Producers' surplus is __________.
O the difference between the price a seller receives for a good and the price a buyer pays for the good.
O equal to price times quantity sold.
O equal to the seller's minimum price and the buyer's maximum price.
O the difference between the price a seller receives for a good and the minimum price for which he would have sold the good.
O the difference between the price a buyer pays for a good and the highest price he would have paid for the good.

Answers

Answer 1

Answer:

the difference between the price a seller receives for a good and the minimum price for which he would have sold the good. 

Explanation:

Producer surplus is the difference between the price a seller sells her goods and the least price she would be willing to sell her goods.

Consumer surplus is the difference between the price a buyer pays for a good and the highest price he would have paid for the good.

I hope my answer helps you


Related Questions

How do you determine when an assignment is due

Answers

On what platform? You could probably email your teacher and ask on canvas

stock price for vinyl record player?

Answers

To give you an idea the stock price, beginner to advanced record player installations can range from $50 to $450, depending on a number of variables.

What is current stock price?It is the latest trading price for a share of stock or any other security. The present price serves as the starting point in an open market. It shows the price that a buyer and seller would be prepared to accept for a later transaction involving that security.The current price is only an indication and not a promise. The future sale price on an exchange is not determined by the present price. The security's price will fluctuate over time as supply and demand factors change.Using the current value accounting method, assets are valued at their replacement cost rather than their initial cost.Cash price is the same as current price because it refers to the most recent quoted price on an exchange.

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for taxes why is deficit spending and the nation debt so crucial to pay attention to

Answers

Deficit spending and national debt are crucial to pay attention to for taxes because they can have a significant impact on a country's economy and fiscal policies, which in turn affect tax revenues and rates.

Deficit spending occurs when the government spends more money than it collects in taxes, resulting in a budget deficit. To finance the deficit, the government must borrow money by issuing bonds, which contributes to the national debt.

When the national debt is too high, it can lead to higher interest rates, inflation, and decreased confidence in the economy, which can all have negative effects on tax revenues and the ability of the government to fund its programs. Additionally, the need to service the debt can lead to higher taxes or reduced government spending in other areas, which can also impact taxpayers.

Imagine there is a town where the equilibrium quantity of workers is 20, and the equilibrium wage is $60. Given the demand for workers is proportional to wages, and that the demand for workers decreases by 5 persons if wages increase by $10, which of the following statements is correct if the town authorities make a policy of raising the equilibrium wage by 50% as the town’s minimum wage?
(A) The unemployment rate is 83%.
(B) 15 workers experience unemployment.
(C) This policy is welcomed by firms from the perspective of firms’ surplus.
(D) This policy is welcomed by workers from the perspective of workers’ surplus.

Answers

The policy of raising the equilibrium wage by 50% as the town's minimum wage would increase the equilibrium quantity of workers from 20 to 30. Hence option (D), this policy is welcomed by workers from the perspective of workers’ surplus is correct.

What is the equilibrium wage?

The supply and demand of labor in a labor market are closely correlated with equilibrium wages. The point at which the supply and demand are equal is known as the equilibrium wage rate. Demand and supply play a role in setting wages in a market that is competitive.

The equilibrium wage will rise with either an increase in demand or a decrease in supply. The equilibrium wage will decline due to changes in supply or demand. The intersection of labor supply and demand is where the equilibrium market wage rate is located.

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How do perspectives on competitive advantage differ when comparing brick-and-mortar stores to online businesses (e.g. Best Buy versus Amazon, Old Navy versus Threadless [noted in Strategy Highlight 5.2]). Make recommendations to a primarily brick-and-mortar retail firm on how to compete more effectively with online firms. Do your suggestions fall mostly into the accounting, shareholder, or economic point of view on competitive advantage

Answers

Answer:

Competitive advantage is about the strengths and capabilities, unique characteristics of any product or service, an individual, or a firm. It is hard to gain a competitive advantage because becoming different and achieving what others or other products do not possess is not at all easy. It requires a lot of time, planning, dedication and determination to grow above all and gain competitive advantage over them.

The difference between your sales and your cost of goods sold is known as your what

Answers

Answer:

profit.

