Suppose your firm has a marginal revenue given by the equation mr = 10 - q where q is the quantity produced and sold. this means that the seventh unit of output brings in 10 - 7 = $3 of additional revenue. the marginal cost for your firm is given by the equation mc = 2 + q. this means that the seventh unit of output increases the marginal cost by 2 + 7 = $9. if the firm produces the seventh unit of output, marginal cost will be marginal revenue. in which of the following cases, will the profit of the firm be maximized? a. when the marginal cost of producing an additional unit equals the marginal revenue from that unit. b. when the average cost of producing an additional unit equals the marginal revenue from that unit. c. when the marginal cost of producing an additional unit is less than the marginal revenue from that unit. d. when the average cost of producing an additional unit is less than the marginal revenue from that unit. the profit-maximizing level of output is units.

Insurance companies have internal controls in place to protect assets, monitor the accuracy of accounting records and encourage operational efficiencies and adherence to policies. these internal controls are generally of two types: administrative controls and accounting controls. administrative controls are the policies and procedures that guide the daily actions of employees. accounting controls are the policies and procedures that delineate authorizations of financial transactions that are done, safeguard assets, and provide reports on the company’s financial status in a reliable and timely manner. internal controls should include both preventative and detective controls. the purpose of preventative controls is to stop problems and errors before they occur. detective controls identify problems after they have occurred. preventative controls are usually more effective at reducing problems, but they also tend to be more expensive. internal controls must be flexible to adjust for changes in laws and regulations in addition to adding new products or modifying current ones. companies must also do regular analyses to ensure that the benefits of implementing the controls are worth their costs. when concerned about paying unwarranted insurance claims which type of control would be useful?

Electronics assembly inc. is a contract manufacturer that assembles consumer electronics for a number of companies. currently, the operations manager is assessing the capacity requirements as input into a bid for a job to assemble cell phones for a major global company. the company would assemble three models of cell phones in the same assembly cell. setup time between the phones is negligible. electronics assembly inc. operates two 8-hour shifts for 275 days per year. cell phone demand forecast (phones/year) processing time (minutes/phone) mars 47,000 19.8 saturn 35,000 20.7 neptune 7,500 16.2 a. calculate total capacity required by line. b. determine the total operating time available. c. calculate the total number of assembly cells. (round up your answer to the next whole number.)

Carlos hears juan and rita’s complaints about the new employees with whom they have to work with, as well as their threats to quit the company. if carlos were to reassign juan and rita to new, unique roles and separate them from the ronny and bill, it would signal that carlos has moved into the stage of managing resistance.