Answer:
Entry qualifier
Explanation:
The entry qualifier is a basic component that suppliers must possess before they proceed to the next phase of the evaluation and selection process.
Annual costs for a 4-year loan at 10% will be about $30 for each $100 borrowed (30/100 x amount borrowed x 4). How much are the approximate total costs (4-year loan, plus downpayment, plus initial costs) for each car?
To calculate the approximate total costs for each car, we need to add the annual costs for the 4-year loan, the downpayment, and the initial costs. Here's how to do it:
1. Calculate the annual costs for the 4-year loan: $30 for each $100 borrowed x amount borrowed x 4 = annual costs
2. Add the downpayment to the annual costs: annual costs + downpayment = total loan costs
3. Add the initial costs to the total loan costs: total loan costs + initial costs = approximate total costs
So, the approximate total costs for each car will be the sum of the annual costs for the 4-year loan, the downpayment, and the initial costs.
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Discuss whether or not consu,er benefit more from a market economic system or mixed economic system
Answer:
It just depends on which characteristics the mixed economy emphasizes. For example, if the market has too much freedom, it can leave the less competitive members of society without any government support. Central planning of government industries also creates problems.
True/False: salvage values are periodic receipts from sales of products or service.
False. Salvage values refer to the estimated value of an asset at the end of its useful life, which is typically recovered when the asset is sold or disposed of. It is not a periodic receipt from sales of products or services.
Services refer to intangible activities or tasks performed by individuals or organizations to meet the needs and desires of customers. Unlike physical products, services are not tangible but are instead actions or performances. Examples of services include professional consulting, healthcare, education, transportation, hospitality, banking, and customer support. Services are typically characterized by their intangibility, perishability (cannot be stored or inventoried), inseparability (produced and consumed simultaneously), and variability (quality can vary depending on the provider or circumstances). Service-based industries play a significant role in the global economy, contributing to employment and economic growth.
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Match each of the following items A through G with the best numbered description of its purpose. Factory Overhead account Process cost summary Equivalent units of production Work in Process Inventory account Raw Materials Inventory account Materials requisition Finished Goods Inventory account Notifies the materials manager to send materials to a production department. Holds costs of indirect materials, indirect labor, and similar costs until assigned to production. Holds costs of direct materials, direct labor, and applied overhead until products are transferred from production to finished goods (or another department). Standardizes partially completed units into equivalent completed units. Holds costs of finished products until sold to customers. Describes the activity and output of a production department for a period. Holds costs of materials until they are used in production or as factory overhead.
The correct match is A - 7,.B - 2,C - 3, D - 6, E - 4, F - 1, G - 5.
A - 7. Materials requisition: Notifies the materials manager to send materials to a production department.
When a production department requires additional materials for manufacturing, a materials requisition form is used to notify the materials manager or the warehouse of the specific materials needed.
B - 2. Raw Materials Inventory account: Holds costs of materials until they are used in production or as factory overhead.
The Raw Materials Inventory account tracks the costs associated with the materials purchased but not yet used in the production process. It includes the costs of direct materials that directly go into the final product as well as indirect materials that support the manufacturing process.
C - 3. Work in Process Inventory account: Holds costs of direct materials, direct labor, and applied overhead until products are transferred from production to finished goods (or another department).
The Work in Process Inventory account accumulates the costs of direct materials, direct labor, and applied overhead for products that are currently in the production process but not yet completed. It represents the value of partially completed products and serves as an intermediary account between raw materials and finished goods.
D - 6. Finished Goods Inventory account: Holds costs of finished products until sold to customers.
The Finished Goods Inventory account holds the costs associated with completed products that are ready for sale but have not yet been sold. This account captures the direct materials, direct labor, and applied overhead costs incurred during the manufacturing process.
E - 4. Equivalent units of production: Standardizes partially completed units into equivalent completed units.