Explanation: its just right

10 points! Please answer I beg! In a paragraph, How would you describe the brand McDonalds personality? This must be a short-answer paragraph describing the way the brand sounds in communications

Answers

Answer:

mcdonalds yumy and funny

Explanation:

employers use a form to determine how much of your paycheck to withhold for income taxes

Answers

Answer:

w-4

Explanation:

Choose 3 Companies, ID its stock price from 2017 and its current stock price. Calculate the Capital Gain/Loss using formula from notes.

Choose 3 Companies, ID its stock price from 2017 and its current stock price. Calculate the Capital Gain/Loss

Answers

The three companies requested their information from 2017 and their current stock price is given below:

Their Stock Information


1. Apple (AAPL):

Stock price in 2017: $139.00Current stock price: $135.05Capital Gain/Loss: -$3.95

2. Amazon (AMZN):

Stock price in 2017: $1,169.54Current stock price: $3,171.60Capital Gain/Loss: $2,002.06

3. Tesla (TSLA):

Stock price in 2017: $322.00Current stock price: $735.00Capital Gain/Loss: $413.00

Note: The stock prices are based on the closing price on the last trading day of the year.

Capital Gain/Loss = (Current Stock Price - Stock Price in 2017) x Number of shares

For Apple (AAPL), the calculation would be:

Capital Gain/Loss = ($135.05 - $139.00) x 1 share = -$3.95

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. What is credit risk from the banking perspective? Explain in detail.

Answers

Credit risk is the possibility of a loss as a result of a borrower's failure to repay a loan or meet contractual obligations. It traditionally refers to the risk that a lender will not receive the owed principal & interest, resulting in a disruption in cash flows and higher collection costs.

There is a risk that borrowers will not repay mortgages, credit cards, or other types of loans. Similarly, if a company extends credit to a customer, the customer may fail to pay their invoices. Credit risk also refers to the possibility that a bond issuer will fail to make timely payments or that an insurance company will be unable to pay a claim.

Credit risks are calculated based on a borrower's overall ability to repay a loan in accordance with the terms of the original loan. Lenders consider the five Cs when assessing credit risk on a consumer loan: credit history, repayment capacity, capital, loan terms, and associated collateral.

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Which of the following is not a systematic process of controlling?





Select one:
A.
Establishing standards and methods of measuring performance.
B.
Measuring both quantity and quality
C.
Measuring performance
D.
Determining whether performance matches the standards

Answers

Measuring both quantity and quality (option B) is not a systematic process of control.

What is controlling?

Controlling is described as a process in management, and it is a vital management function. It is important to mention that in the lack of any control process, management will fail to work properly. The management will fail to formulate a plan and work and will be unable to according to the implemented plan.

Measuring just the quantity and the quality, the performance measurement is overlooked. It is the main objective of control is to work as per plan and the level of performance must be by the formulated plan. However, measuring only the quality and quantity will not lead to a systematic process of control.

It can be concluded that measuring both quantity and quality (option B) is not a systematic process of control.

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What is the meaning of 50k in 2018?

Answers

Answer:

50,000

Explanation:

i hope it helped ya <3

50,000 Hope that helps

Ford Motor Company had realized returns of 5​%, 15​%, −15​%, and −5​% over four quarters. What is the quarterly standard deviation of returns for​ Ford?
a. 32.86​%.
b. 24.65​%.
c. 30.12​%.
d. 27.39​%.

Answers

Answer: 12.91%

Explanation:

The mean is;

= (5% + 15% - 15% - 5%)/4

= 0

Standard deviation = √((∑(Return-mean)^2)/[time period-1])

= (√((5-0)^2 + (15-0)^2 + (-15-0)^2 + (-5-0)^2)/ (4 -1))

= √((25% + 225% + 225% + 25% ) / 3 )

= √(500/3)

= 12.91%

NB - Options are for a different question.

Anita wants to recommend that her company cafeteria should find a new food service provider that serves healthier food with an emphasis on products from local farms and food purveyors. She plans to initiate this discussion with an email. Create an outline that Anita could use to write this email.​

Answers

The email would include the following outlines:

1. New meal service provider.

2. Emphasize wholesome food.

3. Healthier foods produced by regional farmers and food producers.

What is an outline in email writing?

An outline is a planning tool you use to keep track of all the subjects and ideas you intend to include in a written article.

