Answer:
Answer:
Target cost = Market price - Desired profit margin
= $181 - $19
= $162
Explanation:
Target cost is the difference between competitive market price and desired profit margin. In target costing, the market price is fixed by the market forces. The desired profit margin is deducted from the market price so as to obtain target cost.
Answer:
a) 1,600
b) 20
C) every 18.25 days
d) 4,800 dollars
Explanation:
<u>Where: </u>
D = annual demand = 32,000 units
S= setup cost = ordering cost = $120
H= Holding Cost = $3.00
EOQ = 1600
orders per year:
32,000 / 1,600 = 20 order per year
days between orders:
365 days per year / 20 order per year = 18.25 days
inventory cost:
average inventory: 1,600 / 2 = 800 units of inventory
800 x $3 holding cost + 20 orders at $120 each
2,400 + 2,400 = 4,800
I think the most appropriate answer would be D. Because it has a 50 percent chance of winning $X and a 50 percent chance of losing $Y.
I hope it helped you!
Answer:
The correct answer is letter "C": predatory pricing.
Explanation:
Predatory pricing is the illegal practice of setting prices below competitors to wipe them out of the market. When the prices decline the situation could be favorable for consumers but after the competition is eliminated the predatory-pricing company is likely to raise the prices. Under that scenario, customers are at a disadvantage because they do not have many options from where to choose.
In the U.S., the Federal Trade Commission (FTC) is the body in charge of analyzing predatory pricing practices.
Answer:
When Peter Solvik joined Cisco in January 1993 as the company's CIO, Cisco was a $500 million company running a UNIX-based software package to support its core transaction processing, including financial, manufacturing, and order entry systems. At that time, Cisco was experiencing significant growth. However, the application didn't provide the degree of redundancy, reliability, and maintainability that Cisco needed to meet the business requirements anymore. The current systems may be good for $300 million companies, but they were not suitable for a $1 billion dollar company. Solvik let each functional area make its own decision regarding the application and timing of its move, but all functional areas were required to use common architecture and databases. However, in the following years, the functional area were facing dilemma. Anything Cisco did would just run over the legacy systems. It turned into an effort to constantly band-aid the existing systems. So the systems replacement difficulties of functional areas perpetuated the deterioration of Cisco's legacy environment. System outages became routines. Finally, in January of 1994, Cisco's legacy environment failed. As a result, the company was largely shut down for two days.
Why were no managers eager to take on this project?
Because if Cisco wanted to replace the existing legacy systems, the system in each functional areas had to make change accordingly. Take manufacturing for example, if manufacturing wanted to spend $5 or $6 million dollars to buy a package and by the way it will take a year or more to get it. It was too much to justify. Therefore, none of managers was going to throw out the legacies and do something big. In a word, because implementation a new system would cost a lot of money and take long time to be realized, no one was individually going to go out and buy a package.
Explanation:
