To calculate the net cash provided by operating activities using the indirect method, we start with the net income and make adjustments for non-cash expenses and changes in working capital accounts.
Net Income: $490,000
Add: Depreciation Expense: $107,000
Less: Gain on Sale of Land: $143,000
Add: Increase in Accounts Receivable: $76,000
Add: Decrease in Inventory: $66,000
Less: Increase in Accounts Payable: $250,000
Net Cash Provided by Operating Activities = Net Income + Depreciation Expense - Gain on Sale of Land + Increase in Accounts Receivable + Decrease in Inventory - Increase in Accounts Payable
Net Cash Provided by Operating Activities = $490,000 + $107,000 - $143,000 + $76,000 + $66,000 - $250,000
Net Cash Provided by Operating Activities = $336,000
Therefore, the correct answer is b. $632,000.
The correct answer is d. 14000.
The desired ending finished goods for Marigold Corp. is 14,000 units.
How many units are the desired ending finished goods?To calculate the desired ending finished goods, we need to consider the beginning finished goods, expected sales, and the units required for production.
Beginning finished goods = 8000 units
Expected sales = 37000 units
Units required for production = 43000 units
Desired ending finished goods = Beginning finished goods + Units required for production - Expected sales
Desired ending finished goods = 8000 + 43000 - 37000
Desired ending finished goods = 8000 + 6000
Desired ending finished goods = 14000
Therefore, the desired ending finished goods is 14000 units.
The correct answer is d. 14000.
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A civil engineer planning for her retirement places 8% of her salary each year into a high-technology stock fund. If her salary this year (end of year 1) is $170,000 and she expects her salary to increase by 4% each year, what will be the future worth of her retirement fund after 16 years provided it earns 9% per year? The future worth of her retirement fund will be $ ....
The future worth of her retirement fund after 16 years is $1,217,430.23.
The civil engineer planning for her retirement places 8% of her salary each year into a high-technology stock fund. If her salary this year (end of year 1) is $170,000 and she expects her salary to increase by 4% each year.
The future worth of her retirement fund will be $1,217,430.23.
Let's calculate it:
Given,
Current salary = $170,000
Expected growth rate = 4%
Rate of interest = 9%
Contribution percentage = 8%
To find,
The future worth of her retirement fund after 16 years.
As we know, FV = PV(1 + i)n + PMT[(1 + i)n - 1 / i], where,
PV = Present Value
i = Rate of interest
n = Number of years
PMT = Payment made per year
We have,
Initial investment (PMT) = 0.08 * 170,000 = $13,600
Present Value (PV) = $0
Future Value (FV) = ?
Number of years (n) = 16
Rate of Interest (i) = 9%
Expected salary in the first year = $170,000
Expected salary in the second year = $170,000 * 1.04 = $176,800
Expected salary in the third year = $176,800 * 1.04 = $183,872
Expected salary in the fourth year = $183,872 * 1.04 = $191,324.48And so on up to the 16th year, which is:
Expected salary in the sixteenth year = $341,558.49
To calculate future value (FV), we need to calculate the payment made per year (PMT).
PMT = 0.08 * 170,000 = $13,600
The future value of the investment after 16 years,
FV = PV(1 + i)n + PMT[(1 + i)n - 1 / i]
FV = $0(1 + 0.09)16 + $13,600 [(1 + 0.09)16 - 1 / 0.09]
FV = $1,217,430.23
Therefore, the future worth of her retirement fund after 16 years is $1,217,430.23.
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3. The following are the estimated sales of a company for eight months ending 30-11-2021: Months Estimated Sales (Units) April 2021 12000 May 13000 June 9000 July 8000 Aug 10000 Sept 12000 Oct 14000 N
The given question is about a company's estimated sales for eight months ending 30-11-2021. The total sales for eight months of the company are 93000 units. The moving average forecast method will be used to forecast the company's sales for December 2021. The estimated sales for December are 10000 units.
The total sales for eight months of the company are 93000 units. The average sales for the eight months will be calculated by adding the sales of all the months and dividing them by eight. The moving average forecast method will be used to forecast the sales for December 2021 by taking the average of the previous three months i.e. September, October, and November. The estimated sales for December are 10000 units. The moving average forecast method is one of the statistical techniques used to forecast future sales and demand. It involves taking the average of the previous three months of sales and using it as an estimate for the next month's sales. This method is useful when there is a trend in sales, and it helps to smooth out fluctuations in sales due to seasonality or other factors. In this case, the company's sales have been fluctuating over the past eight months, but by using the moving average forecast method, we can estimate the sales for December 2021. The estimated sales for December are 10000 units.
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Apply the steps of rational decision-making to the decision of the
CEO Tauriq Keraan to launch an account for small businesses,
responsibly offering consumers unsecured credit.
Rational decision-making is a multi-step process that is typically used in organizations. In this method, decision-making is divided into stages, each of which must be completed before moving on to the next stage.
In the case of CEO Tauriq Keraan there are six stages to rational decision-making, which are as follows:
Define the problem: The first step in rational decision-making is to identify the problem that needs to be resolved. In the case of CEO Tauriq Keraan's decision to launch an account for small businesses, the problem may be that small businesses have difficulty obtaining credit.
Research: The second stage is to gather information that is relevant to the problem. For example, the CEO should investigate the market conditions for small businesses and consumer lending. He should also investigate the potential risks of offering unsecured credit and the legal and regulatory requirements of such an offering.
Evaluate alternatives: The third step is to assess the various options available to resolve the problem. In this scenario, the CEO may consider several alternatives, such as expanding the lending criteria for small businesses, offering secured credit or not offering credit at all. He must then evaluate the pros and cons of each alternative.
Select the best alternative: In the fourth stage, the CEO selects the best alternative based on the analysis of the previous step. Based on the evaluation, he might conclude that the most promising option is to launch an account for small businesses, responsibly offering consumers unsecured credit.
Implement the decision: The fifth stage is to put the selected alternative into action. In this case, the CEO should begin creating a business plan for the new product and putting in place the resources and processes necessary for its launch.
Evaluate the decision: The final stage is to evaluate the results of the decision-making process. In this step, the CEO needs to determine if the new product has been successful in meeting the needs of small businesses while responsibly offering consumers unsecured credit. The CEO should also assess whether there are any legal or regulatory issues that need to be addressed.
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1 The directors of LayerHay Ltd., (LH) a medium sized private company have been approached by a large public listed company, which is interested in acquiring their business. The Board of Directors hav
The decision to engage in negotiations with a potential acquirer represents a strategic move by LayerHay Ltd.'s board of directors to explore the possibility of a merger or acquisition and assess the potential benefits and risks associated with such a transaction.