Equivalent units of production is a concept used in process costing to convert partially completed units into equivalent completed units. It takes into account the degree of completion of the units in process and provides a standardized measure to evaluate the total production output.
F - 1. Factory Overhead account: Holds costs of indirect materials, indirect labor, and similar costs until assigned to production.
The Factory Overhead account is used to accumulate indirect costs associated with the production process that cannot be directly attributed to specific products.
G - 5. Process cost summary: Describes the activity and output of a production department for a period.
The Process Cost Summary provides a detailed summary of the activity and output of a production department over a specific period. It includes information such as the beginning and ending inventory balances, units started and completed, total costs incurred, cost per equivalent unit, and the allocation of costs to various inventory accounts.
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Calculate Return on equity (ROE) first. Then use five-way DuPont analysis to isolate the components affecting the ROA and identify the drivers of Walmart's performance. Have you found any potential operational flaws or any unidentified opportunities?
To calculate the Return on Equity (ROE) for Walmart, we need to use the following formula: ROE = Net Income / Shareholders' Equity
According to Walmart's latest financial statement, their net income is $14.88 billion and their shareholders' equity is $81.39 billion.
ROE = $14.88 billion / $81.39 billion = 18.29%
= $14.88 billion / $559.15 billion = 2.66%
2. Asset Turnover = Sales / Assets
= $559.15 billion / $219.29 billion = 2.55
3. Equity Multiplier = Assets / Equity
= $219.29 billion / $81.39 billion = 2.69
4. Net Income / Sales equals Return on Sales
= $14.88 billion / $559.15 billion = 2.66%
5. Financial Leverage = Assets / Equity
= $219.29 billion / $81.39 billion = 2.69
Based on the above calculations, we can see that Walmart's ROE is primarily driven by its high asset turnover and financial leverage. The net profit margin and return on sales are relatively low.
Regarding potential operational flaws or unidentified opportunities, further analysis and comparison with industry benchmarks would be required. However, based on the DuPont analysis, Walmart may consider increasing its net profit margin and return on sales to further improve its ROE. Additionally, they could explore opportunities to optimize their asset utilization and leverage ratios.
1. Calculate ROE: ROE = Net Income / Shareholder's Equity
Find Walmart's net income and shareholder's equity from its financial statements. Divide net income by shareholder's equity to get the ROE.
2. Perform five-way DuPont analysis:
ROE = (Net Income / Revenue) x (Revenue / Total Assets) x (Total Assets / Shareholder's Equity)
3. Analyze the components to identify drivers of performance:
- Profit margin: Represents how much profit Walmart generates from each dollar of revenue.
- Asset turnover: Shows how efficiently Walmart uses its assets to generate revenue.
- Equity multiplier: Indicates the financial leverage used by Walmart.
4. Evaluate potential operational flaws and unidentified opportunities:
- Examine each component's performance over time and compare it to industry benchmarks.
- Identify areas where Walmart is underperforming or has room for improvement.
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Thompson Corp. was engaged solely in manufacturing operations. The following data pertain to the operating segments for 2020: Operating Total Assets at Segment Revenue Profit 12/31/20 А $14,500,000 $2,475,000 $29,000,000 B 11,300,000 1,980,000 24,700,000 с 8,450,000 1,690,000 17,600,000 D 4,300,000 780,000 10,450,000 E 6,000,000 963,000 9,900,000 F 2,150,000 314,000 4,300,000 $46,700,000 $8,202,000 $95,950,000 What is the minimum amount of assets that each of these segments must own to be considered separately reportable? What is the minimum amount of assets that each of these segments must own to be considered separately reportable? Multiple Choice $9,595,000 $4,670,000 $10,415,200 $5,490,200. $14,265,000
The minimum amount of assets that each of these segments must own to be considered separately reportable is correct option is A) $9,595,000.
