Principles Of Operations Management
11th Edition
ISBN: 9780135173930
Author: RENDER, Barry, HEIZER, Jay, Munson, Chuck
Publisher: Pearson,
expand_more
expand_more
format_list_bulleted
Concept explainers
Question
Chapter 11, Problem 5P
a)
Summary Introduction
To determine: The inventory turnover of Company B.
Introduction:
b)
Summary Introduction
To determine: Percentage of assets committed to inventory in Company B.
c)
Summary Introduction
To Compare: Performance of Company B with industry leaders.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
1.3)
Evaluate the business level strategy implemented by Drip Footwear.
The grocery industry has an annual inventory turnover of about 13 times. Organic Grocers, Inc., had a cost of goods
sold last year of $10,960,000; its average inventory was $991,710. What was Organic Grocers' inventory turnover, and
how does that performance compare with that of the industry?
a) What was Organic Grocers' inventory turnover? times per year (round your response to two decimal places).
b) How does Organic Grocers' performance compare with that of the industry? It is
the industry.
the same as
better than
worse than
Revenue and expense data for Bluestem Company are as follows:
Year 2
Year 1
Administrative expenses
$ 37,000
$ 20,000
Cost of goods sold
350,000
320,000
Income tax expense
40,000
32,000
Sales
800,000
700,000
Selling expenses
150,000
110,000
(a)
Prepare a comparative income statement, with vertical analysis, stating each item for both years as a percent of sales.
(b)
Comment upon significant changes disclosed by the comparative income statement.
Round percentages to one decimal place.
Chapter 11 Solutions
Principles Of Operations Management
Ch. 11.S - Prob. 1DQCh. 11.S - Prob. 2DQCh. 11.S - Prob. 3DQCh. 11.S - Prob. 4DQCh. 11.S - Prob. 5DQCh. 11.S - Prob. 6DQCh. 11.S - Prob. 7DQCh. 11.S - Prob. 8DQCh. 11.S - Prob. 9DQCh. 11.S - Prob. 10DQ
Ch. 11.S - Prob. 1PCh. 11.S - Prob. 2PCh. 11.S - Prob. 3PCh. 11.S - Prob. 4PCh. 11.S - Prob. 5PCh. 11.S - Prob. 6PCh. 11.S - Prob. 7PCh. 11.S - Prob. 8PCh. 11.S - Prob. 9PCh. 11.S - Prob. 10PCh. 11.S - Prob. 11PCh. 11.S - Prob. 12PCh. 11.S - Prob. 13PCh. 11.S - Prob. 14PCh. 11.S - Your options for shipping 100,000 of machine parts...Ch. 11.S - If you have a third option for the data in Problem...Ch. 11.S - Prob. 18PCh. 11.S - Prob. 19PCh. 11.S - Prob. 20PCh. 11.S - Prob. 21PCh. 11.S - Prob. 22PCh. 11 - Prob. 1EDCh. 11 - Prob. 1DQCh. 11 - Prob. 2DQCh. 11 - Prob. 3DQCh. 11 - Prob. 4DQCh. 11 - Prob. 5DQCh. 11 - Prob. 6DQCh. 11 - Prob. 7DQCh. 11 - Prob. 8DQCh. 11 - What is CPFR?Ch. 11 - Prob. 10DQCh. 11 - Prob. 11DQCh. 11 - Prob. 12DQCh. 11 - Prob. 13DQCh. 11 - Prob. 14DQCh. 11 - Prob. 15DQCh. 11 - Prob. 16DQCh. 11 - Prob. 17DQCh. 11 - Prob. 1PCh. 11 - Hau Lee Furniture, Inc., described in Example 1 of...Ch. 11 - Prob. 3PCh. 11 - Prob. 4PCh. 11 - Prob. 5PCh. 11 - Prob. 6PCh. 11 - Prob. 7PCh. 11 - Prob. 8PCh. 11 - Prob. 9PCh. 11 - Prob. 10PCh. 11 - Prob. 11PCh. 11 - Prob. 1.1VCCh. 11 - Prob. 1.2VCCh. 11 - Prob. 1.3VCCh. 11 - Prob. 1.4VCCh. 11 - Prob. 2.1VCCh. 11 - Prob. 2.2VCCh. 11 - Prob. 2.3VCCh. 11 - Prob. 3.1VCCh. 11 - Prob. 3.2VCCh. 11 - Prob. 3.3VCCh. 11 - Prob. 3.4VC
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.Similar questions
- Use the following financial statements of Heifer Sports Inc. in Table 14.14 to find Heifer’s:a) Inventory turnover ratio in 2012.b) Debt/equity ratio in 2012.c) Cash flow from operating activities in 2012.d) Average collection period.e) Fixed-asset turnover ratio.f) Return on equity.arrow_forwardAs a manager what strategy, style, or action plan in Scope for Reducing Costs in terms of Improving the turnaround of Inventory. Please explain.arrow_forwardThe grocery industry has an annual inventory turnover of about 15 times. Organic Grocers, Inc., had a cost of goods sold last year of $11,430,000; its average inventory was $999,780. What was Organic Grocers' inventory turnover, and how does that performance compare with that of the industry? a) What was Organic Grocers' inventory turnover? nothing times per year (round your response to two decimal places).arrow_forward