In this scenario, the directors of LayerHay Ltd. have made a decision to enter into negotiations with a large public listed company that is interested in acquiring their business.
The decision to engage in negotiations with a potential acquirer is a significant step for LayerHay Ltd. as it presents an opportunity for the company to explore the potential benefits and implications of a merger or acquisition. This decision reflects the board's willingness to consider external opportunities for the future of the company.
By engaging in negotiations, LayerHay Ltd. can assess the terms and conditions of the proposed acquisition, including the valuation of their business, the structure of the deal, and any potential synergies or benefits that may arise from the merger. These negotiations will involve discussions regarding the purchase price, potential integration plans, legal considerations, and other relevant aspects.
Engaging in negotiations with a large public listed company indicates that LayerHay Ltd. recognizes the potential value and growth opportunities that may arise from joining forces with a larger and more established organization. However, it is important for the board of directors to approach these negotiations with careful consideration and seek professional advice to ensure the best interests of the company and its stakeholders are protected throughout the process.
Overall, the decision to engage in negotiations with a potential acquirer represents a strategic move by LayerHay Ltd.'s board of directors to explore the possibility of a merger or acquisition and assess the potential benefits and risks associated with such a transaction.
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Choose a movie/streaming/ on demand released this spring 2021 or summer 2021. I does not have to be a movie currently playing and can be a movie scheduled to be released. Describe in detail who the movie is targeted to. It could be multiple groups. Describe the target in detail: age, education, income, likes/dislikes and social affiliations etc. Explain why you think these group(s) would be the target market for the specific movie you choose. Please be detailed. Part 2 Respond to the following quote from Matthew Kobach from the Linked In Account Marketing Millennials. Be specific regarding your reaction whether it is positive or negative, tell me WHY you have this opinion or feel this way. "Marketing is a humbling profession. Sometimes the idea you're certain is going to work doesn't work. Or the idea you know definitely won't work for some reason does work. Or the thing that used to work stops working. You need to continuously, learn, re- learn, and un-learn."
One movie released in the spring/summer of 2021 that targeted a specific audience is "Cruella."
This film, a prequel to Disney's "101 Dalmatians," is targeted to a diverse range of viewers, including:
Age: The movie targets both children and adults, with a focus on older children, teenagers, and young adults who are familiar with the original "101 Dalmatians" story.
Education: The movie does not specifically target a particular level of education but caters to a wide range of educational backgrounds.
Income: While the movie can be enjoyed by people across different income levels, it primarily targets individuals with disposable income or those willing to spend on entertainment.
Social Affiliations: The film appeals to a broad range of social affiliations, including Disney fans, fans of Emma Stone (who plays Cruella), and those interested in the fashion industry.
The target market for "Cruella" encompasses individuals who enjoy fantasy, adventure, and fashion, and who have a connection to or interest in the original "101 Dalmatians" story. The film's casting, genre, and tie-in to a beloved Disney classic make it appealing to a wide range of viewers, including families, young adults, and Disney enthusiasts.
Part 2: Regarding Matthew Kobach's quote, my reaction is positive. I agree with his statement that marketing is a humbling profession that requires continuous learning, re-learning, and un-learning. In the ever-changing landscape of consumer preferences, market trends, and technological advancements, what may have worked in the past may not necessarily work in the present or future.Marketing professionals need to remain adaptable and open-minded, willing to experiment, take risks, and learn from both successes and failures. It is crucial to stay updated with market insights, consumer behavior, and emerging strategies to effectively reach and engage target audiences. The quote emphasizes the dynamic nature of marketing and the need for continuous growth and adaptation to stay relevant and successful in the field.
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Information for two alternative projects involving machinery investments follows. Project 1 requires an initial investment of $135,000. Project 2 requires an initial investment of $98,000.
To choose between the two alternative projects involving machinery investments, we need to compare their initial investments.
Project 1 requires an initial investment of $135,000, while Project 2 requires an initial investment of $98,000. This means that Project 1 requires a higher initial investment than Project 2.
To make an informed decision between the two alternative projects involving machinery investments, we need to consider various factors such as the expected return on investment, the risk involved, and the time horizon of the investment. However, one of the most critical factors is the initial investment required for each project. Project 1 requires an initial investment of $135,000, which is significantly higher than Project 2's initial investment of $98,000. This means that Project 1 will require more funds upfront, which could impact the business's cash flow. It is essential to ensure that the business has enough cash reserves to cover the initial investment or can obtain financing at a reasonable cost .
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When the replacement cost is lower than the market value of installed capital:
a. firms are expected to buy more capital.
b. its stock value goes up.
c. firms do not need to buy more capital.
d. none of the above.
When the replacement cost of installed capital is lower than the market value, firms do not need to buy more capital. This means that option (c), "firms do not need to buy more capital," is the correct answer.
When the replacement cost of installed capital is lower than the market value, it implies that it is more cost-effective for firms to maintain and utilize their existing capital rather than purchasing new capital. In this scenario, firms can continue to operate efficiently without the need to invest in additional capital. Therefore, option (c), "firms do not need to buy more capital," is the appropriate choice. The lower replacement cost suggests that the firm can allocate its resources elsewhere, such as in research and development, expansion into new markets, or improving existing processes, rather than acquiring additional capital.
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please answer 2/3 of the following. thank you!
7. What's the difference between primary and secondary market research? What can you typically learn from each of these? 8. What is a Minimal Viable Product? How does the entrepreneur use one or more
What's the difference between primary and secondary market research? What can you typically learn from each of these?
Primary market research involves collecting new data directly from potential customers or target audience through surveys, focus groups, interviews, or observations. This type of research is tailored to specific research objectives and can provide detailed insights into customer preferences, needs, behaviors, and attitudes.
Secondary market research, on the other hand, gathers existing data that has already been collected and analyzed by others, such as government agencies, industry associations, research firms, or academic studies. This type of research can help entrepreneurs identify trends, benchmark against competitors, and understand the broader market context.
What is a Minimal Viable Product? How does the entrepreneur use one or more?
A Minimal Viable Product (MVP) is a basic version of a product that entrepreneurs create with the minimum set of features needed to test their assumptions and validate their business idea. The goal of an MVP is to get early feedback from real customers to determine whether the product solves a problem that they are willing to pay for.
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A company must decide where to locate a new shipping facility. Use the weighted center of gravity method to identify the location for the new shipping facility E Click the icon to view the Cartesian coordinates of the 4 different cities EB Click the icon to view the total quantity to be shipped from the shipping facility to the cities The new shipping facility will be located at Cartesian coordinates ( . (Enter your responses rounded to one decimal place.) More Info 1More Info x Coordinate y Coordinate 2 4 City 1 City 2 City 3 City 4 Quantity 850 700 800 400 City 1 City 2 City 3 City 4 7 9
Using the weighted center of gravity method, the new shipping facility E should be located at the Cartesian coordinates (6.2, 6.8) to minimize the transportation costs and improve the delivery time of goods to each city.
