Reference no: EM131167183
Han Lee Furniture, Inc, spends 55% of its sales dollars in the supply chain and finds its current profit of $12,000 inadequate. The bank is insisting on an improved profit picture prior to approval of a loan for some new equipment. Hau would like to improve the profit line to $17,000 so he can obtain the banks approval for the loan.
Current Situation Sales $80,000
Cost of material $44,000 (55%)
Production costs $12,000 (15%)
Fixed cost $12,000 (15%)
Profit $12,000 (15%)
a) What percentage improvement is needed in the supply chain strategy for profit to improve to $17,000? What is the cost of material with a $17,000 profit? A decrease of __% in material(supply-chain) costs is required to yield a profit of $17,000, for a new material cost of $ __ . (Enter your response for the percentage decrease to one decimal place and enter your response for the new material cost as a whole number.
b) What percentage improvement is needed in the sales strategy for profit to improve to $17,000? What must sales be for profit to improve to $17,000? An increase of __% in sales is required to yield a profit of $17,000, for a new level of sales of $___. (Enter your response for the percentage increase to one decimal place and enter your response for the new sales as a whole number.)
|
Based upon recording balance of payment transactions
: Based upon recording balance of payment (BOP)transactions, determine whether or not the following is a debit, credit,or no entry to the U.S. Balance of Payment statement. What type of exposure could the CFO of H&M in the U.S. be subjected to since H&..
|
|
Explain what the specific key environmental forces
: Explain what the specific key environmental forces are that created an opportunity for your company. Identify if there have been changes in the purchasing patterns of your organization's target market in recent years. Conduct an environmental scan fo..
|
|
Exam on entrepreneurship and business ownership
: Sara Cook took an exam on entrepreneurship and business ownership. She was asked to identify which business organization in the United States has the largest number of firms and which has the largest receipts. She got an A on the exam. How did she an..
|
|
Suppose that the overnight rate and overnight rate target
: Suppose that the overnight rate and the overnight rate target are at 4.5 percent. The interest rate spread household and business borrowing should be 2.5 percent. a. To achieve the real interest rate of 2.5 percent, at what level should you set the o..
|
|
What percentage improvement is needed in sales strategy
: Han Lee Furniture, Inc, spends 55% of its sales dollars in the supply chain and finds its current profit of $12,000 inadequate. The bank is insisting on an improved profit picture prior to approval of a loan for some new equipment. What percentage im..
|
|
What will happen to equilibrium wage and quantity of labor
: Think of a goods and services market for coffee. A wild fire destroys half of the coffee bean crop. Which curve is affected and in what direction? What will happen to equilibrium, price and quantity in that market? Think of a financial capital market..
|
|
About the concept of opportunity cost
: In Chapter 2, you learned about the concept of opportunity cost, and the Section 2.1 review video demonstrated this concept. In your initial post, respond to the following: Describe various opportunity costs of attending a four-year college (assuming..
|
|
Extreme inequality in the distribution of education
: In most developing countries, the empirical studies show that there is extreme inequality in the distribution of education. A small section of the population is very highly educated and the majority of the population has practically no education at a..
|
|
Economy in determining the shape of human socciety
: Describe the social and political of karl Marx what was marx view of history ? how important was the economy in determining the shape of human socciety? how did human society change overtime ? summarize marx view on capitalism outlining both its posi..
|