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Which one of the following is a capital budgeting decision?

A) Determining how much debt should be borrowed from a particular lender.
B) Deciding whether to open a new store.
C) Deciding when to repay a long-term debt.
D) Determining how much inventory to keep on hand.
E) Determining how much money should be kept in the checking account.

On Jul 24, 2024


B
IB

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Weekly demand for avocados at the Guac Shop is normally distributed with a mean of 2500 and a standard deviation of 650.The store manager has decided to follow a periodic review policy to manage inventory of avocados.They plan to order every two weeks.The farmers currently take two weeks to fill an order.Given a desired CSL of 97.5 percent,how much safety inventory should the Guac Shop carry? What should their OUL be?

On Jul 23, 2024


ss = Fs-1(CSL)× σT + L
= NORMSINV(0.975)× (650 × 4\sqrt { 4 }4 )
= 2547.95 ≈ 2548
OUL = DT + L + ss
= 2500(4)+ 2548
= 12,548
IB

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Studying economics helps us to better understand society.

On Jun 24, 2024


True
IB

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When the percentage change in price is greater than the resulting percentage change in quantity demanded:

A) a decrease in price will increase total revenue.
B) demand may be either elastic or inelastic.
C) an increase in price will increase total revenue.
D) demand is elastic.

On Jun 23, 2024


C
IB

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During the Great Depression,our economy operated ______________ the production possibilities frontier.

On May 25, 2024


inside
IB

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If goods A and Z are complements,an increase in the price of good Z will:

A) increase the demand for good A.
B) decrease the demand for good A.
C) decrease the demand for good Z.
D) decrease the demand for both good A and good Z.

On May 24, 2024


B