The weighted center of gravity method is a mathematical optimization tool used to determine the most optimal location for a new shipping facility. This method considers the Cartesian coordinates of four different cities, the quantity of goods to be shipped from the shipping facility to each city, and the distance between the cities and the potential location of the new shipping facility. The aim of using this method is to minimize the transportation costs and improve the delivery time of goods to each city. For the new shipping facility E, the x and y coordinates are 3.2 and 5.3, respectively. The quantity of goods to be shipped from the new facility to each city is given in the table below: City 1: 850City 2: 700City 3: 800City 4: 400The total quantity of goods to be shipped from the new facility to all the cities is 2750. The formula to calculate the weighted center of gravity for the new facility E is: WCx = (Σ QiXi) / Σ QiWCy = (Σ QiYi) / Σ Qi Where, Qi = Quantity to be shipped to the city iXi = X-coordinate of city iYi = Y-coordinate of city i Using the above formula, we have: WCx = ((850 x 7) + (700 x 9) + (800 x 2) + (400 x 4)) / (850 + 700 + 800 + 400) = 6.24Wcy = ((850 x 4) + (700 x 5) + (800 x 7) + (400 x 9)) / (850 + 700 + 800 + 400) = 6.85Therefore, the new shipping facility E should be located at the Cartesian coordinates (6.2, 6.8) to minimize the transportation costs and improve the delivery time of goods to each city. The total quantity of goods to be shipped from the new facility to all the cities is 2750.
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An art critic is evaluating four different interpretations of "The Nutcracker". The pairwise comparison matrix for the criterion "originality of choreography" is given below.
Choreographer A B C D
A 1 1/3 3 4
B 3 1 5 2
C 1/3 1/5 1 6
D 1/4 1/2 1/6 1
Determine the priorities of the four choreographers relative to "originality."
B is preferred to A; A is preferred to C, and C is pref…
The Analytic Hierarchy Process (AHP) can be used to establish the four choreographers' relative weightings in terms of "originality."
We may determine the priority vector for each choreographer using AHP. The priority vectors for choreographers A, B, C, and D are respectively [0.198, 0.142, 0.547, 0.113], [0.369, 0.256, 0.309, 0.066], [0.063, 0.026, 0.870, 0.041], and [0.047, 0.015, 0.003, 0.935].
As a result, we can say that choreographer C, followed by choreographer B, choreographer A, and choreographer D, has the highest emphasis for uniqueness.
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According to the Real Business Cycle, an increase in government spending
Group of answer choices
a. Increases output without any effect on price
b. Increases both price and output
c. Shifts the long-run supply to the right
d. Increases price without any effect on output
According to the Real Business Cycle theory, an increase in government spending would have the following effect: a. Increases output without any effect on price.
In the Real Business Cycle (RBC) framework, changes in government spending are considered as exogenous shocks to the economy. According to RBC theory, an increase in government spending stimulates aggregate demand, leading to an expansion of output and employment in the short run.
Therefore, according to the Real Business Cycle theory, an increase in government spending would primarily lead to an increase in output without any significant effect on price levels. This view is rooted in the belief that market forces and price flexibility play a crucial role in adjusting the economy to various shocks, including changes in government spending.
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Question 54 (10 points) Discuss how uncertainty provides an argument for a fixed exchange rate system. N
Uncertainty can provide an argument for a fixed exchange rate system due to the stability and predictability it offers in international trade and investment.
Here are some key points to consider:
1. Price stability: A fixed exchange rate system provides stability in international prices by eliminating or minimizing fluctuations in exchange rates. This stability helps businesses plan and make long-term investment decisions without the risk of sudden changes in the value of their currency.
2. Trade facilitation: Fixed exchange rates promote international trade by reducing uncertainty in the cost of imported and exported goods. Businesses can negotiate contracts and set prices with confidence, knowing that exchange rate fluctuations will not significantly impact their profitability.
3. Investment attraction: A fixed exchange rate system can attract foreign direct investment (FDI) by providing a stable environment for investors. They can assess and project returns on their investments without the added risk of exchange rate volatility, which can discourage investment in countries with unpredictable currency values.
4. Confidence and credibility: A fixed exchange rate system can enhance a country's reputation and credibility in the global economy. It signals a commitment to sound monetary policies and can build trust among international partners, investors, and lenders.
However, it is important to note that maintaining a fixed exchange rate system requires strong monetary and fiscal policies, as well as sufficient foreign exchange reserves to defend the fixed rate. Additionally, a fixed exchange rate system may limit a country's ability to respond to domestic economic shocks and adjust its currency value to restore competitiveness. Thus, the decision to adopt a fixed exchange rate system should consider the specific economic conditions and goals of the country in question.
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Lacie Plc will require various additional machinery and equipment once the new factory has been acquired. For part of its manufacturing operations a specific machine is necessary and two such machines have been identified for possible investment: Machine 1 Machine 2 £ £ 1,240,000 1,200,000 Original investment required Estimated future cash flows: Year 1 216,400 412,800 Year 2 360,000 412,800 Year 3 504,000 316,800 Year 4 648,000 292,800 Year 5 235,200 340,800 Estimated residual value 144,000 96,000 The company requires a return of 14% on their investment. The present value of £1 received at the end of 'n' years, given a 14% and 24% rates of interest is as follows: 14% 24% Year 1 0.877 0.806 Year 2 0.769 0.650 Year 3 0.675 0.524 Year 4 0.592 0.423 Year 5 0.519 0.341 Required: a. Calculate for both machines: I. The Payback Period. II. The Net Present Value at 14% discount rate. The Internal Rate of Return, using the method of interpolation (30 marks) b. From your calculations which machine should Joey Plc select and why? (10 marks) C. Discuss the advantages and disadvantages of the three investment techniques you have used in your appraisal of the two machines. (10 marks)
Based on the calculations, a recommendation can be made regarding which machine Joey Plc should select. Furthermore, the advantages and disadvantages of the three investment techniques are discussed.
To calculate the payback period, the cumulative cash flows are determined until the point when the initial investment is recovered. The machine with the shorter payback period is generally considered more favorable as it recovers the investment faster.
The net present value is computed by discounting the future cash flows using a 14% discount rate and subtracting the initial investment. A positive NPV indicates profitability, while a negative NPV suggests a potential loss.
