Reference no: EM132074909
1. NanoTech is ready to begin production of its exciting new technology. The company is evaluating three methods of production: (A) a small production facility with older equipment, (B) a larger production facility that is more automated, and (C) subcontracting to an electronics manufacturer in Singapore. Process A has a fixed cost of $200,000 and a variable cost of $40 per unit. Process B has a fixed cost of $600,000 and a variable cost of $20 per unit. Process C has no fixed cost since the item is purchased. It's variable cost is the purchase price of $60 per unit. For what levels of demand would each process be desirable?
Below 30,000, choose B. Above 50,000, choose A. Otherwise, choose C.
Below 20,000, choose A. Above 10,000, choose C. Otherwise, choose B.
Below 15,000, choose C. Above 20,000, choose A. Otherwise, choose B.
Below 10,000, choose C. Above 20,000, choose B. Otherwise, choose A.
2. The school cafeteria can make pizza for approximately $0.30 a slice. The cost of kitchen use and cafeteria staff runs about $200 per day. The Pizza Den nearby will deliver whole pizzas for $9.00 each. The cafeteria staff cuts the pizza into eight pieces and serves them in the usual cafeteria line. With no cooking duties, the staff can be reduced by half, for a ?xed cost of $75 per day. Should the school cafeteria make or buy its pizzas?
Buy if more than 14 students want pizza
Buy if more than 66 students want pizza
Buy if less than 152 students want pizza
Buy if more than 416 students want pizza
None of the above
|
Relevance to major economics times series
: Identify and explain the relevance to major economics times series, economic indicators, of economic data item that would significant to airline industry
|
|
Selected each team member and their functional area
: Explain why you selected each team member and their functional area.
|
|
Why managers consider changes in net working capital
: Explain why managers consider changes in net working capital associated with a project to be cash inflows or outflows rather than the absolute level of working
|
|
Why the company is investigating more flexible work practice
: Your CEO, Rebecca Clary, will be meeting with the company's Board of Directors, a group of 5 people who ensure the company is running smoothly.
|
|
What levels of demand would each process be desirable
: It's variable cost is the purchase price of $60 per unit. For what levels of demand would each process be desirable?
|
|
Prepare the schedule using effective-interest method
: Cole Corporation issued $363,000, 7%, 21-year bonds on January 1, 2014, for $326,641. Prepare the schedule using effective-interest method
|
|
Something in the equity free cash flow model
: Is it true or false when something in the equity free cash flow model, if the value is for the net debt is negative
|
|
What is the stock expected price
: The required rate of return is 17%, and the expected constant growth rate is 7%. What is the stock's expected price?
|
|
Based on the current capital structure
: Based on the current capital structure, the company's WACC is closest to.
|