To determine the minimum amount of assets that each of these segments must own to be considered separately reportable, we need to refer to the guidelines provided by the Financial Accounting Standards Board (FASB) in Accounting Standards Codification (ASC) Topic 280, Segment Reporting. According to ASC 280, a segment is considered reportable if it meets any of the following three quantitative thresholds: (1) its revenue is 10% or more of the combined revenue of all operating segments; (2) its profit or loss is 10% or more of the greater of the combined profit of all operating segments or the combined loss of all operating segments; or (3) its assets are 10% or more of the combined assets of all operating segments.
Using the data provided in the question, we can calculate the combined assets of all operating segments as $95,950,000. To find the minimum amount of assets that each of these segments must own to be considered separately reportable, we need to divide this amount by 10%, which gives us $9,595,000. Therefore, the correct answer is A) $9,595,000.
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Question 9 (1 point)
Owning a nursery is a good example of a career in the agriculture, food, and natural
resources career cluster
True
False
Answer:
True
Explanation:
Nursery refers to a section of a farm where plants are grown up to the desired age before transplanting to bigger fields. They provide a convenient way of taking care of seedlings. Nurseries offer favorable growth conditions for germinating and growing food and non-food plant seedlings.
The agriculture, food, and natural resources cluster comprise all careers related to the creation of agricultural products. Someone who owns a nursery that grows food plants is under this cluster.
Answer:
True
Explanation:
The individual that is likely to have the highest credit score is the one who
pays the minimum balance on a credit card each month.
O has no credit cards and uses a debit card to pay bills.
O has two credit cards and pays the full balance on each card each month.
uses a parent's credit card and repays the parent for charges each month.
The individual that is likely to have the highest credit score is the one who
has two credit cards and pays the full balance on each card each month. Option C
What is credit score about?Your likelihood of making timely loan payments is predicted by your credit score. It is generally true that paying the minimum balance on a credit card each month will not have a positive effect on a person's credit score.
In fact, it could have a negative impact because it can indicate to lenders that the borrower is struggling to pay their debts and is potentially at higher risk of defaulting on a loan.
Hence, paying the full balance on a credit card each month can have a positive impact on a person's credit score because it demonstrates responsible credit use and the ability to pay off debts in a timely manner.
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The US Senate has approved approximately how many treaties?
O 2.500
O 1,500
O 2,000
O 1.000
Answer:
2500
Explanation:
The United States Senate has approved approximately 2500 treaties. This assertion is based on the statistics that fifty years after the United States independence, the US Senate has only approved 60 treaties. By the period World War II began in 1939, the US Senate has approved another 800 treaties. Also, between 1940 to 1989, the United States Senate has approved an additional 759 treaties. And between 1989 to this moment, the United States Senate has reportedly approved 890 treaties.
Hence, summing all of them together, we have 60 plus 800, plus 759, plus 890, making it 2509 treaties. That is approximately 2500 treaties.
Answer:
B. 1,500
Explanation:
It’s on the passage
Many performers, like singers, actors, and athletes, get paid large amounts of money. Do you think they earn these amounts or should they get paid less? Why?
Answer:
No, I don't because they put in a lot of hard work.
Explanation:
All of the following are considered marketing intermediaries except:
Select one:
A. Hotel Sales and Marketing
B. Tour wholesalers
C. Consortia
D. Travel agents
All of the given options are considered marketing intermediaries except: A. Hotel Sales and Marketing.
Marketing intermediaries are entities or organizations that facilitate the distribution of products or services from the producer to the end consumer. They play a role in the marketing channel by bridging the gap between the producer and the consumer.
Options B, C, and D—Tour wholesalers, Consortia, and Travel agents—are all examples of marketing intermediaries. They assist in the distribution and promotion of products or services, such as arranging tours, forming partnerships, and providing booking services.
Option A, Hotel Sales and Marketing, refers specifically to a function within the hospitality industry and is not typically classified as a marketing intermediary.
Option A is the correct answer.
