The inventory level will be used by an inventory
manager to regulate the optimal time for manufacturing, if they are handling
a manufacturer's warehouse, or to demand more if the product is being stored as
stock at a store.
To solve this:
Get first the Current Assets this solved by multiplying the
current liabilities to the current ratio.
CA = $500 (1.5) = $750
Then get the inventory level by multiplying the current
asset to the product of the current liabilities and quick ratio.
Inventory level = $750 (500 x 1.1) = $412,500
Answer:
On the basis of given information, I'll increase my production of nails.
Explanation:
The reason for increase in production of nails are as follow:
- The fact that overall market supply of nails will decrease by 2 % due to exit by the foreign competitors that means my competition will decrease and it will increase the market share for me.
- The fact that the overall demand of nails will increase by 2 % means that now I can increase my production in order to meet the supply and demand gap.
These two facts show that it is good opportunity to increase the production as the demand has increased and competition has decreased.
Answer:
13%
Explanation:
the new cost of equity = old cost of equity + [(debt / equity) x (old cost of equity - cost of debt)]
the new cost of equity = 12%+ [(20 / 80) x (12% - 8%)] = 12% + 1% = 13%
Since we are in the MM world, taxes do not exist, therefore they are not included in the equation.
Answer:
The correct answer is letter "A": Color ads are considered better suited for attracting and holding attention.
Explanation:
Magazines are mediums of communication targeted to a special sector of the market. Examples of magazines are <em>sports magazines, auto magazines, computer science and electronics magazines, </em>and <em>cuisine magazines</em> to mention a few.
As magazines are published periodically it is important that the advertisement displayed captures the attention of the audience. To do so, magazines tend to use color promotions where readers can see the products being promoted more detailed than by just displaying them in black and white.