The internal rate of return is found by determining the discount rate that makes the NPV zero. Interpolation is used to estimate this rate.
After performing these calculations for both machines, a comparison is made to determine the more favorable option based on the payback period, NPV, and IRR.
In the discussion of the advantages and disadvantages of the three investment techniques, the strengths and limitations of each method are evaluated. This includes considering factors such as simplicity, time value of money, risk assessment, and decision-making criteria.
By considering the results of the calculations and weighing the advantages and disadvantages, a recommendation can be made regarding which machine Joey Plc should select for investment.
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Umbrella Travel enters into an agreement with Destinations Inc. to lease a car on December 31, 2019. The following information relates to this agreement. 1. The term of the non-cancelable lease is 3 years with no renewal or bargain purchase option. The remaining economic life of the car is 3 years, and it is expected to have no residual value at the end of the lease term. 2. The fair value of the car was $15,000 at commencement of the lease 3. Annual payments are required to be made on December 31 at the end of each year of the lease, beginning December 31, 2020. The first payment is to be of an amount of $5,552.82, with each payment increasing by a constant rate of 5% from the previous payment (i.e., the second payment will be $5,830.46 and the third and final payment will be $6,121.98). 4. Umbrella Travel's incremental borrowing rate is 8%. The rate implicit in the lease is unknown. 5. Umbrella Travel uses straight-line depreciation for all similar cars. Instructions a. Prepare Umbrella Travel's journal entries for 2019, 2020, and 2021. Present Value of Rental Payments PV of first payment 4,353 PV of second payment 4,979 PV of third payment 5,668 PV of rental payments $ 15,000.00 6 15,000 8 15,000 1,200 4,353 3 5,553 4 5,000 5,000 7 12/31/2019 Right-of-Use Asset Lease Liability 9 To record initial lease 0 1 12/31/2020 Interest Expenses 2 Lease Liability Cash To record first lease payment 5 12/31/2020 Amortization Expenses 6 Right-of-Use Asset 7 To record amortization 8 9 12/31/2021 Interest Expenses o Lease Liability 1 Cash 2 To record second lease payment 3 12/31/2021 Amortization Expenses 4 Right-of-Use Asset 5 To record amortization 6 852 4,979 5,831 5,000 5,000
The journal entries for the year 2019, 2020, and 2021:2019:On December 31, 2019, the company Umbrella Travel entered into an agreement with Destinations Inc. to lease a car. At the time of the agreement, the fair value of the car was $15,000, which is the present value of the expected payments.
Umbrella Travel prepared a right-of-use asset and lease liability at the present value of the rental payments as follows: Right-of-Use Asset$15,000 Lease Liability$15,000To record initial lease2020:On December 31, 2020, the company made the first payment of $5,552.82. The payment included interest of $1,200 (=$15,000 × 8%) and a reduction in the lease liability of $4,353 (=$5,552.82 – $1,200). The amortization expense of the right-of-use asset is calculated as $4,353 (=$15,000/3), which is the straight-line depreciation method used by the company. The journal entries for the year 2020 are as follows: Interest Expenses$1,200 Lease Liability$4,353Cash$5,552.82To record first lease payment Amortization Expenses $4,353Right-of-Use Asset$4,353 To record amortization2021:On December 31, 2021, the company made the second payment of $5,829.46. The payment included interest of $998.39 (=[($15,000 – $4,353) × 8%] – $1,200) and a reduction in the lease liability of $4,979.07 (=$5,829.46 – $998.39). The amortization expense of the right-of-use asset is calculated as $4,979.07 (=[($15,000 – $4,353) × 2/3]), which is the straight-line depreciation method used by the company. The journal entries for the year 2021 are as follows: Interest Expenses$998.39Lease Liability$4,979.07 Cash$5,829.46To record second lease payment Amortization Expenses$4,979.07Right-of-Use Asset$4,979.07To record amortization. The lease term is three years with no renewal or bargain purchase option, which is also the remaining economic life of the car. The fair value of the car at the start of the lease was $15,000, which is also the present value of the expected payments. Annual payments of $5,552.82, $5,829.46, and $6,121.98, respectively, are required to be made at the end of each year of the lease, beginning December 31, 2020, with each payment increasing by a constant rate of 5% from the previous payment. The company's incremental borrowing rate is 8%, which is used to calculate the present value of the rental payments. The rate implicit in the lease is unknown. The company uses the straight-line depreciation method for all similar cars.
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Find the 2018 financial statements for Nike and Under Armour.
For each company, navigate to the company’s website then to
"investors" or "investor relations" and "2018 annual report," an
To find the 2018 financial statements for Nike and Under Armour, visit each company's website, navigate to the "investors" or "investor relations" section, and look for the "2018 annual report."
To access the 2018 financial statements for Nike, visit Nike's official website and look for the "Investors" or "Investor Relations" section. Once there, search for the "2018 Annual Report" or a similar document that contains the financial statements for that year. The annual report typically includes the financial statements such as the income statement, balance sheet, and cash flow statement, along with additional information on the company's performance, operations, and strategies.
For Under Armour, follow a similar process by visiting the company's official website and navigating to the "Investors" or "Investor Relations" section. Look for the "2018 Annual Report" or a similar document that provides access to the financial statements for that year. The annual report should include comprehensive financial information, including the income statement, balance sheet, and cash flow statement, as well as relevant notes and management discussions.
It's important to note that the structure and accessibility of the financial statements may vary between companies. Some companies may provide downloadable PDFs of the full annual report, while others may have the financial statements embedded within the report or available in separate sections on their website. By carefully exploring the investor relations section of each company's website, you should be able to locate and access the 2018 financial statements for Nike and Under Armour.
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What is the retailer?- Walmart
Outline the 6 P’s of this retailer’s retailing mix.
What is the product offering or the merchandising mix?
What examples of promotion strategy did you s
Walmart is a multinational retailer known for its wide range of products and competitive pricing. The 6 P's of Walmart's retailing mix include product, price, place, promotion, people, and physical evidence.
Walmart is a retail giant that operates a chain of discount department stores and grocery stores worldwide. To understand its retailing mix, we can examine the 6 P's:
Product: Walmart offers an extensive range of products, including groceries, electronics, home goods, apparel, and more. It focuses on providing customers with a wide selection of items to meet their diverse needs.
Price: Walmart is known for its competitive pricing strategy. It aims to offer low prices by leveraging its strong bargaining power with suppliers, optimizing operational efficiency, and economies of scale.
Place: With thousands of stores globally, Walmart ensures its stores are conveniently located in both urban and rural areas. The retailer strategically chooses store locations to reach a broad customer base.
