Answer:
This question is incomplete and incorrect in some parts, here is the full one:
Under what circumstances should a company's management team give serious consideration to making price offers to supply private-label footwear to chain retailers in one or more regions?
a) When the benchmarking data at the bottom of p. 7 of the latest FIR indicates that all sellers of private label footwear in that geographic region had a margin over direct costs of more than $2.50 per pair of private-label footwear sold to chain retailers
b) When chain retailers want to purchase private-label footwear with an S/Q rating that is 2- stars or more below last year's industry average for branded footwear
c) When the data in the latest Competitive Intelligence Report indicates that all of the winning bidders for P-L contracts sold more than 500,000 pairs of P-L shoes
d) When company managers conclude that the company has more than enough production capacity to produce the needed pairs of branded footwear and, based on their projections, determine that the company's profitability can be enhanced by making price offers to chain retailers and winning contracts to supply them with private-label footwear
e) When the company's market share for branded footwear in a geographic region is below the industry average and all the sellers of private-label footwear in the prior year made money on their private-label contracts
The answer is d)
Explanation:
A common misconception when it comes to manufacturing private-label goods is related to the lack of lucrativeness. Some may ask: Why should I manufacture goods for a retailer when I can sell them under my own brand?
The truth is - most companies (given their production management is efficient) have excess production capacity. That means that for a particular period, they are able to manufacture goods with a low, competitive cost per unit. Only when the production capacity is fully used, the production is optimal.
However, since most companies have a precisely defined budget for marketing, branding, packaging, distribution and logistics, sometimes it is very profitable to allocate some production capacity aimed just for products for a private-label.
This way, the costs related to marketing, branding, etc. will be transferred on to the retailer, while we reach our full production capacity in a particular geographical area of operating.
A company's management team should consider supplying private label footwear to chain values in a particular geographic region if there is significant demand and if the company has the capacity and resources to do so effectively.
Explanation:A company's management team should give serious consideration to making an offer to supply private label footwear to chain values in a particular geographic region under certain circumstances.
One circumstance is if the management team identifies a significant demand for private label footwear in that region. This can be determined through market research and analysis of consumer preferences.
Another circumstance is if the company has the capacity and resources to effectively supply private label footwear to chain values in that region without compromising the quality or timeliness of production.
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Jamie knows that his spring break travel packages are the best deal on campus. He also knows his competitor is sloppy, often waiting until the last minute to provide the needed tickets and documents to students buying his island packages. Jamie wants to develop an advertising message that emphasizes the key benefits he provides. He will develop a(n) ________ appeal.
a. niche marketingb. emotionalc. institutionald. remindere. Informational
Answer:
The correct answer is (informational)
Explanation:
The most crucial aspect of competing in any market is to let people know why your products are better than your competitors. A competitive advantage is a key to succeed in a monopolistic or perfect market. To contest, firms and organisations use different tactics such as marketing the sole purpose is to give information; an informational appeal will attract more customers and increases market share.
Scuz Bootes has been doing custom choppers, piercings, and tattoos for over thirty years. His home and place of business is a garage in the harbor district of Seattle, Washington. He has meticulous records of every job he has ever done. These have been entered into a computerized accounting information system that his accountant refers to as a "data warehouse." Scuz is considering an expansion of his business into scarification, and has asked his accountant to identify past customers who might be likely candidates for this service. Scuz wants his accountant to engage in__________.
a. enterprise resource planning.
b. customer resource management.
c. data mining.
d. customer auditing.
Answer: B
Explanation:
Customer relationship management (CRM) is the combination of practices, strategies and technologies that companies use to manage and analyze customer interactions and data throughout the customer lifecycle, with the goal of improving customer service relationships and assisting in customer retention and driving sales growth. Hence, CRM will help Scuz expansion and makes it successful.
Nebula Inc. follows an organizational culture in which employees are promoted according to their performance and not seniority. Employees who meet their monthly and annual sales targets in time are handsomely rewarded. Which type of corporate culture pertains to this scenario?
Answer: Market culture
Explanation:
This is a culture where the aim is to make as much profit as possible, this kind of culture is usually known for its competitive environment.
