What are four generic strategies that may be used in cost management to deal with uncertainty?
1 . Explicitly considering uncertainty when estimating future costs by using statistical tools such as least squares regression.
2 . Structuring costs to adjust to uncertain outcomes.
3 . Using options and forward contracts to mitigate price risk through hedging.
4 . Insuring against occurrences of specific events.
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Johnson Instrument Company is looking at various vendors to supply electrical materials involved in building their instruments. The first step in evaluating the vendors would be to conduct a vendor audit
Indicate whether the statement is true or false
A company using the basic EOQ model has annual ________ costs equal to annual ________ costs
Fill in the blank(s) with the appropriate word(s).
Which of the following is a contract most likely to fall under UCC Article 2:
a. IBM sells an office building in Atlanta to Microsoft b. GM buys seat belts from Ace to install in new Cadillacs c. Nock hires CompuW to service its computers for a year so they are kept in good condition d. Disney buys the copyright on a book to make it into a movie e. none of the other choices
Which source of financing for new businesses does NOT involve money?
A) bank loans B) bartering C) angel investing D) peer-to-peer lending E) venture capital