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All of the following would be considered a direct material for an automobile exceptA.TiresB.BatteriesC.fabric for seatsD.sand paper
Option D sand paper is correct that would not be regarded as a direct material . The direct materials used in the manufacture of a smartphone are integrated circuits, camera modules, and buttons.
What is Direct material?Direct materials are raw materials that are directly used in the manufacturing process of a company's goods and services and are an essential component of the finished goods manufactured. Direct Material Costs are reported on the debit side of the trading account under the heading "cost of goods sold." They are also known as the costs incurred to create a product that can be traced back to its original form.
It can take physical or artificial forms, such as technology. For example, in a company like Amazon, the main cost of the company is to build a system that allows it to reach the greatest number of people worldwide. Since, in this case, the technology cost will be considered as the direct materials cost, The company will be unable to sell products on the platform unless it establishes a proper technical infrastructure. Cost accounting, on the other hand, is more thoroughly studied because it has a direct impact on the final product costing.
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What role do career pathways play?
A. Career pathways lay out the academic courses, skills, and knowledge required for a position.
B. Career pathways help students determine whether a position will have information technology as a primary or secondary focus.
C. Career pathways lay out the advantages and disadvantages of potential careers.
D. Career pathways organize jobs into 16 major groups to help students plan their careers.
Answer:
I think it's A. but don't depend on me i'm probley wrong
Explanation:
What part do career paths play is The educational requirements, necessary skills, and expertise for a position are outlined in career pathways. As a result, choice (A) is right.
What is meant by Career pathways ?A career path is a list of steps you should take to advance into new or more senior responsibilities at work during your professional life. Employees are guided toward their ultimate professional ambitions as well as their long-term goals through a series of positions and experiences.
By highlighting their existing professional situation and providing advice on how to improve it, career pathing can increase their levels of engagement and job satisfaction.
An essay about your career objectives is a piece of writing in which you describe the career route you hope to take and the goals you have for yourself. You will discuss your career aims, pertinent accomplishments that help you be more successful in achieving your goals, and how your aspirations can help you advance even farther in the essay.
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Which of the following things can help you get a lower interest rate when you receive a loan?
A. A low credit score
B. A history of defaulting
C. Using all of your available credit
D. Collateral
Answer:
D. Collateral
Explanation:
Collateral refers to an asset offered to a lender to secure a loan. Borrowers use properties, motor vehicles, or other valuable items to convince lenders to advance credit facilities. Collateral reduces the risk of lending. If the borrower default, lenders have the option of selling the collateral to recover their money.
Because collateral makes a loan less risky, the interest charged is low. A high-interest rate reflects a high-risk borrower.
Answer:
D. Collateral
Explanation:
ABC Company issued a bond with face value for $1000, paid annual 10% coupon and 3 years to maturity, what is the value of ABC bonds today if the required rate of return is 12%.
Answer:
The value of Bond = $951.963
Explanation:
The value of the bond is the present value(PV) of the future cash receipts expected from the bond. The value is equal to present values of interest payment plus the redemption value (RV) discounted at the yield rate
Value of Bond = PV of interest + PV of RV
Th e PV of interest payment
A ×(1- (1+r)^(-n))/r
Interest payment = 10%× 1000 = 100
PV = 100× (1- 1.12^(-3))/0.1 = 240.183126
PV of redemption value
PV = RV× (1+r)^(-n)
PV = 1000× 1.12^(-3) = 711.7802
The value of bond = 240.18 + 711.78= 951.963
The value of Bond = $951.963
Magic Events, Inc. is a global concert promoter that is organizing the world concert tour of the newest boy band. The company has a global reputation for generating the highest revenues for their entertainers based on lucrative event triangles. What is the most critical factor in a successful event triangle?
A.
as much advertising to fans as possible
B.
mutually beneficial exchanges
C.
selling as much merchandise as possible
D.
choosing the right sponsors
Answer:
A. as much advertising to fans as possible
Explanation:
The event triangle is made up of these 3 components
1. The participants
2. The sponsors
3. The spectators
Here the fans represent the spectators. They are the most critical factor of the event triangle .