Golda Rush quit her job as a buyer for Home Depot to start her own hair dressing salon, Goldilocks. She gave up a salary of $40,000 per year, invested her savings of $30,000 (which was earning 5 percent interest) and borrowed $10,000 from a close friend, agreeing to pay 5 percent interest per year. In her first year, Golda spent $18,000 to rent a salon, hired a part-time assistant for $12,000 and incurred another $15,000 on equipment and hairdressing material. Based on this information, what is the amount of her implicit costs?
a) $80,000
b) $70,000
c) $42,000
d) $41,500
e) none of the above
Answer:
d) $41,500
Explanation:
Implicit cost is forgiven cost = salary + interest on investment
= $40,000 + $30,000*0.05
= $41,500
Therefore, The amount of her implicit costs is $41,500.
Golda Rush's implicit costs are the total of her forgone salary from her Home Depot job, the foregone interest on her savings, and the interest on the borrowed funds. This totals to $42,000, making the correct answer (c) $42,000.
To calculate Golda Rush's implicit costs for her hairdressing salon, we need to consider the income and benefits she would have earned if she had not left her job and invested her savings elsewhere. The implicit costs are comprised of her forgone salary at Home Depot, the forgone interest on her savings, and the interest on the borrowed money that could have been earned if it were invested.
Forgone Salary: $40,000 (the salary she would have earned at Home Depot)
Forgone interest on savings: 5% of $30,000 = $1,500
Interest on borrowed funds: 5% of $10,000 = $500
The total implicit cost is the sum of these figures: $40,000 (forgone salary) + $1,500 (interest on savings) + $500 (interest on borrowed funds) = $42,000.
Thereby, the correct answer for the amount of her implicit costs is:
c) $42,000
When the Federal Reserve lowers interest rates, hoping to jump-start the employment market, what does it hope it will accomplish with that monetary policy action?
A) That the lower interest rates will reduce the money supply to lower inflation.
B) That people will begin borrowing enough money so that they do not have to work.
C) That enough people will stop borrowing money and increase spending to raise the GDP.
D) That businesses will begin increasing investments, which in turn, will cause a need for more employees.
Answer:
D) That businesses will begin increasing investments, which in turn, will cause a need for more employees.
Explanation:
When the Federal reserves lower interest rates, it makes the cost of borrowing affordable. Banks and other lenders can advance credit to households and businesses at attractive rates. Low-interest rate encourages banks to loan out rather than hold excess reverses.
Affordable credit is good news to investors as they can manage to borrow capital to expand their business. As businesses expand, they will require more employees to work in the expanded production. The low-interest-rate also encourages start-up business. The expansion of old enterprises and the formation of new ones create job opportunities in the economy.
In Econland autonomous consumption equals 700, the marginal propensity to consume equals 0.80, net taxes are fixed at 50, planned investment is fixed at 100, government purchases are fixed at 100, and net exports are fixed at 40. The slope of the expenditure line is:
a. 990
b. 940
c. 900
d. 890
Answer:
expenditure = 900 + 0.80Y
correct option is c. 900
Explanation:
given data
Econland autonomous consumption Co = 700
marginal propensity to consume = 0.80
net taxes = 50
planned investment = 100
government purchases = 100
net exports = 40
to find out
The slope of the expenditure line
solution
we know equation of consumption line that is express as function C
C = a+b(Y-T) ...................1
here a is autonomus consumption and b is marginal propensity and Y is equilibrium GDP and T is taxes so
it will be
C = [700 + 0.80(Y - 50)]
and aggregate expenditure is here
aggregate expenditure = C + I + G + NX ..............................2
here I is plan investment and G is government purchases and NX is net exports so
put all value we will get here
expenditure PAE = [700 + 0.80(Y - 50)] + 100 + 100 + 40
PAE = 700 + 0.80Y - 40 + 100 + 100 + 40
PAE = 900 + 0.80Y
as slope of expenditure is marginal propensity
and we know that all are fixed except marginal propensity to consume
so correct option is c. 900
Eatalia is a popular chain of restaurants for authentic Italian food. Recently, a customer found a dead insect in the pasta he was served. The customer's negative review about the restaurant went viral. Eatalia's Chief Executive Officer (CEO) publicly apologized for the mishap and posted pictures of the restaurant's kitchen, after being fumigated, on several social networking websites. In this scenario, which of the following does Eatalia's CEO demonstrate?
a. Brand switching
b. Crisis management
c. Audience selectivity
d. Media scheduling
Answer:
The correct answer is B
Explanation:
Crisis management is the procedure through which the organization or firm faces the unexpected and disruptive event that harm the firm or its stakeholders.
