Flashbinder Guitars, Inc is considering a lockbox system that will increase its check processing cost
by $.15 per check. The company estimates an average check size of $1,700 and expects the lockbox
to reduce check collection time by 3 days.
What annual before-tax yield must Flashbinder Guitars,
Inc earn on its marketable securities for the lockbox system to be beneficial?
A) 0.735% B) 1.118% C) 1.825% D) 1.074%
D
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Sample values of 13 monthly sales figures (in thousands of dollars) are: 6, 5, 6, 6, 7, 8, 9, 10, 10, 10, 9, 9, and 6. What is the mean sales figure? ____________________ thousand
Fill in the blank(s) with correct word
Lambert Manufacturing has $100,000 to invest in either Project A or Project B. The following data are available on these projects (Ignore income taxes.): Project AProject BCost of equipment needed now$100,000 $60,000 Working capital investment needed now - $40,000 Annual cash operating inflows$40,000 $35,000 Salvage value of equipment in 6 years$10,000 - Refer to Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using the tables provided.Both projects will have a useful life of 6 years and the total cost approach to net present value analysis. At the end of 6 years, the working capital investment will be released for use elsewhere. Lambert's required rate of return is 14%.The net present value of Project A is:
A. $94,450 B. $60,120 C. $51,000 D. $55,560
If a process has significant variability, then managers can increase the load on the process because they do not have to incorporate slack into their production plans
a. True b. False Indicate whether the statement is true or false
Tom, the manager of floral shop, is interested in implementing the principles of administrative management, which involves
A. doing time-motion studies. B. focusing on unprofitable parts of an organization. C. increasing synergy. D. managing the total organization. E. implementing MBO.