Understanding Business
12th Edition
ISBN: 9781259929434
Author: William Nickels
Publisher: McGraw-Hill Education
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- Salad Daze maintains an inventory of produce worth $380. Its total bill for produce over the course of the year was $71,000. How old on average is the lettuce it serves its customers?arrow_forwardIf the marginal cost for a firm is higher than its average total cost, what can be said about the slope ofits average variable cost curve at this point?arrow_forwardWhen American Express says its vision is to be “the world’s most respected service brand,” what are the implications for how it manages service expectations?arrow_forward
- Competitive Dimensions include I. Delivery Reliability II. Location III. Brand IV. Quality V. Price Option I and III Option I and IV Option I, IV and V Option II and IVarrow_forwardDescribe how airlines utilize revenue management to enhance profitability. This is one of the assignment from my services marketing class thanks for the help!arrow_forwardGiven that: Sales = $300,000,000 Transportation cost = $15,000,000 Warehousing cost = $4,000,000 Inventory carrying cost rate (W) = 30% Cost of goods sold = $95,000,000 Other operating costs = $55,000,000 Average Inventory (AI) = $15,000,000 Accounts receivable = $35,000,000 What is the total operating cost? Group of answer choices 56,500,000 48,500,000 75,500,000 78,500,000 68,500,000arrow_forward
- Mattress Wholesalers, Inc. is constantly trying to reduce inventory in its supply chain. Last year, cost of goods sold was $7.53 million and inventory was $1.49 million. This year, costs of goods sold is $8.61 million and inventory investment is $1.58 million. a) What was its weeks of supply last year? weeks (round your response to two decimal places). b) What is its weeks of supply this year? weeks (round your response to two decimal places). c) Is Mattress Wholesalers making progress in its inventory reduction effort? Since the number of weeks that cover the supply has V, Mattress Wholesalers is making V in its inventory-reduction effort.arrow_forwardBaker Mfg Inc. wishes to compare its inventory turnover to those of industry leaders, who have turnover of about 13 times per year and 8% of their assets invested in inventory. Baker Mfg. Inc. Net Revenue $27,500 Cost of sales $20,000 Inventory $1,210 Total assets $16,880 Part 2 a) What is Baker's inventory turnover? _______ times per year (round your response to two decimal places). Part 3 b) What is Baker's percentage of assets committed to inventory? __________% (enter your response as a percentage rounded to two decimal places). Part 4 c) How does Baker's performance compare to the industry leaders? ▼ Better? In line with industry? Worse?arrow_forwardSLO 1.1 Opportunity cost is a measure of: A) Inventory acquisition costB) Cost of services related to purchasingC) Cost of operating expensesD) Alternatives for invested fundsE) Activity based costs SLO 1.2 ABC analysis provides insight into: A) Total inventory costsB) Average inventory costsC) What items account for the most expendituresD) What items are critical to avoid stock outsE) High turnover itemsarrow_forward
- Discuss the 3 major components of the revenue cycle: Front, Middle, and back-end. What does each component consist of?arrow_forwardLast year, an online retailer of tennis equipment carried an average inventory of $7,500,000.The retailer reported sales revenue of $49,200,000 last year with a cost of goods sold of $23,900,000. Use this information to calculate the inventory turnover for the retailer last year. The inventory turnover for the retailer is ------- turns per year. (Enter your response rounded to two decimal places.)arrow_forwardNetflix CEO in 2017: "We're competing with ____." Question 2 options: eating sleeping reading showeringarrow_forward
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