In this scenario, Eatalia, who has a restaurant but a customer found a dead insect in the food due to which the business faces negative reviews, fumigated on the social networking. It illustrates the crisis management.
If Maryanne completely smooths consumption over her lifetime, for every $1,000 increase in disposable income, she will use ________ for consumption each year. A) $100
B) $333
C) $667
D) $750
Answer:D $750
Explanation:
This is a way an individual optimise his consumption and his savings habit for their future.
It has to do with the future of any individual and plans are made for the future.
An individual can plan to spend more now and save a little or spend a little now and safe for the future.
Bates Manufacturing purchased merchandise inventory for $10,000. At the end of the accounting period it has a market value of $8,700. Using the lower-of-cost-or-market rule, what is amount to report on the Balance Sheet as Merchandise Inventory?
Answer:
$8,700
Explanation:
According to the accounting principle, the inventory should be valued at lower of cost or market value and the same is presented on the balance sheet.
The purchase value of inventory is $10,000
And, the market value of inventory is $8,700
So, the lower value would be $8,700 and the same is reported on the balance sheet
A man earned wages of $53 comma 300, received $1900 in interest from a savings account, and contributed $3200 to a tax-deferred retirement plan. He was entitled to a personal exemption of $2900 and had deductions totaling $5220. Find his gross income, adjusted gross income, and taxable income.
Answer:
Gross income = $55,200
Adjusted gross income = $52,000
Taxable income = $43,880
Explanation:
Given:
Wages earned = $53,300
Interest received = $1,900
Tax-deferred retirement plan = $3,200
Personal exemption = $2,900
Deductions totaling = $5,220
Now,
Gross income = Wages earned + Interest received
= $53,300 + $1,900
= $55,200
Adjusted gross income = Gross income - Adjustments
= $55,200 - $3,200
= $52,000
Taxable income = Adjusted gross income - (Exemption + Deductions )
= $52,000 - ( $2,900 + $5,220 )
= $43,880
Name a category which is not ideal for capital budgeting decisions?
Answer:
Simple profits margin
Explanation:
When you are budgeting the capital is important to keep in mind the whole profits, for example, net, EBIT, EBITDA in order to have a complete and deep analysis of the cost and expenses structure of the company, vital at the moment of making decisions especially in budgeting.
As part of its web redesign, Pizza Hut implemented a system to collect and store consumer information including pizza preferences, delivery addresses, and payment information. Pizza Hut also allowed consumers to opt in or out of future promotional emails on its website, an example of
A. showroomng
B. interactive marketing
C. viral marketing
D. choiceboarding
E. permission marketing
E.Permission marketing, as exemplified by Pizza Hut's opt-in for promotional emails, involves obtaining explicit consent from consumers before sending marketing messages, fostering trust and engagement.
Permission marketing, exemplified by Pizza Hut's opt-in feature for promotional emails, is a strategy where businesses seek explicit consent from consumers before sending them marketing messages or collecting their information.
Unlike traditional marketing, which often involves intrusive tactics like cold calling or unsolicited emails, permission marketing respects the consumer's preferences and empowers them to control their interactions with the brand.
By allowing consumers to choose whether they want to receive promotional emails, Pizza Hut builds trust and rapport with its customers, enhancing their overall experience.
This approach fosters a more positive relationship between the brand and the consumer, leading to higher engagement and loyalty. Additionally, permission marketing tends to yield better results because it targets individuals who have already expressed interest in the brand's offerings, resulting in more qualified leads and increased conversion rates.
Overall, permission marketing is a customer-centric approach that prioritizes transparency, consent, and personalized communication.
WeLoseThings, Inc. currently reports $500,000 of inventory on its trial balance. Management just performed an inventory count and found only $485,000 of inventory. What account should be debited to record this shrinkage?
