CPG Company manufactures chemicals. Chemical agent PL62 is refined in the Refining department and, after it is transferred to the Mixing department, a reactive agent is added to it. In January, 6,00 . gallons of PL62 having a cost of $30,00 . were transferred from the refining to the Mixing department where 4,00 . gallons of the reactive agent were added. When calculating the inventory costs in
the Mixing department, what will the cost per unit relating to gallons transferred in from the Refining department be?
a. $3.33
b. $3.00
c. $5.00
d. $7.50
b
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Corporation ABC is in a highly competitive industry. NGO pressure has been exerted to have this industry change its sourcing policies. ABC decides to publicly announce that it is the first in the industry to change in sourcing policy. Spar and LeMure define this as a ________ response type used to gain a ________ advantage over others in the industry.
A) competitive; pre-emption B) resistance; pre-emption C) pre-emption; competitive D) capitulation; competitive E) resistance; collective
If the cost of going to the ATM in an economy is $1 and the nominal interest rate is 5 percent, someone who spends $10 each day and has the total cost of holding cash = (365/T) + T, has a ____ probability of having his cash lost or stolen. Assume that the individual visits the ATM once in every T days.
A. 5 percent B. 10 percent C. 15 percent D. 20 percent
Edison Inc. has annual sales of $41,610,000, or $114,000 a day on a 365-day basis. The firm's cost of goods sold are 75% of sales. On average, the company has $9,000,000 in inventory and $8,000,000 in accounts receivable. The firm is looking for ways to shorten its cash conversion cycle. Its CFO has proposed new policies that would result in a 20% reduction in both average inventories and accounts receivable. She also anticipates that these policies would reduce sales by 10%, while the payables deferral period would remain unchanged at 35 days. What effect would these policies have on the company's cash conversion cycle? Do not round intermediate calculations. Round to the nearest whole day.
A. -16 days B. -21 days C. -17 days D. -19 days E. -22 days
Balance of payments includes financial flows such as foreign investments.
Answer the following statement true (T) or false (F)