growth rate with its actual and projected growth rates in sales over these years, what growth management problems does R&E Supplies appear to face in this period? c. How did the company cope with these problems? Do you see any difficulties with the way it addressed its growth problems over this...
may be the in- tangible cost of lost future sales. This cost is very difficult to measure. Products that can be differentiated in the mind of the consumer (automobiles and major appliances) are more likely to be back ordered than substituted.
PUSH INVENTORY CONTROL
Let us begin to develop...
negative rate of return of 2v, with a utility score: U 5 2v. Howmuch will our investor pay for the policy, that is, what is the maximum value of v he or she will be willing to pay? To find thisvalue, we equate the utility score of the uninsured land (given in equation 6.4) to that of the insured land...
= cost, M = miles, and D = days
Which equation could Kesha use to figure out howmuch her rental would cost?
A. C = 40.00M + 0.20D
B. C = 40.00D + 0.20M
C. C = 20.00M + 0.40D
D. C = 20.00D + 0.40M
3. Joey earned money over the summer at different jobs and put all his...
the same enterprise.
For example, if a steel company owned its own coal mine, the questions would arise as to howmuch coal the coal mine should sell to the parent steel company and howmuch to outsiders,
and at what prices. Similarly, the parent steel company must determine howmuch coal to...
n years is FVn = CF * e3(1 + r)n - 14 r f * (1 + r)
Compare this to Equation 5.9 on page 172, which shows how to calculate the future value of an ordinary annuity. The two equations are nearly identical, but Equation 5.12 has an added term, (1 + r), at the end. In other words, the value...
the second year. If the company defers this production,
the first year sales contribution will be lost irrevocably.
The company also has an option to purchase a brand new machine for
the production of Product Y. It will cost the company $50,000 now or
$30,000 in one year’s time. This machine does...
constant. This is because as
the pound weakens, fewer U.S. dollars are required to buy the same shares of a
2. Some thinly traded ADRs can be harder to buy and sell. This could make them
more expensive to purchase than the quoted price.
3. You may face problems obtaining reliable...
is $.50. What bundle does she buy?
What bundle would
she buy if the price of cow feed rose to $1?
(e) Howmuch money would Lolita be willing to pay to avoid having the price of cow feed rise to $1?
statement may not be representative of the actual cash inﬂows and outﬂows that occurred during the period? 3. Accounting Statement of Cash Flows Looking at the accounting statement of cash ﬂows, whatdoes the bottom line number mean? How useful is this number for analyzing a company? 4. Cash Flows How...
that the original assumptions about this ﬂeet of forklifts do not play out; new fuel-efﬁcient models become attractive by the end of year 3 and Company R sells the ﬂeet for $52,000 at that time. At the time of sale, the realized price is below the $61,172 book value; the company occurs a loss of...
strategy equilibrium(ia), and what will it(they) be ? Doesthis seem optimal ?
Why do companies (or individuals) pollute the environment ?
Suppose you have N companies who need to choose between using methods that are cheaper and cause considerable pollution, or methods...
Rise in demand
A decision by
demanders to buy a
larger quantity at each
Now your rule for deciding how many cups of coffee to purchase at
different prices has changed—and this rule is just what we have called
. In January 2006, India allowed foreign companies to own up to 51% in single brand retail joint ventures (JVs), but multiple – brand foreign firms are still barred in retail although they can set up wholesale operations that are cash and carry formats. 100% FDI is allowed in this segment. Bharti Wal...
was 50%. However, its fixed assets were used at only 65% of capacity. If the company had been able to sell off enough of its fixed assets at book value so that it was operating at full capacity, with sales held constant at $450 million, howmuch cash (in millions) would it have generated?
monthly sales of $606,794. Y = (16431 × 60 degrees) 379,066 = $606,794 But just how accurate is thisequation in predicting the sales of ice cream? The answer to this question is given to us by another number in the “Regression Output.” R Square Explained The R Square value tells us “what percent of...
Value of short position (BAR):
* Day 1 $1000
* Day 2 $1050
* Day 3 $525 => $475 profit
Without the hedge, the trader would have lost $450. But the hedge - the short sale of BAR - gives a profit of $475, for a net profit of $25 during a dramatic market collapse
2) What are the factor that...
investor would require to maintain the same level of utility when holding a risky portfolio, say with 1%. We use equation 7.4 to find howmuchE(r) must increase to compensate for the higher value of : U 5 E(r) E(r) .005 .005 A 4
This implies that the necessary expected return increases to...
profit margin on new products. This can be measured separately but does not differ mathematically from margin calculations. Company Profit from New Products: The percentage of company profits that is derived from new products. In working with this figure, it is important to understand how “new...
of demand from parts produced in-house as in the ﬁrst two parts of this problem. (d) Howmuch money would be saved or lost by producing 947C, but meeting the same fraction of demand in-house? (e) Is your answer to question (c), the optimal number of 947C to produce? If not, what would be the optimal...