Answer:
Shrinkage expense
Explanation:
The journal entry is shown below:
Shrinkage expense A/c Dr $15,000
To Inventory A/c $15,000
(Being the shrinkage is recorded)
The computation is shown below"
= Current inventory amount - actual inventory amount
= $500,000 - $485,000
= $15,000
Simply we debited the shrinkage expense account and credited the inventory account so that the correct posting can be done
________ are a vital part of the public health assessment function and are used to identify special risk groups, to detect new health threats, to plan public health programs and evaluate their successes, and to prepare government budgets.
Answer:Health statistics
Explanation:
''HEALTH STATISTICS are a vital part of the public health assessment function and are used to identify special risk groups, to detect new health threats, to plan public health programs and evaluate their successes, and to prepare government budgets.''
Health statistics are set of numbers concerning areas of health for example, number of mortality(mortality statistics), birth statistics, marriage statistics and so on.
Health statistics are used to predict the pattern of disease in group of people.
In January of 20X1, the Falwell Company began construction of its own manufacturing facility. During 20X1, $6,000,000 in costs were incurred evenly throughout the year. Falwell took out a $2,500,000, 10% construction loan at the beginning of the year. The company had no other interest-bearing debt. What amount of interest should Falwell capitalize in 20X1?
Answer:
$250,000
Explanation:
The computation of the interest capitalized is shown below:
= Amount of construction loan × given percentage
= $2,500,000 × 10%
= $250,000
We simply multiplied the construction loan amount with the given percentage so that the accurate amount can come.
All other information which is given is not relevant. Hence, ignored it
Suppose you purchased a $1,000 face value, 15-year bond one year ago. The bond has a 7.125% (annual) coupon rate - but the bonds pay coupons semiannually. You paid $974.24 for the bond last year. However, yields have increased 1%. What is the price of the bond today?
a) $991.33
b) $955.78
c) $896.14
d) $912.85
e) $917.28
f) $1,000
Answer:
Explanation:
From the question, we have the followed parameters;
The Face value=1,000 United States of America Dollar($); yield to maturity= fifteen(15) years; The bond = 7.125 percent (annual) coupon rate; payment for last year = $974.24.
First thing to do is to calculate the market value after one percent extra= 1%+7.125%= 8.125%
Next, we need to calculate the present value of 14 year coupon of 71.25 USD = 573.00+ 1,000/1+ 0.8125^14
=>573.00+322.15
= 895.15
Therefore, the price of the bond today is $ 895.15.
A local newspaper is planning to come up with a special series on the growth of entrepreneurship within the community. Each week an article featuring a different business owner and his or her success story will be published. For the featured business owners, this type of promotion would constitute _____.
Answer:
The correct answer is Publicity.
Explanation:
Publicity is the set of strategies with which a company makes its products known to society. Advertising uses media as its main tool, these are so diverse and have so much expansion and impact on the general public that they are essential for commerce in general. If a product is not advertised, people will hardly know it and will refer to it as something of good quality with respect to the name it has. Advertising is a marketing strategy to position products in the global market, their participation in the expansion of companies is accurate and necessary. The corresponding factor used for the diversification of goods and services is referential, but what is sought is that the impact on society is acceptable, to give way to active consumerism.
Which of the following is NOT one of the functions of the Federal Reserve? Group of answer choices
Clearing checks
Supervising and regulating banks
Printing currency
Controlling the money supply
Answer:
The one which is not the function is printing the currency.
Explanation:
Federal Reserve is the system of the central banking, that is accountable for setting or making the policy on the matters of the monetary like money supply and interest rates.
The functions of the federal reserve are conduct or perform the monetary policy of the nation, keeping or maintaining an efficient and effective system of payment and supervising and regulating the banking operations.
A Chinese exporter sells $200,000 of toys to a French importer. The Chinese exporter requires the French importer to obtain a letter of credit. When the bank accepts the draft, the exporter discounts the 90-day note at a 4 percent discount. What does the exporter's true effective annual financing cost?
Answer:
0.0416483 or 4.16%
Explanation:
Annual percentage rate, APR = 4%
Value of toys sold = $200,000
Note period = 90 day
N = 365 ÷ 90
= $200,000 × [1 - (0.04 × 90/360)]
= $198,000
Effective annual financing cost:
[tex]=(\frac{Value\ of\ toys\ sold}{Calculated\ value} )^{\frac{365}{90} }-1[/tex]
[tex]=(\frac{200,000}{198,000} )^{\frac{365}{90} }-1[/tex]
= 1.0416483 - 1
= 0.0416483 or 4.16%
The most important factor in determining whether a research collaboration will be successful is:
Whether each research team member has an equal share of resources.
