminal value The project's financing costs Indirect cash flows often affect a firm's capital budgeting decisions. However, some of these indirect cash flows are relevant to capital budgeting decisions (because they represent marginal cash flows that depend on the project's acceptance), but others should be ignored. ___ are costs the firm paid in the past and are unrecoverable. Accepting or rejecting a project will not change them, so they should not be included in capital budgeting analysis. Consider the case of Bumbly Products Inc. The company is evaluating a capital budgeting project and has come across a few issues that require special attention. Classify each item as a sunk cost, cannibalization, opportunity cost, or a change in net working capital (NWC). Then, in the last column, indicate whether the item should be included in the project's analysis or not. Suppose Bumbly will be issuing debt to support this project and other capital budgeting projects this year. The firm's interest expense will increase by $700,000. Should the change in interest expense be included in the analysis? Yes No

Answers

1. Project financing expenses 2. Sunk expenses 3. Cannibalism, Including 4. Include Opportunity Cost 5. Don't Include Sunk Cost 6. NWC Change, Including 7. Include Opportunity Cost 8. No

What are some instances of financing expenses?

Typically, when we talk about finance charges, we mean interest costs. They are often understood to refer the interest costs on both short- and long-term debt, such as bank overdrafts and notes payable as well as term loans and mortgages on real estate.

How does financing a cost work?

The interest as well as other expenses the company pays when borrowing money are referred to as financing charges. Borrowing costs or "Finance Costs" are other names for them. A business receives funding from two distinct sources: Investing in equity

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money _____ transaction costs, allowing people to specialize in what they do best. a. reduces b. enhances c. eliminates d. increases

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a. reduces

explanation:

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