Any type of writing, from research papers to creative writing, benefits greatly from knowing how to create an outline.

They can offer comments on the concepts you are covering to make sure you haven't omitted anything or understated the significance of any ideas.

When you eventually begin writing, your documents will have a better structure thanks to this type of feedback.

So, the outlines for the e-mail would be:

1. New food service provider.

2. Focus on healthier food.

3. Healthier products from local farms and food purveyors.


Therefore, the email would include the following outlines:

1. New meal service provider.

2. Emphasize wholesome food.

3. Healthier foods produced by regional farmers and food producers.

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The US Senate overwhelmingly passed the 2022 Defense Authorization Act. The $768 billion "Defense Authorization Act" not only exceeds the defense spending proposed by the Biden administration by $25 billion, but also increases the US defense budget by about 5% compared to last year.

Answers

The US Senate passed the 2022 Defense Authorization Act, a $768 billion bill that surpasses the Biden administration's defense spending proposal by $25 billion and represents a 5% increase in the US defense budget compared to the previous year.

1. The US Senate passed the 2022 Defense Authorization Act.

2. The Defense Authorization Act is a bill that determines the budget and expenditures for the US defense sector.

3. The total amount allocated for the Defense Authorization Act is $768 billion.

4. The defense spending proposed by the Biden administration was exceeded by $25 billion in this Act.

5. The Act represents a 5% increase in the US defense budget when compared to the previous year.

6. This increase in the defense budget indicates a commitment to strengthening the country's defense capabilities.

7. The Act was passed overwhelmingly, indicating strong support from the Senate.

8. The Defense Authorization Act is an essential piece of legislation that ensures the funding and resources necessary for the US military to carry out its operations effectively.

9. The Act covers various aspects of defense spending, including military personnel, equipment, research and development, and strategic initiatives.

10. By passing the Defense Authorization Act, the US Senate has demonstrated its commitment to national security and defense preparedness.

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Sawyer Company had the following information for the year: Direct materials used $ 197,700 Direct labor incurred (7,600 hours) $ 248,100 Actual manufacturing overhead incurred $ 335,000 Sawyer Company used a predetermined overhead rate using estimated overhead of $382,500 and 8,500 estimated direct labor hours. Assume the only inventory balance is an ending Finished Goods Inventory balance of $9,400. What was adjusted cost of goods sold

Answers

Answer:

adjusted cost of goods sold is $771,400.

Explanation:

Predetermined Overheads = Estimated Overheads ÷ Estimated Activity

                                               = $382,500 ÷ 8,500

                                               = $45

Calculate the Manufacturing Cost

Direct materials                                                      $ 197,700

Direct labor                                                            $ 248,100

Applied Overheads (7,600 × $45)                        $342,000

Cost of Goods Manufactured                                $787,800

Calculate the Cost of Sales

Beginning Finished Goods Inventory                       $0

Add Cost of Goods Manufactured                       $787,800

Less Ending Finished Goods Inventory                 ($9,400)

Cost of Goods Sold                                               $778,400

Adjust the Cost of Sales

Applied Overheads : $342,000 > Actual Overheads $ 335,000, we say that overheads are over-applied.

Therefore,

Cost of Goods Sold                                                              $778,400

Less Overheads over-applied ($342,000 - $ 335,000)      ($7,000)

Adjusted Cost of Goods Sold                                              $771,400

Problems that may occur in a business due to lack of bureaucracy

Answers

Answer:

Bureaucracy helps to form a rigid organisation.

Explanation:

Any corporation needs formal as well as informal work groups in the organisation for a corporation to achieve its targets it will need the presence of a bureaucratic approach.

bureaucracy in the organisation is to increase the level of formality,

better communication among the colleagues

as well as increase overall productivity.

In Chapters 1 and 2 you have been learning about the accounting equation, debits/credits, and account normal balances. The accounting equation is the foundation of accounting. Understanding debits/credits and the account normal balances are just as important. Sometimes, these concepts are difficult to understand and/or remember. Please research the Internet to find fun and easy ways to remember this information. It could be a song, a mnemonic, phrase, video, etc. I need the answer and cititation for the answer

Answers

The best phrase to remember in the accounting equation is to debit all assets, expenses, and losses, and to credit all liabilities, equity, gains, and incomes.

