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A bank is considering two alternatives for handling a projected number of 6,000,000 service calls in total for the next 5 years. If the bank sets up its own service call center in the U.S., the fixed cost is estimated to be $3,000,000, which will be incurred in the first year; and the variable cost is calculated to be 20 cents per call. If the call service is outsourced to a foreign company, the unit charge would be 50 cents per call. (a) What is the break-even number of service calls? (b) Draw a diagram representing the in-house and outsourcing total costs which are functions of the number of service calls. Indicate the break-even number of service calls on the diagram. (c) Would the bank set up its own service call center or outsource service call handlings? Explain your answer with calculations. (d) If the projected number of service calls is 12,000,000 for the next 5 years, would the bank change its decision in part (c) If yes, explain with calculations.
Five-paragraph review of the Sinshelmer, Grout, Namkoong, Gottlieb, and Latif (2007) dry cleaning article,including an explanation of the common dry cleaning process using perchloroethylene (PCE), problems with PCE,and a review of options to PCE pres..
What are the similarities and differences of oral and written communication? What kinds of situations call for the use of oral methods?
Discusses future challenges in HR management and cover the following. Changes in demography and disease. The emergence of health care technology. Financial pressures related to health care professionals
What is the purpose of strategic objectives
Siimply evaluating and monitoring is not enough to assure success, you as a business leader must also build an organization capable of execution What type of variables would you suggest monitoring?
Andy enters into a contract with John to redecorate his New York penthouse. John sets to work immediately. He install new wallpaper and lighting in Andy's house, and paint a mural of little cherubs on his dining room ceiling. Assume that John cannot ..
Commercial property usually costs a lot more than an ordinary house; so many businesses prefer to lease the property. Determine the three most important issues to you if you were trying to negotiate a commercial property lease.
One local hospital has just enough space and funds currently available to start either a cancer or heart research lab. If administration decides on the cancer lab, there is a 20 percent chance of getting $100,000 in outside funding from the American ..
A Smile is Just a Frown Turned Upside Down!! In this exercise, you will act as an actual experimenter and perform a simple experiment. You will then present your statistics to each other on the online Discussion.
Discuss how and why international business might have to vary their marketing strategies to suit different countries and markets?
The number of internal disk drives? (in millions) made at a plant in Taiwan during the past 5 years? follows: Using simple linear regression?, the forecast for the number of disk drives to be made next year? = nothing disk drives. The mean absolute p..
Which of the following is NOT a recommended strategy for using supporting evidence to make your essays more convincing?
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