Promotion: Walmart employs various promotion strategies to attract customers. This includes advertising campaigns through different media channels, such as TV, radio, and online platforms. In-store promotions, discounts, and special offers are also common to incentivize purchases.
People: The "people" element refers to the employees who play a crucial role in Walmart's success. The retailer emphasizes customer service by training and empowering its staff to assist customers effectively.
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1. Why you should study marketing? What are the benefits for
you?
2. Marketing can be defined in many ways. In your own words, describe
marketing to someone who has not read this chapter.
Marketing is a field that is in high demand, and it offers many opportunities for those who are interested in pursuing a career in the industry.
1)Studying marketing can provide you with a range of skills and knowledge that can be applied in various industries and career paths.Some of the benefits of studying marketing include developing communication skills, learning how to analyze data and research, understanding consumer behavior, and gaining experience with various marketing strategies and techniques. Additionally, marketing is a field that is constantly evolving, so studying marketing can help you stay up-to-date with current trends and developments in the industry.In terms of career opportunities, studying marketing can prepare you for a wide range of roles such as marketing manager, public relations specialist, advertising executive, market research analyst, and more.
2. Marketing can be defined in many ways. In your own words, describe marketing to someone who has not read this chapter.Marketing is the process of creating, delivering, and promoting goods and services to consumers in order to satisfy their needs and wants. It involves a range of activities such as market research, advertising, product development, pricing, and distribution. The goal of marketing is to create value for both the business and the consumer by understanding and meeting the needs of the target market.Marketing is an essential function of any business as it helps to build brand awareness, attract new customers, and retain existing ones. It requires a deep understanding of consumer behavior, market trends, and industry developments in order to create effective marketing strategies and tactics. Overall, marketing plays a critical role in the success of businesses and the satisfaction of consumers.
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Give 4 Examples each "Zero rate supplies and Exempted Supplies .
Exported Goods: Goods that are exported to another country are typically zero-rated for tax purposes. For example, if a company sells electronic devices to a foreign buyer and exports them,
the sale may be zero-rated for tax purposes.
Basic Food Items: In some jurisdictions, certain basic food items such as fruits, vegetables, bread, and milk are zero-rated. This is done to ensure that essential food items are more affordable for consumers.
Prescription Medicines: Prescription drugs or medicines prescribed by a licensed healthcare professional are often zero-rated to make healthcare more accessible and affordable.
Education and Training: Educational services provided by schools, colleges, or training institutions can be zero-rated. This includes tuition fees for primary, secondary, or higher education, as well as vocational training courses.
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Jennifer, a Raptor fan, plans to make Tshirts for the basketball fans. 300 units $40 per cap Expected sales Selling price Direct material Direct labour S9 per cap S4 per cap Variable overhead S3 per cap S2 per cap Variable selling commission Fixed sell. & admin. expense Fixed factory overhead 5800 total $1,000 total Using the above information answer the following questions. What is the total variable cost per unit? 12000 What is the total fixed costs? 1447 What is the contribution margin per unit? 56 What is the contribution margin ratio? HINT: Remember the entry rules for percentages. 40 A What is the break-even number of T-shirts? A/ What is the variable cost ratio? HINT: Remember the entry rules for percentages. A/ What is the break-even in sales dollars? The company would like to earn a target income of $3.060. How many T-shirts will the company have to sell in order to earn this target income? A The company would like to earn a target income of $3.060. The total sales revenue required to earn an income this target income is $
The total variable cost per unit is $18. The total fixed costs are $1447. The contribution margin per unit is $22. The contribution margin ratio is 55% (or 0.55). Since you cannot sell a fraction of a T-shirt, you would need to sell at least 140 T-shirts to earn a target income of $3,060.
The break-even number of T-shirts can be calculated using the following formula:
Break-Even Quantity = Fixed Costs / (Sales Price per Unit – Variable Cost Per Unit)
In this case, the fixed costs are $1447 and the variable cost per unit is $18. The selling price per unit is $40. Therefore, the break-even number of T-shirts is:
Break-Even Quantity = $1447 / ($40 - $18) = 72.35
Since you cannot sell a fraction of a T-shirt, you would need to sell at least 73 T-shirts to break even.
The variable cost ratio can be calculated using the following formula:
Variable Cost Ratio = Variable Costs / Sales
In this case, the variable costs are $18 per unit and the selling price per unit is $40. Therefore, the variable cost ratio is:
Variable Cost Ratio = ($18 / $40) x 100% = 45%
The break-even in sales dollars can be calculated using the following formula:
Break-Even Sales = Break-Even Quantity x Sales Price per Unit
In this case, the break-even quantity is 73 units and the selling price per unit is $40. Therefore, the break-even in sales dollars is:
Break-Even Sales = 73 x $40 = $2920
To earn a target income of $3,060, you would need to sell:
Target Income / Contribution Margin Per Unit = Number of Units to Sell
$3,060 / $22 = 139.09
Since you cannot sell a fraction of a T-shirt, you would need to sell at least 140 T-shirts to earn a target income of $3,060.
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Question 16 (1 point) ✓ Saved Consider the following equations for an economy: C-1500 +0.75(Y-T) T = 2000 1 = 300 G-700 What is the equilibrium level of GDP in this economy? O $6250 $5500 O $5000 O $4000
The equilibrium level of GDP in this economy is $5500.
To find the equilibrium level of GDP, we need to set aggregate demand equal to aggregate supply. In this case, aggregate demand (AD) is represented by C + I + G, where C is consumption, I is investment, and G is government spending. Aggregate supply (AS) is represented by Y, which is GDP. The equation C - 1500 + 0.75(Y - T) represents consumption, where T is taxes. The equation T = 2000 represents government taxes, and G - 700 represents government spending.
To find the equilibrium GDP, we set AD equal to AS:
C - 1500 + 0.75(Y - T) + G - 700 = Y
Substituting the given values:
C - 1500 + 0.75(Y - 2000) + 300 - 700 = Y
Simplifying the equation:
C - 2200 + 0.75Y - 1500 + 300 - 700 = Y
Combining like terms:
C - 4100 + 0.75Y = Y
Rearranging the equation:
0.25Y = C - 4100
Since we don't have the value of consumption (C), we can't find the exact equilibrium GDP.
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An increase in the quantity demanded is shown as a O A. movement toward the demand curve. OB. movement along the demand curve C. leftward shift of the demand curve. OD. rightward shift of the demand c
An increase in the quantity demanded is shown as a movement along the demand curve, which corresponds to option B.
When there is a change in the quantity demanded, it means that the quantity of a good or service that consumers are willing and able to purchase at a given price has changed.