What is the accounting equation?

The accounting equation shows that assets are equal to liabilities and equity, given each business transaction.

The implication of the above definition is that when a transaction occurs, which may give rise to expenses, losses, gains, and incomes, the assets and liabilities and equity equation remains in balance.

For instance, when a company incurs an expense for cash, the assets (cash) side is reduced by the amount.  Similarly, the equity side is also reduced by the same amount.

Thus, the best phrase to remember in the accounting equation is to debit all assets, expenses, and losses, and to credit all liabilities, equity, gains, and incomes.

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Problem found with in the agriculture sectors and the solution

Answers

Answer:

There are many problems in agriculture sector some of them are as follows:

Explanation:

1: Not gaining appropriate output after harvesting .

2: Lack of influence .

3: Limitations of new technologies .

As there are problems there are also definitely it's solutions .Some of them are as follows:

1: Providinng loan for farmers in low interest.

2: influencing farmers for agriculture .

3: Providing them new technologies in low cost .

Lloyd Inc. has sales of $600,000, a net income of $60,000, and the following balance sheet: Cash $145,800 Accounts payable $192,780 Receivables 230,040 Notes payable to bank 108,540 Inventories 891,000 Total current liabilities $301,320 Total current assets $1,266,840 Long-term debt 270,540 Net fixed assets 353,160 Common equity 1,048,140 Total assets $1,620,000 Total liabilities and equity $1,620,000 The new owner thinks that inventories are excessive and can be lowered to the point where the current ratio is equal to the industry average, 2x, without affecting sales or net income. If inventories are sold and not replaced (thus reducing the current ratio to 2x); if the funds generated are used to reduce common equity (stock can be repurchased at book value); and if no other changes occur, by how much will the ROE change? Do not round intermediate calculations. Round your answer to two decimal places. % What will be the firm's new quick ratio? Do not round intermediate calculations. Round your answer to two decimal places. x

Answers

Answer:

The new quick ratio is 4.6

Explanation:

Current ratio = Current assets / Current liabilities

2 = (Cash + receivables + inventories) / (Accounts payable + other current liabilities

2 = ($145,800 + $230,040 + inventories ) / $192,780

2 = $375,840 + inventories / $192,780

$385,560 = $375,840 + inventories

Inventories = $385,560 - $375,840

Inventories = $9,720

This means that inventories worth of $881,280 [ $891,000 -$9,720] were sold.

Also, if the funds so gained are used to reduce common equity, meaning buying back the equity at book value, hence common equity is $166,860 [ $1,048,140 - $881,280]

ROE before selling off the inventory = Net income / Stockholder's equity

= $60,000 / $1,048,140

= 0.057 or 5.7%

ROE after selling off the inventory = Net income / Stockholder's equity

= $60,000 / $166,860

= 0.40 or 40%

The firm's new quick ratio

= [ Current assets - inventories] / Current liabilities

= [$1,266,840 - $9,720] / $270,540

= $1,257,140 / $270,540

= 4.6

Which document needs to be submitted, along with reconciled cash, from each department to the main cashier’s office?
A.
deposit form
B.
deposit slip
C.
cash receipt
D.
cash invoice
E.
withdrawal form

Answers

I think the answer would be B

Complete the sentence about the most important parts of an email. Before sending an email, you must include the email addresses of one or more recipients in the address box and mention the topic of the mail in the box

Answers

Before sending an email, you must include the subject line of the email addresses of one or more recipients in the address box and mention the topic of the mail in the box.

Email, often known as electronic mail, is the process by which one user sends one or more recipients computer-stored communications through the internet. Emails are a convenient, quick, and affordable means of communication for both personal and professional purposes. If a user has an internet connection, which is normally provided by an internet service provider, they can send emails from any location.

Email can be sent and received between many computer networks, most notably the internet, but it can also be sent and received through both public and private networks, such as a local area network. Both lists of persons and single recipients can receive emails. Using an email reflector, one can control a common distribution list. In order to subscribe to some mailing lists, users must submit a request to the mailing list administrator.

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The following calendar year-end information is taken from the December 31, 2017, adjusted trial balance and other records of Leone Company.

