What is a demand curve? Why is it useful to marketers?
What will be an ideal response?
Each price a company might charge will lead to a different level of demand. The relationship between the price charged and the resulting demand level is illustrated in a demand curve. The demand curve shows the number of units the market will buy in a given time period at different prices that might be charged. In the normal case, demand and price are inversely related — that is, the higher the price, the lower the demand. Understanding a demand curve is crucial to good pricing decisions. In a monopoly, the demand curve shows the total market demand resulting from different prices. If a company faces competition, its demand at different prices will depend on whether competitors' prices stay constant or change with the company's own prices.
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Michael Porter draws a firm distinction between operational effectiveness and a strategy. Briefly describe this distinction and identify when a company can claim that it has a strategy
What will be an ideal response?
On September 12, Vander Company sold merchandise in the amount of $8600 to Jepson Company, with credit terms of 2/10, n/30. The cost of the items sold is $5400. Jepson uses the periodic inventory system and the gross method of accounting for purchases. The journal entry that Jepson will make on September 12 is:
A.
| Purchases | 5400? | |
| Accounts receivable | 5400? |
B.
| Accounts payable | 5400? | |
| Merchandise inventory | 5400? |
C.
| Merchandise inventory | 8600? | |
| Accounts payable | 8600? |
D.
| Purchases | 8600? | |
| Accounts receivable | 8600? |
E.
| Purchases | 8600? | |
| Accounts payable | 8600? |
The following information pertains to William Company: Standard materials allowed $25,00 . Unfavorable materials price variance 3,000 Favorable materials usage variance 2,000 Actual payroll $30,000 Unfavorable labor rate variance 500 Unfavorable labor efficiency variance 2,500 What is the entry to record the direct labor cost and variances?
a. Payroll 30,000 Labor rate variance 500 Labor efficiency variance 2,500 Accrued payroll 33,000 b. Work in process 27,000 Labor rate variance 500 Labor efficiency variance 2,500 Payroll 30,000 c. Work in process 30,000 Payroll 30,000 d. Work in process 27,000 Labor variances 3,000 Payroll 30,000
Which of the following was the term used by Frederick Taylor to describe how workers deliberately underwork:
a. systematic soldiering b. natural soldiering c. social soldiering d. dawdling