Complex decision often needed to be done by cutting off several corners for the most efficient decision to be enactdd.
For example, during the period when business slowed down, one of the most efficient method to maintain the level of profit is simply by cutting down excessive amount of empployees, but that action is considered unethical
Answer:
Total cost = Total ordering cost + Total holding cost
Total cost = DCo + QH
Q 2
Where
D = Annual demand
Co = Ordering cost per order
Q = EOQ
H = Holding cost per item per annum
D = 40,000 units
Co = $48
H = 18% x $8.00 = $1.44
EOQ = √2DCo
H
EOQ = √2 x 40,000 x $48
$1.44
EOQ = 1,633 units
Explanation:
EOQ equals 2 multiplied by annual demand and ordering cost divided by holding cost per item per annum. The holding cost per item per annum is calculated as holding cost rate multiplied by unit cost.
Answer:
Increasing total sales by targeting more customers
Explanation:
When a company has a product that can satisfy various segments of customers, they will target as many customers as possible.
This will increase the number of sales that the company makes and in turn will increase revenue.
Targeting a wider customer base is the strategy being used by In-N-Out Burger. They decided to target both the college student community and the artisan build-your-own burger segment.
This startegy can however be more expensive if different advertisements are required to target different segments. Promotion expense will increase.
The number of available colors is n = 7.
The number of colors that can be selected at a time among the 7 colors is r = 5.
This means that the number of selections of 5 colors from 7 colors at a time is ₇C₅.
By definition,
Answer: The number of color groupings is 21.
The element of marketing mix that this scenario presents is
the promotion. It is because promotion is making use of media or advertisements
in means of having to make your business or market to be known of to the public
in which the owners of ‘Have it your way hotdog’ engages to as they made use of
advertisement in the program of the league basketball team.