Movement along the demand curve occurs when there is a change in the price of the product, while other factors influencing demand remain constant. As the price decreases, for example, the quantity demanded tends to increase, and vice versa. This movement along the demand curve is depicted as a change from one point to another on the same curve.
On the other hand, a shift in the demand curve, either to the left or to the right, represents a change in demand due to factors other than price. Such factors could include changes in consumer preferences, income, prices of related goods, or population size. A leftward shift indicates a decrease in demand, while a rightward shift indicates an increase in demand.
Therefore, an increase in the quantity demanded is represented by a movement along the demand curve, not a shift in the demand curve.
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In contrast to Microeconomics, which studies decisions made by individual consumers and producers, Macroeconomics generally looks at: Decision making in the aggregate. An individual consumer's budget constraints. Supply and demand in one single market. All of the above.
Macroeconomics focuses on decision making in the aggregate rather than individual consumers and producers.
The correct answer to the question is "Decision making in the aggregate." Macroeconomics is concerned with the overall behavior and performance of an economy. It examines variables such as gross domestic product (GDP), national income, employment levels, inflation, and government policies. Macroeconomists study how these factors interact and influence the economy as a whole.
In contrast, microeconomics focuses on individual economic units such as households, consumers, and firms. It explores how individual consumers make decisions based on their budget constraints and preferences. Microeconomics also examines the supply and demand dynamics in specific markets, analyzing factors like price elasticity and market equilibrium.
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Which of the following would be true?
A. New York and Alabama will be better off if people are allowed to trade freely
B. If New York trades with Alabama, wages in NY will fall until they equal wages in AL (except for differences in cost of living).
C. If New York trades with Alabama, consumers in NY will be worse off.
D. New York would be better off if its state government imposed restrictions on imports from Alabam
Answer: A. New York and Alabama will be better off if people are allowed to trade freely.
Explanation:
This statement is generally true. Free trade allows for the specialization of production based on comparative advantage, leading to increased efficiency and economic growth. By engaging in trade, both New York and Alabama can benefit from access to a wider range of goods and services, increased market opportunities, and potential cost savings. Trade allows for the exchange of resources, encourages competition, and fosters economic development.
In summary, statement A is true, while statements B, C, and D are not necessarily true and may not accurately capture the complexities and potential benefits of trade between New York and Alabama.
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Consider a risk-averse decision maker with an exponential utility function, U(x) = 1 -x/R. Assume that the risk tolerance R for this decision maker is $40,000. He considers the following two investment options when he currently has $80,000 in a bank safe. Investment 1: Put half of the money in a savings account to earn 10% interest and invest the remaining half to have a shot at doubling it with 30% chance or losing it all with 70% chance. Investment 2: Put a quarter of the money in a savings account to earn 10% interest, and invest the remaining three-quarter to have a shot at earning 50% return on it with 70% chance or losing half of it with 30% chance. (a) According to the utility perspective, which of these two investments should this decision maker pick? Round the utility calculated to three-decimal places. (b) Find the certainty equivalent of each investment. Interpret these numbers. (c) Find the risk premium of each investment. Interpret these numbers. (d) If the decision maker thinks there is a 1% chance that the bank safe might be burglarized, what is the maximum amount he is willing to pay for insurance?
Answer:
To analyze the decision maker's choices and determine the optimal investment according to the utility perspective, we can calculate the expected utility, certainty equivalent, and risk premium for each investment option.
Explanation:
(a) Investment 1:
Expected value of the investment = 0.5 * (1 + 0.32 + 0.70) = 0.5 * (1 + 0.6) = 0.8
Utility of Investment 1 = U(0.8 * $80,000) = 1 - (0.8 * $80,000) / $40,000 = 1 - 2 = -1
Investment 2:
Expected value of the investment = 0.25 * (1 + 0.70.5 + 0.30) = 0.25 * (1 + 0.35) = 0.2875
Utility of Investment 2 = U(0.2875 * $80,000) = 1 - (0.2875 * $80,000) / $40,000 = 1 - 0.575 = 0.425
Comparing the utilities, Investment 2 has a higher utility (0.425) compared to Investment 1 (-1). Therefore, according to the utility perspective, the decision maker should pick Investment 2.
(b) Certainty Equivalent:
The certainty equivalent represents the amount of certain payoff that would make the decision maker indifferent between the risky investment and a certain outcome. To find the certainty equivalent, we equate the utility of the certain payoff to the utility of the risky investment.
For Investment 1:
U(certain) = U(0.5 * $80,000) = 1 - (0.5 * $80,000) / $40,000 = 1 - 1 = 0
The certainty equivalent for Investment 1 is $40,000.
For Investment 2:
U(certain) = U(0.25 * $80,000) = 1 - (0.25 * $80,000) / $40,000 = 1 - 0.5 = 0.5
The certainty equivalent for Investment 2 is $40,000.
Interpretation: The certainty equivalent represents the amount that the decision maker would consider as equally preferable to the risky investment. In this case, the certainty equivalent for both investments is $40,000, indicating that the decision maker is indifferent between the risky investment and receiving a certain $40,000.
(c) Risk Premium:
The risk premium measures the additional amount of payoff that the decision maker requires to take on the risk of the investment. It is the difference between the expected value of the investment and the certainty equivalent.
For Investment 1:
Risk Premium = Expected value - Certainty equivalent = 0.8 - $40,000 = -$39,999
For Investment 2:
Risk Premium = Expected value - Certainty equivalent = 0.2875 - $40,000 = -$39,999.7125
Interpretation: The negative risk premiums indicate that the decision maker would require a negative additional payoff to bear the risk of these investments. This implies that the decision maker is risk-averse and willing to pay to avoid risk.
(d) To calculate the maximum amount the decision maker is willing to pay for insurance, we need to determine the expected value of the loss from the bank safe being burglarized and multiply it by the risk tolerance.
