Scenario 3.2 Use the following to answer the questions. Clayton Homes, a mobile home manufacturer since 1934, introduced its new i-House in 2007. The i-House is one of the first of its kind, designed as an updated, modern version of the modular home, offered as a base home plus add-ons known as "pods." The base home is a one-bedroom, one-bath, 734-square-foot version at a price of around $80,000. There is also a 1,000-square-foot version for around $100,000. All versions may add on the additional one-room pods, which are shipped to your location and constructed on site. The homes offer galvanized metal roofing, corrugated steel siding, VOC-free paints, and a "butterfly" roof that collects rainwater. The i-House uses 30% less energy than a similar square-foot home and offers "green"
characteristics of solar panels, tankless water heaters, and low-flow faucets. In addition, it comes with bamboo flooring, a renewable resource. The modular, prefabricated design offers endless options for creating the customer's home, and its engineered building system cuts down on construction waste. Due to the "green effects" of the i-House, the state governments have given it a tax abatement for any sales taxes. Refer to Scenario 3.2. Clayton Homes is revising its marketing strategy for the i-House due to the recent recession. Which of the following is the best action for promoting the i-House in the near future?
A. Emphasize the technology of the i-House.
B. Focus on the "green" qualities of the home and target environmentally-conscious individuals.
C. Significantly reduce advertising expenditures to create an exclusive image.
D. Decrease production until the economy improves.
E. Significantly reduce the prices on the company's product offerings.
Answer: B
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Asset turnover ratio
a. Market price per share b. Net sales c. Gross profit d. Average total assets e. Interest expense, net of tax f. Net income g. Total liabilities h. Total assets
Which institution caters to both final and organizational consumers?
a. retail cooperative b. factory outlet c. flea market d. membership club
Which of the following statements is true about the federal court system?
A) Appeals of benefits decisions made by the Veterans Administration are heard only by the Federal Circuit Court of Appeals. B) Appeals from administrative agencies are heard only by the Federal Circuit Court of Appeals. C) Bankruptcy cases must be filed under trial courts of limited jurisdiction. D) The U.S. Supreme Court only hears appeals in the federal system.
What is the formulation for this problem?
The owner of Chips etc. produces two kinds of chips: lime (L) and vinegar (V). He has a limited amount of the three ingredients used to produce these chips available for his next production run: 4800 ounces of salt, 9600 ounces of flour, and 2000 ounces of herbs. A bag of lime chips requires 2 ounces of salt, 6 ounces of flour, and 1 ounce of herbs to produce; while a bag of vinegar chips requires 3 ounces of salt, 8 ounces of flour, and 2 ounces of herbs. Profits for a bag of lime chips are $0.40, and for a bag of vinegar chips $0.50.