Whether there is ongoing communication among the team members about their goals and responsibilities.
Whether the research team has access an effective Technology Transfer Office.
Whether each research team member was trained in the same research methods
Answer:
The most important factor in determining whether a research collaboration will be successful is: B) Whether there is ongoing communication among the team members about their goals and responsibilities.
Explanation:
The research that involves participants from multiple organizations working together to achieve common goals is known as Collaborative Research. This type of research technique is an efficient and more effective way to achieve better results in a short time.
Various factors determine the success of collaborative research, such as the availability of resources, technology, relevant knowledge of the team members, but, the most important factor which determines success is an effective communication between the multiple research teams. If there is no proper communication between the teams, then there will be a lack of coordination, which is harmful for any collaboration.
Therefore, statement B is most suitable.
Final answer:
The pivotal factor for a successful research collaboration is sustained and clear communication among team members about their goals and responsibilities. Communication fosters trust, ensures buy-in, and efficiently manages resources, surpassing other factors like equal resource distribution, technology transfer support, and identical training methods.
Explanation:
The most important factor in determining whether a research collaboration will be successful is whether there is ongoing communication among the team members about their goals and responsibilities. Effective communication is the cornerstone of any successful collaboration, as it allows for the alignment of the team's ideas, promotes sustainability, and is crucial in managing and preventing disputes and conflicts. Sustained and clear communication practices are essential, whether it is in setting and resetting expectations due to staff turnover, deciding who controls the release of results, or navigating the distance in long-distance collaborations.
Other factors such as equal share of resources, technology transfer offices, and uniform training in research methods are important, but they tend to take a secondary role compared to the imperative of strong communication skills. It is through effective communication that trust is built, buy-in is secured from all parties, and resources are managed efficiently. As such, in the realm of collaborative partnerships, ensuring that all team members are open, forthcoming, and transparent, and making concerted efforts to use clear, jargon-free language is key to a booming partnership.
Bobcat Industrial Supply is considering a new project with estimated depreciation of $46,000, fixed costs of $39,000, and total sales of $487,000. The variable costs per unit are estimated at $21.00. What is the accounting break-even level of production?
Answer:
19,142.86 unit
Explanation:
Let the number of units be X
We know that,
Profit = Total Sales - Variable cost per unit × number of units - fixed cost - estimated depreciation
$0 = $487,000 - $21X - $39,000 - $46,000
$0 = $402,000 - $21 X
So, the X would be
= $402,000 ÷ $21 per unit÷
= 19,142.86 units
In a break even point, the firm has no profit or no loss so we assume the profit is $0
The accounting break-even point for Bobcat Industrial Supply is approximately 2,040 units. This is calculated by taking the total fixed costs (including depreciation) and dividing by the difference between the selling price per unit and the variable cost per unit.
Explanation:The accounting break-even level of production is simply the quantity of units a business must produce and sell in order to cover its costs. These fixed costs include things like rent, salaries, and utilities, which do not change regardless of how many units you produce. Variable costs, on the other hand, increase incrementally with each unit produced.
For Bobcat Industrial Supply, the accounting break-even point computed by setting total revenue equal to total costs, and solving for the quantity produced. First, we combine the fixed costs and the depreciation to get the total fixed costs of $85,000 ($39,000 + $46,000). We then divide this total fixed cost by the selling price per unit minus the variable cost per unit. Assuming a selling price of $62 per unit (considering $487,000 total sales and $21 variable cost as mentioned before), the break-even quantity will be $85,000 divided by ($62-$21).
The calculation is thus as follows:
Break-even quantity = Total Fixed Cost / (Selling price - Variable cost)
Break-even quantity = $85,000 / ($62 - $21)
Break-even quantity = approximately 2,040 units.
So, Bobcat Industrial Supply would need to produce and sell approximately 2,040 units to break even on their accounting costs.