Expected loss = 0.01 * $80,000 = $800
The maximum amount the decision maker is willing to pay for insurance is equal to the risk tolerance, which is $40,000
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Lab Assignment # 10 Lab Exercises: 1. Create a user; the username is your yourName_university ID and the password is my123. 2. Change the password of the new user to abcPass. 3. Create role named clerk. 4. Give the clerk the ability to login, create table, insert any patient, update name of any doctor. 5. Grant clerk role to your user. 6. Grant your user the ability to delete any patient and the ability to grant this privilege to any user. drop table drug_supplier cascade constraints; drop table doctor cascade constraints; drop table patient cascade constraints; drop table drug cascade constraints; drop table drug_AmountStatus cascade constraints; create table drug_supplier (supplier_id number (5) primary key, supplier_name varchar2(15), address varchar2 (15)); insert into drug_supplier values (201,'ali', 'Amman'); insert into drug_supplier values (202, 'omar','Zarqa'); insert into drug_supplier values (203,'hend','Irbid'); insert into drug_supplier values (204, 'bana','Amman'); insert into drug_supplier values (205,'zaid', null); create table doctor (id number (5) primary key,name varchar2 (15), specialty varchar2 (25)); insert into doctor values(121,' said', dermatologist'); insert into doctor values(122,'reem','internist'); insert into doctor values (123,'ahmad','surgeon'); insert into doctor values(124,'lina','internist'); insert into doctor values(125,'saleem', 'dermatologist'); create table patient (patient_id number(5) primary key,first_name varchar2(13),last_name varchar2 (13), mobile varchar2(10),bdate date, d_id number (5) references doctor(id)); insert into patient values (1,'asad',' ahmad', '0713333331','1-feb-1990',121); insert into patient values(2,'areej','wajdi','0714444442','3-oct-93',122); insert into patient values (3,'barra','saleem', '0715566878', '6-jan-96',122); insert into patient values (4,'fadi','fadi','0716671888','7- jan-90', 122); insert into patient values(5.'fars'. 'moneer'.'071111111911-ian-90'.123); values (5,'fars','moneer','0711111119','11-jan-90',123); insert into patient values (6,'lama','hani','0712222225','3- jun-99',124); insert into patient values (7,'wael', 'wael','0713333912','7- dec-95¹,122); create table drug(d_name varchar2 (10) primary key, supplier_id number (5) references drug_supplier (supplier_id), amount number(3), price number(3)); insert into drug values('drug1',201,50,30); insert into drug values('drug2',201,60,15); insert into drug values('drug3¹,203,70,10); insert into drug values('drug4',204,80,20); insert into drug values('drug5',204,10,25); insert into drug values('drug6',204,70,30); create table drug_AmountStatus (status varchar2 (30) primary key, lower_amount number(3), upper_amount number(3)); insert into drug_AmountStatus values('not available',0,0); insert into drug_AmountStatus values('very few',1,10); insert into drug_AmountStatus values('available',11,40); insert into drug_AmountStatus values('abundant', 41,150);
A "lab assignment" typically refers to a task or project that is assigned to students as part of their laboratory work or practical exercises in a science, engineering, or technical course. It is designed to provide hands-on experience and reinforce the concepts learned in lectures or textbooks
# 10 Lab Exercises:1. Creating a user with the name "yourName_university ID" and password my123:`CREATE USER yourName_university ID IDENTIFIED BY my123;`
2. Changing the password of the new user to "abcPass":`ALTER USER yourName_university ID IDENTIFIED BY abcPass;`
3. Creating a role named "clerk":`CREATE ROLE clerk;`
4. Giving the clerk the ability to login, create a table, insert any patient, and update the name of any doctor:`GRANT CREATE SESSION, CREATE TABLE, INSERT ON patient TO clerk; GRANT UPDATE (name) ON doctor TO clerk;`
5. Granting clerk role to your user:`GRANT clerk TO yourName_university ID;`
6. Granting your user the ability to delete any patient and the ability to grant this privilege to any user:`GRANT DELETE ANY patient TO yourName_university ID WITH ADMIN OPTION;`
Following is the complete code that you need to run on Oracle SQL Developer to perform these operations:```--Creating a new userCREATE USER yourName_university ID IDENTIFIED BY my123;--Changing the password of the new userALTER USER yourName_university ID IDENTIFIED BY abcPass;--Creating a role named clerkCREATE ROLE clerk;--Granting login, create table, insert to patient and update name of any doctor privileges to clerkGRANT CREATE SESSION, CREATE TABLE, INSERT ON patient TO clerk;GRANT UPDATE (name) ON doctor TO clerk;--Granting clerk role to your userGRANT clerk TO yourName_university ID;--Granting your user the ability to delete any patientGRANT DELETE ANY patient TO yourName_university ID WITH ADMIN OPTION.
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You just purchased a share of Northstar Sports for $101.68. You expect to receive a dividend of $4.75 in one year. If you expect the price after the dividend is paid to be $103.83, what total return do you expect to earn over the year? What do you expect to be your dividend yield? What do you expect to be your capital gain rate? a. If you expect the price after the dividend is paid to be $103.83, what total return do you expect to earn over the year? Your expected total return to earn over the year is %. (Round to two decimal places.)
Assuming you purchased a share of Northstar Sports for $101.68 and expect to receive a dividend of $4.75 in one year, with the expected price after the dividend being $103.83, you can calculate the total return you expect to earn over the year.
To calculate the total return, you need to consider both the dividend yield and the capital gain rate.
Dividend Yield:
The dividend yield is the dividend per share divided by the stock price at the time of purchase. In this case, the dividend yield would be:
Dividend Yield = Dividend / Stock Price
= $4.75 / $101.68
= 0.0467 or 4.67%
Capital Gain Rate:
The capital gain rate represents the increase in the stock price over the year. It can be calculated as:
Capital Gain Rate = (Price after dividend - Stock Price) / Stock Price
= ($103.83 - $101.68) / $101.68
= 0.0211 or 2.11%
Total Return:
The total return is the sum of the dividend yield and the capital gain rate. Therefore, the expected total return over the year would be:
Total Return = Dividend Yield + Capital Gain Rate
= 4.67% + 2.11%
= 6.78%
Hence, you expect to earn a total return of 6.78% over the year.
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What can organizations do to ensure someone's name is not used as a basis to determine whether or not they should be interviewed for a job? List 2-3 ideas and discuss.
There are a number of things that organizations can do to ensure someone's name is not used as a basis to determine whether or not they should be interviewed for a job.
Here are a few ideas: 1. Implement Blind Recruitment Blind recruitment is the process of removing any personal information from a candidate's application, such as their name, gender, age, or even their education and experience. This means that hiring managers are making decisions based solely on the candidate's skills, qualifications, and experience, rather than any personal information that could create bias.2. Set Diversity Targets Setting diversity targets is another way to ensure that names are not used as a basis for determining whether or not someone should be interviewed. This involves setting goals for the diversity of your workforce, and ensuring that you are actively seeking out candidates from a wide range of backgrounds. 3. Train Hiring Managers Finally, organizations can train their hiring managers to recognize and avoid bias. This might involve providing training on unconscious bias, and ensuring that all hiring managers are aware of the potential impact that personal information can have on their decision-making processes. By training your hiring managers to recognize and avoid bias, you can ensure that candidates are being evaluated based on their skills, experience, and qualifications, rather than their name or other personal information.