Advertising expense 30,250
Depreciation expense—Office equipment 8,250
Depreciation expense—selling equipment 8,800
Depreciation expense—Factory equipment 34,150
Factory supervision 108,060
Factory supplies used 10,600
Factory utilities 35,400
Direct labor 744,000
Indirect labor 63,400
Miscellaneous production costs 9,100
Off ice salaries expense 65,750
Raw materials purchases* 947,500
Rent expense—Office space 28,200
Rent expense—selling space 30,000
Rent expense—Factory building 84,800
Maintenance expense—Factory equipment 40,200
Sales 4,862,500
Sales salaries expense 400,560

*Assume that the raw materials inventory account is used only for direct materials. Indirect materials are recorded in a factory supplies account.

Required:
Classify each of the costs as either a product or period cost. Then, classify each of the product costs as either direct materials, direct labor, or factory overhead and each of the period costs as either selling or general and administrative expenses.

Answers

Answer:

Advertising expense = Period Cost  : selling expense

Depreciation expense—Office equipment = Period Cost : general and administrative expenses

Depreciation expense—selling equipment = Period Cost : selling expenses

Depreciation expense—Factory equipment = Product Cost : factory overhead

Factory supervision = Product Cost  : factory overhead

Factory supplies used = Product Cost  : factory overhead

Factory utilities = Product Cost  : factory overhead

Direct labor = Product Cost   : direct labor

Indirect labor = Product Cost   : factory overhead

Miscellaneous production costs = Product Cost  : factory overhead

Office salaries expense = Period Cost : general and administrative expenses

Raw materials purchases = Product Cost : direct materials

Rent expense—Office space = Period Cost : general and administrative expenses

Rent expense—selling space = Period Cost : selling expenses

Rent expense—Factory building = Product Cost : factory overhead

Maintenance expense—Factory equipment = Product Cost : factory overhead

Explanation:

A product cost is either direct material, direct labor or factory overhead and is included in Inventory valuation.

A period cost is either a selling or general and administrative expenses and is expensed in the income statement during the period of reporting.

What is the first thing people should do when creating a budget?
A. Record everything that they spend and what they spend it on
B. Cut spending in every category of expenditures drastically
OC. Put every extra dollar towards paying off their debts
D. Hire an accountant or financial planner to take care of it

it’s A

Answers

When creating a budget people should Record everything that they spend and what they spend it on. The appropriate response is option A.

What is a budget ?

A budget is an estimate of income and expenditures for a given future period of time, and it is often created and updated on a regular basis. A individual, a group of people, a corporation, a government, or pretty much anything else that makes and spends money can all have budgets.

Budgeting is essential if you want to control your monthly spending, be ready for life's unforeseen events, not  falling into debt. Monitoring your income and expenses is a crucial component of budgeting.

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Dale is a guitar teacher and Terrence is a tile layer. If Dale teaches Terrence's daughter to play the guitar in
exchange for Terrence tiling Dale's kitchen floor,
a. only Dale is made better off by trade.
O b. both Dale and Terrence are made better off by trade.
c. neither Dale nor Terrence are made better off by trade.
O d. only Terrence is made better off by trade.

Answers

If Dale teaches Terrence's daughter to play the guitar in exchange for Terrence tiling Dale's kitchen floor Option B.  both Dale and Terrence are made better off by trade.

In this scenario, Dale is a guitar teacher and Terrence is a tile layer. Dale teaches Terrence's daughter how to play the guitar in return for Terrence tiling Dale's kitchen floor. It is a classic example of trade and bartering. Dale, the guitar teacher, would have had to pay for tile installation if he hadn't bartered with Terrence, the tile layer. Terrence, on the other hand, would have had to pay for guitar lessons if he hadn't traded with Dale.

Both Dale and Terrence, therefore, benefit from the trade, and they are both better off as a result. Because Dale receives tile installation in exchange for teaching guitar lessons, and Terrence receives guitar lessons in exchange for tile installation, both benefit.

In conclusion, the answer is (b) both Dale and Terrence are made better off by trade. When both parties are better off after a trade, it is known as a mutually beneficial trade. Trade, in general, promotes mutual gains by allowing people to concentrate on what they do best and exchange their output with others for goods and services that they desire. Therefore, the correct option is B.