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There are two producers of wagon wheels that together are the exclusive providers to a large community. the executives of these companies meet to set minimum prices and production levels, thereby ensuring that they each will make a higher profit than they would in a free market. this is an example of a(n)__________.a. dictatorship.b. autocracy.c. monopoly.d. oligopoly.
Answer:
Letter d is correct. Oligopoly
Explanation:
Oligopoly is an economic structure where companies come together to price products and services.
An oligopoly is characterized by a situation of imperfect competition, where few companies are responsible for controlling price supply, so competition does not occur for price variables, but for other product differentiation characteristics such as quality, value, customer loyalty and after sales service.
The price of sooer balls in the United Statos is $30 and the price of soccer bails in Mexico is $450 pesos. If the theory of purchasing power parity is correct, the exchange rate should be:
a. $1 = 15 pesos
b. $1 = 10 pesos
c. $10=1 peso
d. $15=1 peso
e. None of the above exchange rates is correct
Answer:
The correct answer is option a.
Explanation:
The purchasing power parity theory states that the exchange rate between the currency of the two countries is determined through the relative value of a basket of goods.
The exchange rate will be in equilibrium when the purchasing power in both the countries will be the same, or the price of the basket of goods is the same in both the countries.
The price of soccer balls in the US is $30.
The price of soccer balls in Mexico is $450 pesos.
The exchange rate should be
= [tex]\frac{450}{30}[/tex]
= 15
This means that each dollar is equal to 15 pesos.
Jess buys a microwave oven with a manufacturer's full one-year warranty. If Jess discovers that the microwave oven does not work properly during this time, the manufacturer is obligated to:
Answer: Collect the product and replace it with a new one
Explanation: Full warranty on any manufactured product means that for the next one year after the purchase of such item, the buyer is entitled to return it for a replacement, once the item has a fault.
A full one year warranty on any product includes any manufacturers defect on products. Defects detected during the cause of the product usage within the stipulated period.
Swiss Clothing Store had a balance in the Accounts Receivable account of $820,000 at the beginning of the year and a balance of $780,000 at the end of the year. Net credit sales during the year amounted to $7,200,000. The accounts receivable turnover ratio was
A. 9.2 times.
B. 9.0 times.
C. 8.4 times.
D. 8.8 times.
Answer:
B. 9.0 times.
Explanation:
Accounts Receivable Turnover (ART) = Net credit sales/ Average accounts receivable
Net credit sales = $7,200,000
Average accounts receivable = (beginning AR - ending AR) /2
Average Accounts receivable = ($820,000 + $780,000)/2
Average AR = $800,000
Therefore Accounts receivable turnover = $7,200,000/800,000 = 9.0 times
Final answer:
The accounts receivable turnover ratio for Swiss Clothing Store is calculated by dividing the net credit sales of $7,200,000 by the average accounts receivable of $800,000, resulting in a turnover ratio of 9.0 times.
Explanation:
The accounts receivable turnover ratio is a measure of how effectively a company manages its accounts receivable. To calculate this ratio, you divide the net credit sales by the average accounts receivable. The average accounts receivable is found by adding the beginning balance to the ending balance and dividing by two. So, for the Swiss Clothing Store, the calculation would be as follows:
Net Credit Sales: $7,200,000
Beginning Accounts Receivable: $820,000
Ending Accounts Receivable: $780,000
Average Accounts Receivable: ($820,000 + $780,000) / 2 = $800,000
Now, using this information, you calculate the turnover ratio:
Accounts Receivable Turnover Ratio = Net Credit Sales / Average Accounts Receivable = $7,200,000 / $800,000 = 9 times,
Therefore, the accounts receivable turnover ratio for Swiss Clothing Store is 9.0 times, which corresponds to option B.
Producers of a strong brand sometimes sell it to dealers only if the dealers will take some or all of the rest of its line. This is known as full-line forcing. Which of the following statements is true regarding full-line forcing?
A.It is always illegal.
B.It is always legal.
C.It may or may not be legal.
D.It is only legal in New York, California and Texas.
E.It is only illegal in Europe.
Answer:
The correct answer is C
Explanation:
Full line forcing is the term which is described as the supplier or the producer which insistence the dealer that must carry the full range of the products in the line.
The policy may or may not be illegal if it could be established that it could serve the legitimate need of the business.