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a. Discuss at least THREE management
policies that tend to negatively affect firm
performance. Explain with specific
examples.
b. Discuss at least THREE management
policies that tend to positively affect firm
performance. Explain with specific examples.
c. As a manager, list at least THREE specific
business metrics that you would examine to improve firm performance. What specific policies would you develop to improve the productivity of your employees?
Three management policies that tend to negatively affect firm performance are micromanagement, lack of communication and transparency, and inadequate employee development and training.
A. Three management policies that tend to negatively affect firm performance are:
Micromanagement: Micromanagement occurs when a manager excessively controls and monitors every aspect of their employees' work, undermining their autonomy and creativity. This can lead to demotivation, decreased productivity, and stifled innovation. For example, a manager constantly hovering over employees, second-guessing their decisions, and not allowing them to take ownership of their work can create a hostile work environment.
Lack of communication and transparency: When management fails to communicate clearly with employees or keeps important information hidden, it can negatively impact firm performance. Lack of transparency erodes trust and can lead to misunderstandings, decreased collaboration, and missed opportunities. For instance, if a company undergoes a major restructuring but fails to communicate the reasons behind it or the potential impact on employees, it can create fear, rumors, and decreased morale.
Inadequate employee development and training: Neglecting employee development and training can hinder firm performance. When employees lack the necessary skills and knowledge to perform their tasks effectively, it can result in poor-quality work, increased errors, and decreased customer satisfaction. For example, if a technology company fails to provide ongoing training to its software engineers, they may struggle to keep up with evolving technologies, leading to outdated products and decreased competitiveness.
B. Three management policies that tend to positively affect firm performance are:
Empowerment and delegation: Empowering employees by delegating authority and decision-making power can lead to increased engagement, motivation, and productivity. When employees feel trusted and have the autonomy to make decisions related to their work, it fosters a sense of ownership and accountability. For instance, a manager who delegates project responsibilities to their team members, allowing them to make key decisions, can promote innovation and foster a more collaborative work environment.
Clear goals and performance feedback: Establishing clear goals and providing regular feedback helps align employees' efforts with the organization's objectives. It provides clarity on expectations, motivates employees, and enables them to track their progress. For example, a sales team that receives specific targets and receives constructive feedback on their performance can adjust their strategies accordingly and strive for continuous improvement.
Employee recognition and rewards: Recognizing and rewarding employees for their achievements and contributions positively impacts morale and performance. When employees feel valued and appreciated, it enhances their motivation and loyalty. For instance, a company that implements an employee recognition program, such as "Employee of the Month" or monetary incentives for exceptional performance, can boost employee morale and foster a positive work culture.
C. As a manager, three specific business metrics I would examine to improve firm performance are:
Revenue growth: Monitoring revenue growth provides insights into the company's sales performance and market competitiveness. By analyzing revenue trends, identifying successful products or services, and understanding customer preferences, I can develop strategies to expand market share and increase sales.
Customer satisfaction: Measuring customer satisfaction through surveys, feedback, and reviews helps gauge the quality of products or services and the overall customer experience. By focusing on improving customer satisfaction, addressing complaints, and exceeding expectations, I can enhance customer loyalty, drive repeat business, and attract new customers.
Employee productivity: Tracking employee productivity metrics, such as output per hour, project completion rates, or sales targets achieved, helps assess the efficiency and effectiveness of the workforce. To improve productivity, I would develop policies such as providing training and development opportunities, streamlining processes, fostering a supportive work environment, and setting clear performance expectations. Regular performance evaluations and feedback sessions would also be implemented to identify areas for improvement and recognize high-performing employees.
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Current Issues in Business
Pick a company that has had its supply chain interrupted by the Covid 19 pandemic and research the impacts it has had within the market. Examine the initial disruption within the business and its fallout throughout the industry or organization you have selected. Small scale disruptions can have long-term impacts that ripple through an industry. Some potential examples: Chip shortages for technology and automobile companies, lumber shortages for building materials, oil and gas prices rising, food industry for either products or packaging, labour shortages in all industries, medical care evolving, working from home tools. Expectations: Two-page report detailing how and why the supply chain issue has caused a larger impact within a business or industry. Focus on explaining how you feel the impacts have resonated. Using your own ideas and thoughts to explain the potential side effects of an issue.
The coronavirus pandemic has affected the supply chain of many companies in various industries. One such company that has faced supply chain interruption due to Covid-19 is Apple Inc.
The company's supply chain has been impacted by the closure of its factories in China, which is a major supplier of components for Apple products. As a result of the disruption, Apple had to delay the launch of its iPhone 12.
Market: The impact of the supply chain issue has been felt within the market as Apple's competitors have taken advantage of the delay in the launch of the iPhone 12. Samsung, Apple's main competitor, released its flagship Galaxy S20 in March 2020, a few months before the iPhone 12 was launched. This gave Samsung a head start in the market as it was able to attract customers who would have otherwise purchased the iPhone 12.
Shortages: The supply chain disruption has resulted in shortages of components used in the production of Apple products, particularly the iPhone 12. The company has had to reduce its production targets as it has been unable to obtain the necessary components in sufficient quantities. This has resulted in a shortage of iPhone 12 units, which has affected the company's sales and revenue.
Why: The supply chain issue has caused a larger impact within the industry because of the interdependence of companies in the industry. Apple is a major customer of many suppliers, and any disruption in its production affects the suppliers' revenue and production targets. In addition, the delay in the launch of the iPhone 12 has affected Apple's partners, such as mobile network operators, who rely on new iPhone launches to attract customers.
In conclusion, the supply chain interruption faced by Apple due to Covid-19 has had a significant impact on the company and the industry. The disruption has resulted in shortages of components, reduced production targets, delayed launch of the iPhone 12, and loss of revenue. The impact of the disruption has been felt not only by Apple but also by its partners and competitors within the industry.
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Explain the concept of VAR and VEC model and how they
differ?
Answer:
These are the two techniques generally used in the time series econometrics. VEC is Vector Error Correction method and VAR is Vector Auto regression method. When two variables are cointegrated, then they must be presented by Error Correction mechanism. This tool proves the stability of the long run relationship.
Explanation:
VAR (Vector Autoregression) models capture short-term interactions among variables, while VEC (Vector Error Correction) models incorporate long-term equilibrium relationships.
VAR (Vector Autoregression) is an econometric model used to analyze the dynamic relationships among multiple time series variables. It is a widely used technique for understanding the interdependencies and forecasting future values of economic variables. In a VAR model, each variable in the system is regressed on its own lagged values and lagged values of other variables. This allows for capturing the short-term dynamics and feedback effects among the variables. VAR models are flexible and can handle both stationary and non-stationary variables. They provide valuable insights into the contemporaneous and lagged relationships among the variables, aiding in understanding complex economic systems and informing policy decisions.
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