Should the firm accept or reject the order

Assignment Help Basic Statistics
Reference no: EM131922175

DAM is considering accepting an order for 25 sanitary items. On past experience, the credit controller reckons that there is a probability of 33% that bad debts will arise. In any case, credit period will be 90 days and it is estimated that the cost of sending letters for the 25 units will be $ 10.

The selling price per unit is $ 50 and variable cost is $ 30. The company's requires a return of 20%.

RQD: Should the firm accept or reject the order?

Reference no: EM131922175

Questions Cloud

What is the market value : Threes Electronic can issue bonds for $5 ~ $6 million in the similar terms.Company tax rate is 35%. What is the market value? WACC?
Which relative frequencies would be expected among progeny : Which phenotypes and which relative frequencies would be expected among the progeny from the mating of this male to a female with ruby eyes and dumpy wings?
What should be the size of repayment : What should be the size of each repayment if the loan is to be amortized at the end of the term? (Round your answer to the nearest cent.)
Calculate the price per unit to charge to earn the profit : Admore is the leading producer of presentation folders. last year, the company produced 50,000 units. This year the company anticipates producing.
Should the firm accept or reject the order : On past experience, the credit controller reckons that there is a probability of 33% that bad debts will arise.
Create a class structure flow chartfor yourprogram : Create a class structure,algorithmsand flow chartfor yourprogram, and then do several iterations of tests. You'll turn that document in with the program.
Journalize the closing entry to allocate net income : Compute each partner's share of the $72,000 net income for the year. Journalize the closing entry to allocate net income for the year.
Take action that led to on-time payments : What is Leyton's DSO.hat what would it be if all customers paid on time , and how much capital would be released if Leyton could take action that led to on-time
Compute the fixed overhead budget and volume variances : Standard direct labour-hours allowed for the actual output - 13,600. Compute the fixed overhead budget and volume variances

Reviews

Write a Review

Basic Statistics Questions & Answers

  Diagonal matrix of r nonzero latent roots

(i) The ith minimum angle between an arbitrary vector in the space of the first r principal components of the first sample, and the one most nearly parallel to it in the space of the first r components of the second sample is cos-1(mi1/2) where mi ..

  For subjects in the experimental group hypnosis was

in a study of hypnotic suggestion 16 male volunteers were randomly allocated to an experimental group and a control

  For given table identify any two events that intersect

The following contingency table of frequencies is based on a 5-year study of fire fatalities in Maryland.- For this table, identify any two events that intersect.

  Find the probability that all the people have blue eyes

What is the probability that they all have blue eyes? Would it be unusual to randomly select four people and find that they all have blue eyes? Why or why not?

  A painter has learned that the time it takes her to paint a

a painter has learned that the time it takes her to paint a random room in a house is normally distributed with a mean

  Determine the confidence interval for the population mean

Using the 0.025 level of significance in testing for the main and interactive effects, what conclusions should be drawn from this experiment? Determine the 95% confidence interval for the population mean for each factor level.

  What is the probability that there will be no shark attacks

What is the probability that there will be no shark attacks?- What is the probability that between two and five shark attacks inclusive will occur?

  Plot the means of the treatments that used humor

The effect of humor. In advertising, humor is often used to overcome sales resistance and stimulate customer purchase behavior. A recent experiment looked.

  Is series judge successful on basis of sample information

In the sample of 400 households, 112 were watching the series. At the 5% significance level, would the series be judged successful on basis of this sample information?

  Probability that no one experienced a migraine headache

If two American adults are randomly selected, what is the probability that neither of them has ever experienced a migraine headache?

  Find value of z if true mean amount of gas sold is less

Suppose we are testing if the true mean amount of gas sold on a day is less than 900 gallons, at a 5% level of significance, the value of z* would be?

  Constructing and understanding anova

Martin Motors has in stock three cars of the same make and model. The president would like to compare the gas consumption of the three cars (labeled car A, car B, and car C) using four different types of gasoline.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd