A distributor is negotiating a supply contract for one of its item. The end-customer demand is forecasted as follows:
Demand Probability 0.4 Quantity 20,000 30,000 45,000 60,000 0.2 0.35 0.05
The current parameters are as follows:
Price charged by distributor to end-customer
Price charged by supplier to distributor
Buyback price offered by supplier
Salvage value
Fixed manufacturing cost
Variable manufacturing cost $100/unit $70/unit $40/unit $10/unit $45/unit
What is the optimal order quantity for the distributor under the buyback contract?
Answers: 2
Business, 22.06.2019 12:40, gldven7636
When cell phones were first entering the market, they were relatively large and reception was undependable. all cell phones were essentially the same. but as the technology developed, many competitors entered, introducing features unique to their phones. today, cell phones are only a small fraction of the size and weight of their predecessors. consumers can buy cell phones with color screens, cameras, internet access, daily planners, or voice activation (and any combination of these features). the history of the cell phone demonstrates what marketing trend?
Answers: 3
Business, 22.06.2019 13:30, ayoismeisalex
On january 2, well co. purchased 10% of rea, inc.’s outstanding common shares for $400,000, which equaled the carrying amount and the fair value of the interest purchased in rea’s net assets. well did not elect the fair value option. because well is the largest single shareholder in rea, and well’s officers are a majority on rea’s board of directors, well exercises significant influence over rea. rea reported net income of $500,000 for the year and paid dividends of $150,000. in its december 31 balance sheet, what amount should well report as investment in rea?
Answers: 3
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