- The grocery industry has an annual inventory turnover of about 14 times. Organic Grocers, Inc., had a cost of goods sold last year of $10,710,000, its average inventory was $988,300. What was Organic Grocers' inventory turnover, and how does that performance compare with that of the industry? a) What was Organic Grocers' inventory turnover? times per year (round your response to two decimal places). b) How does Organic Grocers' performance compare with that of the industry? It is the industry.arrow_forwardSLO 6.1. Supply contributes to organizational goals and strategies through: Strategic contributions (opportunity maximization)Operational contribution (bottom-line impact)Direct contribution (enhancing performance of others)Indirect contribution (trouble prevention)Profit-leverage contribution (intangible) NEWSLO 6.2. For an organization with revenue of $100 million, purchases of $60 million, and profit of $8 million before tax, a 10 percent reduction in purchase spend would result in an increase in profit of: 10 percent36 percent57 percent60 percent75 percentarrow_forwardMoreover, this team works in coordination with the Dell Supply Chain Sustainability team to ensure that suppliers perform as per the environmental standards. Required (a) Conduct a comprehensive Value Chain Analysis of Dell Technologies. (b) Discuss reasons why a business like Dell Technologies would conduct a value chain analysis based on your understanding of strategic management. (c) Discuss an appropriate business analysis model Managers at Dell Technologies can apply as part of their strategic analysis, in order to determine possibilities for reconfiguration or improving co-ordination.arrow_forward
- What is a supply chain? What is the purpose of supply chain management systems?2. What is the purpose of cost accounting ISs?3. What is the relationship between CAD and CAM systems?4. What are the concerns in cash management, and how do cash management ISs help finan- cial managers?5. What is time to market? How have ISs affected time to market?6. In brief, what is the purpose of customer rela- tionship management systems?7. WhatarethetypicalcomponentsofERPsystems?8. Although technologically the full linking of the SCM systems of suppliers and buyers is feasible, many buyers are reluctant to do so. Why?9. Why do the ERP installation and testing of systems require that experts be involved? Whydoes the implementation of so many ERP sys-tems face severe challenges or totally fail?10. What is EOQ? Which two problems do ISs thatcalculate EOQ help minimize?11. What is JIT? How do MRP and MRP II systems help achieve JIT?12. For the human resource managers of some orga- nizations the entire…arrow_forwardMattress Wholesalers, Inc., is constantly tryingto reduce inventory in its supply chain. Last year, cost ofgoods sold was $7.5 million and inventory was $1.5 million.This year, cost of goods sold is $8.6 million and inventoryinvestment is $1.6 million.a) What were the weeks of supply last year?b) What are the weeks of supply this year?c) Is Mattress Wholesalers making progress in its inventoryreduction effort?arrow_forwardWhat is the bakery division’s business model for the BreadTalk brand? What is the relationship between BreadTalk and other brands within the bakery division? Hints: - In analyzing the bakery division’s business model, one should focus on the Customer Value Proposition and key resources, and provide an overview of how BreadTalk generates profit.- Important to pay attention to the differences of target customers in Singapore and China markets, respectively.arrow_forward
- As a manager what strategy, style, or action plan in Scope for Reducing Costs in terms of Reducing the overall Inventory. Please explain.arrow_forwardAnswered 1 Think of an organisation (or sub-division of an organisation) for which sales demand is unlikely to be the limiting factor at the moment. What is that organisation? 2 What do you think is likely to be that organisation's limiting factor? 3 What period do you think the organisation prepares its budgets for? 4 Name one type of "discretionary" budget this organisation may have. 5 What do you think the organisation's key mission is and one way way this gets reflected in its budgets.arrow_forwardIdentify the Generic Strategy that PennyMac Financial Services Inc is using to compete currently. Other Significant strategies? Give as much details as possible.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you