The spectators are those who the boy band would be playing for. They are the ones who would go out to watch the event.
The spectators become monetary when the advertisement gets them to buy tickets for the event. That is they pay a fee to watch the event.
Primarily they provide necessary financial support for the event plus the money made from adverts.
What elements of culture do you expect to be challenging with respect to your country of choice? (exporting cocoa chocolate to Germany)
Choice Country: Germany
Product: Cocoa Chocolate
Exporting cocoa chocolate to Germany may pose cultural challenges related to taste preferences, labeling requirements, and consumer expectations.
German culture values high-quality and organic products, strict adherence to labeling regulations, and a preference for dark chocolate. Understanding these cultural elements is crucial to successfully market and sell cocoa chocolate in Germany. German consumers prioritize products that are sourced sustainably and produced with minimal additives or artificial ingredients. Exporters of cocoa chocolate to Germany should ensure that their products meet these expectations by highlighting the use of natural ingredients, sustainable sourcing practices, and any relevant certifications such as organic or fair trade.
Another cultural aspect to consider is Germany's strict labeling regulations. German consumers value transparency and expect clear and accurate product labeling, including information on ingredients, nutritional values, allergens, and any potential health claims. Exporters should ensure that their cocoa chocolate packaging complies with German labeling requirements to build trust and credibility among consumers.
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4 Theire summer collection has items so similar to our own new designs that we think this might be a case of ......
The given statement implies that the summer collection of the other brand is potentially a case of "industrial espionage" or "copyright infringement."
Industrial espionage refers to the act of obtaining confidential or proprietary information from a competitor, usually for the purpose of gaining a competitive advantage. Copyright infringement, on the other hand, occurs when someone copies or uses a creative work without the permission of the copyright holder.
In this case, it is suggested that the similarity between the two collections is not coincidental, and it might be a result of one company either stealing information or unlawfully copying the designs of the other. Legal action may be necessary to protect the original designs and the company's interests.
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which of the following is an example of communicating with customers?
a. creating a new product
b. choosing a store to distribute products
c. sponsoring a charity event
d. developing a marketing plan
Answer:
C. because customers can show up to see what's going on you can interact with them talk to them about your product/business.
If the charity event sponsored represents the example of communication with customers.
The following should be considered:
If the new product should be developed so it is not to be a communication.If the store is selected so it is also not to be a communication.If the marketing plan is developed so this should not represent the communication.But if the charity event is sponsored so this represents the communication with the customers.Therefore we can conclude that if the charity event sponsored represents the example of communication with customers.
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A laundry can purchase soap containing 30% by weight water at a rate of ₹14 per kg fo.b. factory. The same manufacturer offers a soap containing 5% water by weight. If the freight rate is ₹1.40 per 10 kg, what is the maximum price that the laundry can pay the manufacturer for the soap containing 5% water?
A laundry has the option to purchase soap that contains 30% water by weight at a rate of ₹14 per kg fo.b. (free on board) factory. The same manufacturer also offers a soap containing 5% water by weight.
Let's calculate the maximum price per kg for the soap containing 5% water. We'll denote this price as ₹x.
In 1 kg of soap containing 30% water, the cost of water is 0.3 kg × ₹14 = ₹4.20. The weight of soap in 1 kg of soap containing 30% water is 1 - 0.3 = 0.7 kg.
The cost of 0.95 kg of soap is 0.95 kg × ₹x = ₹0.95x.
Additionally, considering the freight rate of ₹1.40 per 10 kg, the total cost of 1 kg of soap containing 5% water is ₹0.70 + ₹0.95x + ₹1.40 × (10/100) = ₹0.70 + ₹0.95x + ₹0.14 = ₹0.84 + ₹0.95x.
Since the laundry cannot pay more than the price of soap containing 30% water (₹14), we set up the inequality ₹0.84 + ₹0.95x ≤ ₹14.
