Praxair Limited is a supplier of synthetic graphite to a number of electrode manufacturers in the United States
Its customers have shifted their ordering responsibilities to Praxair and the company regularly monitors its customers' inventory levels and has taken responsibility for replenishing the supplies automatically through continuous replenishment programs. Which of the following systems do Praxair and its customers follow with respect to order-routine specification?
A) Supplier Added Value Effort ($AVE)
B) Vendor Managed Inventory (VMI)
C) Direct Concentrated Buying (DCB)
D) Supplier Performance Management (SPM)
E) Product Value Analysis (PVA)
B
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Consensus comes about when
A) every member agrees completely on the decision. B) group members generally accept a decision and then give it their support. C) group conformity reaches a peak. D) group members practice individual decision making.
Specialization is creating a ________ from an existing class by defining elements that are too specific for the parent class
A) subclass B) superclass C) either A or B D) neither A or B
It is most likely important to have specific goals for the purpose of
A. eliminating competition. B. measuring progress. C. encouraging teamwork. D. delegating tasks.
Frank Industries manufactures 200,000 components per year. The manufacturing cost of the components was determined as follows: Direct materials$200,000 Direct labor 320,000 Variable manufacturing overhead 120,000 Fixed manufacturing overhead 160,000 An outside supplier has offered to sell the component for $3.40 each. If Frank purchases the component from the outside supplier, the manufacturing facilities would be unused and could be rented out for $20,000.Required:a. If Frank purchases the component from the supplier instead of manufacturing it, the effect on income would be:b. What is the maximum price Frank would be willing to pay the outside supplier?
What will be an ideal response?