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Why are businesses working or failing in today's society?

Answers

Answer:

well in society today as corona virus grows so do prices which makes it harder for people to buy things they used to. Companies are starting to shut down do to people not being able to buy anything or not being able to afford things or the product is bad. Do to all of this companies are failing tho some are using this to their advantage and are thriving.

Explanation:

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The following project includes six activities. Three units of resources are available in each week. Activity A B C D E F, Immediate Predecessor _ _ A A,B B C,D,E, Duration (in weeks) 1 3 4 5 3 2, Resource requirement 1 2 2 1 2 2
1) Just use the information from the diagram to answer the following questions. a) What activities are on the critical path? How long would it take to complete the project if only the technical constraints are considered (i.e. resource constraints are NOT considered). 2) Create a Scheduled Resource Load Table in the space below (just like the table we used in class) to analyze the resource release schedule of the activities. a) How long would it take to complete the project if BOTH technical and resource constraints are considered?​

Answers

Answer:

a) The critical path is A-D-F. It would take a total of 10 weeks to complete the project if only technical constraints are considered.

b) check the link for table https://prnt.sc/YOghH_M6zs9-

To determine how long it would take to complete the project with both technical and resource constraints, we need to calculate the total resource requirements for each week and compare that to the available resources. From the table above, we can see that there are 3 units of resources available in each week.

In Week 1, Activity A requires 1 unit of resource, so 2 units remain. In Week 2, Activity A requires another unit of resource, leaving only 1 unit available. In Week 3, Activity B requires 2 units of resource, which exceeds the available resources, so we need to delay the start of Activity B until Week 4 when more resources become available. This delay pushes the entire schedule back by one week.

With this adjusted resource load schedule, the critical path is still A-D-F, but the project duration will now be 11 weeks instead of 10 weeks.

Name the factors that influence the development of accounting

Answers

1 the capital market
2 financial report systems
3 business entitles
Type of capital market, 2) Financial reporting system, 3) Types of business entities, 4) Legislative system, 5) Application degree of legislation, 6) Inflation level, 7) Political and economic relations with other countries

Amika has a high-paying job that she loves. She works so much that she has little time for anything else, and she doesn’t have much family that she stays in contact with. In addition, Amika works with most of her friends, so she doesn’t really mind the long hours. She rarely takes her vacation days, though she loves to travel and works it into her lifestyle whenever she can. In what way does Amika’s job support and conflict with her lifestyle?

She can work with her friends, which supports her social life, but she has long hours, which does not allow for family time.
The job is high paying, which can support her love of nice things, but she has long hours, which does not allow for family time.
The job is high paying, which can support her love of travel, but she has long hours, which does not allow for vacations.
She can work with her friends, which supports her family life, but she has long hours, which does not allow for vacations.

Answers

Answer:

A

Explanation:

Just did it on edg

SELECT AN ORGANISATION OF YOUR CHIOCE.
1.1 SUMMARISE THE NATURE OF BUSINESS
1.2 SUMMARISE THE BUSINESS MODEL
1.3 WHAT ARE THE KEY BUSINESS DRIVERS
2.1 NATURE OF DECISION DESCRIBING WHAT DECISION NEEDED TO BE MADE AND WHY
2.2 SUMMARISE HOW WAS THE DECISION MADE
2.3 ANALYSE THE DECISION MADE AND DESCRIBE IF A QUALITATIVE OR QUANTITATIVE APPROACH WAS USED AND JUSTIFY YOUR RESPONSE
2.4CONFIRM WHY WAS THIS APPROACH TAKEN BY THE BUSINESS AND APPRAISE THIS APPROACH FROM RISK MODELLING PERSPECTIVE
3.1 USING THE SELECTED BUSINESS DECISION FROM ABOVE, IDENTIFY AT LEAST 5 RISKS THAT NEEDED TO BE CONSIDERED TO MAKE THE SAME
3.2 USING THE RISK REGISTER IN THE PREVIOUS SECTION, CONDUCT A QUALITATIVE RISK ANALYSIS FOR THESE 5 RISKS BY PROPOSING THE PROBABILITY OF OCCURRENCE AND IMPACT FOR EACH RISK
3.3 USING A MATRIX INCLUDED IN APPENDIX A, PLOT THE RISKS ON A HEAT MAP AND EXPLAIN WHAT THE MAP MEANS
4.1 USING THE REGISTER DERIVED IN QUESTION 3.1, CALCULATE THE AVERAGE IMPACT (EXPECTED MONETARY VALUE) USING AGGREGATION OF STATIC VALUES
4.2 SUMMARISE WHAT DOES THIS AVERAGE IMPACT VALUE MEANS FOR THE ORGANISATION
5.1 USING THE REGISTER FROM 3.1, CALCULATE THE 5 POSSIBLE EXPECTED MONETORY VALUES USING THE AGGREGATION OF THE RISK DRIVEN OCCURRENCES METHODOLOGY
5.2 DESCRIBE THE RESULT OF THIS METHODOLOGY USING AN APPROPRIATE DIAGRAM
5.3 SUMMARISE WHAT DOES THIS AVERAGE IMPACT VALUE MEANS FOR THE ORGANISATION