Solving this inequality, we find x ≤ ₹18.38.
Therefore, the maximum price that the laundry can pay the manufacturer for the soap containing 5% water is ₹18.38 per kg.
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Predict: How might learning tasks that are not part of your regular job make you a more valuable employee ?
Answer:
Success, Power, and Politics in the Workplace.
Strive to Understand and Support His Goals.
Communicate at the Right Volume.
Be Careful With the Water Cooler Conversations.
Save Her From Unwelcome Surprises.
Always Go in With a Plan.
Build Bridges Across the Organization.
Show off Your Work Without Being Obnoxious.
Explanation:
Answer:
Learning other tasks makes u more efficient your boss will begin to value u and your efforts to make his work better
_________ involves system developers writing a business case to justify funding one or more specific applications or projects._________ involves system developers writing a business case to justify funding one or more specific applications or projects.
Answer:
The question is incomplete, the options are missing. The options are the following:
a) Breakeven analysis
b) The business case approach
c) NPV
d) ROI
And the correct answer is the option B: The business case approach.
Explanation:
To begin with, the concept known as "Business case approach" is a type of approach that mainly focuses in the supporting of certain topics for the company in order improve the processes of the organization and its work. Moreover, it gives support to the planning and investing process against outcomes that could harm the company. This type of concept is used mainly by the organizations in the transport sector so that they could use it as a guidance in order to seek for investment.
i will give brainlest!!!
name 5 things that being a doctor requires
Can someone please Explain why both the General Minimum Wage rate and the Student’ rate are linear patterns.
I dont even get this
what are you all doing for hoolween this year?
Answer: I’m having a Halloween party with my parents and family because you know ya girl ain’t trying to get sick
Explanation:
courtney's organization is in a very competitive industry and getting goods to market quickly is vital to the organization's survival. for courtney, adopting a(n) organizational philosophy on compensation might be a good idea.
Courtney's organization is in a very competitive industry and getting goods to market quickly is vital to the organization's survival. For Courtney, adopting a(n) pay for performance organizational philosophy on compensation might be a good idea.
It might be a good idea for Courtney to adopt a pay-for-performance organizational remuneration strategy. A compensation strategy known as "pay-for-performance" provides cash incentives to employees who meet certain performance benchmarks.
The compensation for employees is based on their efforts at work, thus they will work more to get a higher salary under this approach. Pay-for-performance programs can be a wonderful way to enhance top talent retention while also raising staff productivity and engagement.
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Your question is incomplete, but most probably the full question was.
Courtney's organization is in a very competitive industry and getting goods to market quickly is vital to the organization's survival. For Courtney, adopting a(n) _________ organizational philosophy on compensation might be a good idea.
A. at-the-market
B. below-the-market
C. pay for performance
D. wage compression
E. None of the above
What is one way in which a business owner’s personal ethics can affect their ability to run their business? Group of answer choices a diagnosed alcoholic can’t get a liquor license (to run a bar) a juvenile record can be used against you in a job application being found responsible for an oil spill would cause the government to shut an oil company down a criminal record can affect your ability to get a loan
Business owner's personal ethics can affect their ability to run their business in the following ways:
A diagnosed alcoholic can’t get a liquor license (to run a bar).
Being found responsible for an oil spill would cause the government to shut an oil company.