Final answer:
Full-line forcing may be legal if it encourages competition among dealers, but it can become illegal if it restricts competition, with legality often hinging on the specific circumstances of the agreement.
Explanation:
Regarding full-line forcing, the truth is that it may or may not be legal, depending on various factors. Such practices are assessed on whether they encourage or limit competition. It is legal under circumstances where the purpose is to encourage competition among dealers, such as when the Ford Motor Company sells cars only to Ford dealers, and General Motors only to GM dealers. However, it can become illegal if it restricts competition, such as when a single retailer gains exclusive distribution rights to a wide range of products, negatively affecting other retailers' ability to compete.
Similarly, a product manufacturer's demand for a minimum resale price agreement from dealers can be illegal because it restricts competition. However, a subtle distinction exists where manufacturers can "suggest" minimum prices and choose not to sell to dealers who frequently sell below these suggested prices.
Suzi owns 100 shares of AB stock. She expects to receive a $238 in dividends next year. 12) Investors expect the stock to sell for $46 a share one year from now. What is the intrinsic value of this stock if the dividend payout ratio is 40% and the discount rate is 13.5%?
A) $38.19
B) $42.63
C) $45.77
D) $40.53
Answer:
B) $42.63
Explanation:
To determine the value of AB stock we must find the present value of the cash flow for next year:
total cash flow for next year = $46 (selling price) + $2.38 (= $238 / 100 shares) = $48.38
present value = $48.38 / (1 + 13.5%) = $48.38 / 1.135 = $42.63
An effective way to begin defining the purpose of a marketing plan, is to make a list of all the information needed to prepare the marketing plan
A. True
B. False
Answer:A. True
Explanation:There can't be marketing plan without available information at hand. Marketing plan is essential for new product that needs introduction to existing market.
Information about the market; about the competitors; targeted group of consumers e.t.c. marketing plan will be based on the information acquired on all these and more.
Certain brand names, such as Kleenex and Rollerblade, fear they could become _________, because they are so commonly identified with a specific product category that consumers use these names to refer to any product in that category regardless of the manufacturer.
Answer: The correct answer is "generic names"
Explanation: Certain brand names, such as Kleenex and Rollerblade, fear they could become generic names, because they are so commonly identified with a specific product category that consumers use these names to refer to any product in that category regardless of the manufacturer.
This happens because the products are so identified with the name or logo of the brand that consumers wanting to refer to a certain product call it by the name of the brand.
If a website facilitates the sale of goods by individuals and businesses over the internet, but requires actual photos of every item for sale to be posted instead of a manufacturer's stock picture of the product, both the demand and supply of products in good condition will shift due to the improved information. If supply shifts by more than demand, quantity will _____________ and price will _____________.A. decrease, be indeterminateB. increase, be indeterminateC. increase, decreaseD. decrease, increase
Answer:
D. decrease, increase
Explanation:
If actual pictures are used ,the demand and supply of products in good condition would increase.
But if the supply increases more than the demand, there would be excess supply.
When there's excess supply, quantity increases and price falls.
I hope my answer helps you.
Final answer:
When both supply and demand increase due to improved information, but supply increases more than demand, the quantity traded will increase while the price will decrease. Therefore, the answer to the student's question is option C: increase, decrease. The correct option is c.
Explanation:
If a website mandates actual photos for every item sold, this could improve information symmetry between buyers and sellers, thus potentially affecting both demand and supply. Specifically, the improved information might increase demand for items in good condition because buyers would have more trust in the quality of the product they are considering purchasing. On the other hand, the supply of products might also increase because sellers are now able to better demonstrate the quality of their products, possibly leading to a larger number of transactions.
According to economic principles, an increase in demand, all else being equal, tends to raise both the price and quantity traded of a product. Conversely, a decrease in demand would likely lower both the price and quantity traded. When we look at supply, an increase in supply, holding all else constant, tends to lead to a fall in price but an increase in the quantity traded. A decrease in supply would raise the price and decrease the quantity traded.
To answer the student's question directly, if supply shifts by more than demand because of improved information from actual photos, the equilibrium quantity will increase due to the greater supply outweighing the change in demand. The price of the products will decrease because the increased supply will put downward pressure on prices. Therefore, the correct answer is C. increase, decrease.