Fixed cost

for higher prices, while buyers would offer less for certain goods or services. Through deals, they would come to a mutual agreement of price acceptance. Price is the only attribute in marketing mix that yields revenue, all other attributes produce costs (Kotler, 1997). Companies often use different pricing techniques to stimulate early purchase specially to accommodate differences in customers, products and locations. Marketers often refer to such pricing as discriminatory. Price…

projected to sell. Overhead and Variable Costs Overhead costs “are based entirely on estimated data, the overhead cost applied to work in process will generally differ from the amount of overhead cost actually incurred” (Garrison, Noreen, & Brewer, 2014 p. 104). The case study states that Nozomi failed to consider the real cost of running a large dealership and for this dealership the make ready and general overhead costs per unit based on the total overhead cost divided by the number of cars…

4. Storage and inventory management 4.1. Chicken: Chicken inventory is for 15 days. Chicken is not stored in the warehouse, in fact there is a separate cold storage area is built for chicken right beside every warehouse in each region. 4.2. Sauces: Inventory for Sauces are stored for around 25 to 30 days depending on the expiry dates and forecasted sales. 4.3. Spices and Herbs: Inventory for spices and herbs are stored according to forecasted sales and the lead time given by the procurement…

1. License reconciliation, elimination of duplicate software and redeployment. Assuming an average cost of $50 per licensed product. The average PC can eliminate/redeploy one licensed product for a savings of: $50 x 2,500 PCs = $125,000 2. Consolidation of software to servers for server based launching. Assuming that 25% of the user population can eliminate one software application from a local hard drive to a central server and that the average application requires 20-80meg, than the…

While developing the company Outdoor Rental, we saw the impact of the objective function and the constraining inequalities and how they limited and/or maximized profit. The objective function represented our production by telling our company how much we are going to make based on how many of each vehicle we purchased, and assuming that we are renting out our full capacity. Our purchasing was represented by the constraining inequalities because these inequalities determined how much money we…

4.2.2 Section B: Main factors Section B is the main part of the questionnaire survey to analyze the four factors of perception rail transportation. The reliability, accessibility, value added service, and cost is play the important role for the shipper to decide which type of mode is suitable to carry their cargo that fulfill all the cargo criteria. This question is focus on the level of rail freight transportation perception. 1. Reliability The reliability is the important transportation…

Suzi's Vetkoek Suzi wants to sell vetkoek on Sundays at the local market. About 1 880 people visit the market every Sunday. Each person spends about R16.50 per day with 20% of this amount being spent on food. Although there are other food stalls at the market, Suzi is sure that she can attract at least 5% of market share to start with. The following calculation gives the potential rand value of this market share: Number of consumers 1 880 Average spending per day R16.50 Total spending of…

Then the part is ejected by the ejector pins. There are many ways to fix the push rod on a fixed plate, this design uses the most commonly used form, which is, press the shoulder of the push rod between the counter bore and push plate of the push rod holder and tighten with the screw shoulder height and the depth corresponding to the depth of the counter bore left margin, after assembly with the push rod fixed plate with the margin, to ensure a high degree of consistency, to avoid the back and…

Case Problem: Specialty Toys Solution: 1. From the Case, Management team recommends ordering quantities of 15,000; 18,000; 24,000 and 28,000. Expected sales price = $24 per unit Product cost = $16 per unit And surplus products will be sold for $5 per unit Sales forecaster predicts demand = 20,000 units with a 0.95 probability that demand would be between 10,000 and 30,000 units. Let T be the demand for specialty’s toy. Based on normal distribution above with mean µ = 20,000 and standard…

The definition of prairies is “prairies are ecosystems considered part of the temperate grasslands, savannas, and scrublands biome by ecologists, based on similar temperate climates, moderate rainfall, and a composition of grasses, herbs, and shrubs, rather than trees, as the dominant vegetation type. “The prairie animals are the American toad, badger, black-footed ferret, bison, black-tailed jack rabbit, bumble bee, burrowing owl, California condor, carrion beetle, common snipe, coyotes, deer,…