Business, 06.05.2020 08:36, brockmorrison3468
As operations manager of Holz Furniture, you must make a decision about adding a line of rustic furniture. In discussing the possibilities with your sales manager, Steve Gilbert, you decide that there will definitely be a market and that your firm should enter that market. However, because rustic furniture has a different finish than your standard offering, you decide you need another process line. There is no doubt in your mind about the decision, and you are sure that you should have a second process. But you do question how large to make it. A large process line is going to cost $ $450,000; a small process line will cost $350,000. The question, therefore, is the demand for rustic furniture. After extensive discussion with Mr. Gilbert and Tim Ireland of Ireland Market Research, Inc., you determine that the best estimate you can make is that there is a two-out-of-three chance of high demand resulting $650,000 profit from sales and a one-out-of-three chance of low demand resulting in $300,000 profit from sales.
With a large process line, you could handle the high figure of $625,000. However, with a small process line you could not and would be forced to expand (at a cost of $150,000), after which time your profit from sales would be $550,000 rather than the $625,000 because of the lost time in expanding the process. If you do not expand the small process, your profit from sales would be held to $425,000. If you build a small process and the demand is low, you can handle all of the demand.
The best option is to open a , with an expected value of $ (round your response to the nearest whole number).
Answers: 2
Business, 22.06.2019 09:20, swello1937
Which statement best explains the relationship between points a and b? a. consumption reaches its highest point, and then supply begins to fall. b. inflation reaches its highest point, and then the economy begins to expand. c. production reaches its highest point, and then the economy begins to contract. d. unemployment reaches its highest point, and then inflation begins to decrease.
Answers: 2
Business, 23.06.2019 02:00, lexiemornelas
Donna and gary are involved in an automobile accident. gary initiates a lawsuit against donna by filing a complaint. if donna files a motion to dismiss, she is asserting that
Answers: 2
Business, 23.06.2019 02:30, tmrsavage02p7cj16
Match each definition in column 1 with a vocabulary word from column 2." some of the entries in column 2 do not apply costs which do not change with the level of output costs which change with the level of output the change in total costs resulting from an increase in output by one unit function showing the quantities of a particular good demanded at a range of price when the quantity supplied of a good is greater than the quantity demanded when the quantity demanded for a particular good is greater than the quantity supplied the price and quantity determined in a market when the supply equals the demand when revenue exceeds costs when costs exceeds revenue output where revenue = costs
Answers: 1
As operations manager of Holz Furniture, you must make a decision about adding a line of rustic furn...
Mathematics, 16.12.2020 21:30
English, 16.12.2020 21:30
Mathematics, 16.12.2020 21:30
World Languages, 16.12.2020 21:30
Computers and Technology, 16.12.2020 21:30