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Answered

​If the firm learns that the complicated technology can be made more stable with a few tweaks increasing the cost by 5.5million and increasing the probability of a launch to 50%.Is it worth for the firm to invest the $500,000 in tweaks?

A) ​No,because it decreases the total expected value
B) Yes,because it increases expected value
C) No,because it increases risk
D) ​Yes,because tweaking is good

On Sep 27, 2024


B
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Cost flow matches the unit sold to the unit purchased.

A) Weighted average
B) First-in, first-out (FIFO)
C) Last-in, first-out (LIFO)
D) Specific identification

On Sep 23, 2024


D