Answers

An organization that will be analyzed in this context is Coca-Cola.1.1 Summary of the nature of the business:Coca-Cola is one of the most well-known beverage manufacturers in the world. They create fizzy drinks, juices, and water for a variety of markets.

Their drink portfolio includes more than 200 brands sold in over 200 countries.1.2 Summary of the business model:Coca-Cola Company follows a business model based on creating strong brands that generate significant customer demand.

Their main goal is to build and enhance brand equity. They engage in extensive advertising and promotion campaigns to attract more consumers.1.3 What are the key business drivers:Coca-Cola's essential business drivers are its brand, extensive distribution network, market reach, product innovation, customer satisfaction, and product differentiation.2.1 Nature of decision describing what decision needed to be made and why:The business decision that was taken by Coca-Cola was regarding the selection of the right marketing mix, which is a critical decision.

This allowed them to gain valuable insights into how the consumers perceive their products, which they could use to develop targeted marketing strategies. From a risk modeling perspective, the approach is beneficial because it allows the company to minimize the risks by identifying the issues that consumers may face with their products.3.1 Using the selected business decision from above, identify at least 5 risks that needed to be considered to make the same:1. Competition from other beverage manufacturers2. Consumer preferences and behavior3. Changes in market trends4. Fluctuating economic conditions

5. Changing health and safety regulations3.2 Using the risk register in the previous section, conduct a qualitative risk analysis for these 5 risks by proposing the probability of occurrence and impact for each risk:The following table shows the qualitative risk analysis for the five risks that were identified:RiskProbabilityImpactCompetitionMediumHighConsumer preferences and behaviorHighHighChanges in market trendsLowHighFluctuating economic conditionsHighMediumChanging health and safety regulationsLowMedium3.3 Using a matrix included in Appendix A, plot the risks on a heat map and explain what the map means:The risks were plotted on a heat map, as shown below:The heat map shows that the competition and consumer preferences risks have a higher probability of occurrence and impact, while the changes in market trends and health and safety regulations have a lower probability of occurrence and impact.4.1 Using the register derived in question 3.1, calculate the average impact (expected monetary value) using aggregation of static values:

The five possible expected monetary values are calculated by multiplying the probability of each risk and the range of possible impacts.RiskProbabilityImpactRange of possible impactsExpected Monetary ValueCompetitionMedium$2,000,000-$4,000,000$1,200,000Consumer preferences and behaviorHigh$3,000,000-$5,000,000$3,000,000Changes in market trendsLow$1,000,000-$3,000,000$300,000Fluctuating economic conditionsHigh$1,000,000-$2,000,000$1,200,000Changing health and safety regulationsLow$500,000-$1,000,000$50,000Total Expected Monetary Value$5,750,0005.2 Describe the result of this methodology using an appropriate diagram:The following diagram shows the possible expected monetary values for the five risks:5.3 Summarize what does this average impact value mean for the organization:

The average impact value means that the Coca-Cola Company could potentially lose an estimated $5,750,000 due to the five risks that were identified. This value represents the range of possible impacts that the company may face, given the probability of occurrence of each risk. The company can use this information to identify the risk mitigation strategies that are required to minimize the impact of these risks.

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