Personal ethics can be defined as the behavioral features associated with a person in association with dealing with other people, society, and performing day to day activities. Personal ethics can be related to professional ethics as personal behavioral characteristics help a person while dealing with professional obstacles, professional personalities, handling employees, running a business, and maintaining name and fame of the organization. An habitual alcoholic will not get the liquor license as prolonged alcohol consumption can deteriorate the mental and physical functioning of the person. Such a person will get opportunity to steal liquor from own shop to satisfy his or her addiction will not be able to run the business. Personal ethics associated with addiction will not help the alcoholic to get the liquor license. Being responsible for oil spill will be responsible for shutting down of oil company is also an example of business owner's personal ethics that can affect the ability to run the business. This is because oil spill will contaminate the water of waterways that can kill aquatic organisms that can be important either commercially or for sustaining biodiversity. Moreover, any harm to biodiversity is subjected to prosecution. So, the personal ethics of negligence of oil spill will get compromised with shutting down of oil company.In the following cases business owner's personal ethics cannot affect their abilities to run their business:
A juvenile record will prevent a person from getting job but he or she can run a small scale business. A criminal record will prevent a person from getting loan from a private or government organization but the person can seek loan from relatives, friends, or small scale private lenders.Learn more about business:
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describe the process of career planning
Answer:
The career planning process involves taking the time to decide what your career goals are and how you'll get there. You might engage in this process on your own or with a guidance or career counselor. You can also start the career planning process at any point in your career.
Explanation:
Answer:
aalu jasto answer dinxa
_____ includes ongoing support and maintenance costs, as well as acquisition costs.
TCO (Total cost of ownership) is the cost that includes ongoing support and maintenance cost along with acquisition cost. Total cost of ownership is basically purchase price of asset along with cost of operation. Total cost of ownership is actually a way of assessing the long-term value of a purchase to a company or individual.
Different corporations use the total cost of ownership as a means of analyzing business deals, while individuals basically look at the total cost as a way of assessing potential purchases.
Companies use this cost of ownership over the long term as a framework for analyzing business deals. The total cost of ownership is a way of adopting more holistic approach that assesses the purchase. This sort of analysis includes the initial purchase price as well as all direct and indirect expenses.
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Edwards Manufacturing Company purchases two component parts from three different suppliers. The suppliers have limited capacity, and no one supplier can meet all the company’s needs. In addition, the suppliers charge different prices for the components. Component price data (in price per unit) are as follows: Supplier Component 1 2 3 1 $10 $14 $10 2 $16 $12 $10 Each supplier has a limited capacity in terms of the total number of components it can supply. However, as long as Edwards provides sufficient advance orders, each supplier can devote its capacity to component 1, component 2, or any combination of the two components, if the total number of units ordered is within its capacity. Supplier capacities are as follows.
Supplier 1 2 3
Capacity 600 1000 800
If the Edwards production plan for the next period includes 1000 units of component 1 and
Answer:
1. COMPONENT 1 recommendation is that both supplier 1 and supplier 2 should be recommended for the purchase of component 1 reason been they both supply the component at the lowest cost.
COMPONENT 2 recommendation is that both supplier 2 and 3 should be recommended for the supply of component 2
Component 1
Supplier 1 and 2 6,000 5,600
Component 2
Supplier 2 and 3 7,200 2,000
2. Total cost $19,600
Explanation:
Calculation of how many units of each component that should be ordered
Calculation for COMPONENT 1
Based on the information Supplier 1 made supplies of component 1 at the rate of $10
Since purchase was 600 units of component 1 at the rate of $ 10
Hence,
600×$10
=6,000
This means that remaining unit of 400 calculated as (1,000-600) of component 1 should have to be purchased by supplier 2
Hence,
400×$14
=5,600
Based on the above calculation both supplier 1 and supplier 2 should be recommended for the purchase of component 1 reason been they both supply the component at the lowest cost.
Calculation For COMPONENT 2
Supplier 2 supplies the component 2 at the rate of $12
Hence,
600×$12
=7,200
The remaining unit of 200 calculated as (800-600) of component 2 should be bought by supplier 3
200×$10
=2,000
Therefore both supplier 2 and 3 should be recommended for the supply of component 2
2. Calculation of Total purchase cost
Supplier 1 Supplier 2 Supplier 3 Total
Component 1 $ 6,000 $ 5,600 $0 $ 11,600
Component 2 $0 $ 6,000 $ 2,000 $ 8,000
Total $ 19,600
($11,600+$2,000)
Therefore the total purchase cost for both the components is $ 19,600