Kroger at Scottsville Road makes fresh pumpkin pies each morning. The daily demand for these pies is a random variable with a distribution estimated from manager Mike’s experience given by
Number of pumpkin Probability
pies sold in one day
0 0.05
5 0.15
10 0.10
15 0.05
20 0.20
25 0.10
30 0.15
35 0.05
40 0.10
45 0.05
Mike knows that the cost of making one pumpkin pie is about $4. In the store, pumpkin pies are sold for $10 each. At the end of the day, unsold pumpkin pies are sold to Bowling Green food bank for $1 each. How many pumpkin pies should Kroger make at the start of each day?
A. 0
B. 5
C. 10
D. 15
E. 20
F. 25
G. 30
H. 35
I. 40
J. 45
Answers
Kroger should make 0 pumpkin pies at the start of each day since it maximizes the expected profit. Option A is correct.
From the question, we know that the number of pumpkin pies sold in one day:
0 0.055 0.1510 0.1015 0.0520 0.2025 0.1030 0.1535 0.0540 0.1045 0.05Where:
Cost of making one pumpkin pie: $4Selling price of each pie: $10Salvage price for unsold pies: $1To find the optimal number of pies to make, we need to maximize the expected profit. Expected profit for each pie sold:
Profit = Selling price - Cost = $10 - $4 = $6Expected profit for each unsold pie:
Profit = Salvage price - Cost = $1 - $4 = -$3Expected profit for each pie sold is:
$6 * 0.8 + (-$3) * 0.2 = $4.8 - $0.6 = $4.2Let x be the number of pies made each day.
Expected profit when x pies are made:
Profit = (Number of pies sold) * (Expected profit from each pie sold) + (Number of unsold pies) * (Expected profit from each unsold pie) - (Cost of making pies)Profit = (min(x, 14.5)) * $4.2 + (max(0, x - 14.5)) * (-$3) - ($4 * x)To find the optimal value of x, we differentiate the profit function and set it equal to zero:
d/dx(Profit) = 0Differentiating the function, we get:
$4.2 if 0 <= x <= 14.5-$3 if x > 14.5-$4 if x < 0Since the derivative is zero when x is outside the interval 0 <= x <= 14.5, the optimal value occurs at the endpoints. In this case, the expected profit is maximized when x = 0.
Therefore, the optimal number of pumpkin pies Kroger should make at the start of each day is 0. Option A holds true.
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Related Questions
Vivian conducted market research on her company's products. She found that after the company raised the price of its product by $1.50, the demand in the uptown region remained the same with only minor fluctuations. However, she found that the demand in the downtown region dropped by 20 percent after the price change. How should Vivian take these demands into consideration?
Answers
Answer:
One important factor that Vivian needs to consider is that demand changes as a result of changes in price, however, other factors could affect the demand for goods or services, examples are, changes in the price of related goods, the income of the people, changes in preference etc.
Therefore, based on this fact, Vivian should consider "Price elasticity of demand." Price elasticity of demand can be defined as a measurement used in economics to show the responsiveness or elasticity of the quantity demanded of a good or service to a change in its price when nothing but the price changes.
How is socialism present within the American free enterprise system, give three
examples?
Answers
Answer:What is being offered by contemporary socialists are fairy tales, and we should not mistake them for the truth. These portrayals of socialism and their caricature of capitalism are inaccurate, vacuous, and utopian. Socialism takes from those who work, take risks, innovate, educate themselves, or save and gives to those who do not—or to those who have political power. A century ago, at the advent of the Russian Revolution, one could be a socialist and hope in good faith that socialism could achieve, or at least advance, its utopian aspirations. Now, socialism has a long record of dismal failure. In fact, it has been tried many dozens of times and failed each time.
Explanation:
easy career question above
Answers
the bond's_____ate of interest is the rate that borrowers are willing to pay and lenders are willing to accept for a particular bond and its risk level
Answers
The bond's market rate of interest is the rate that borrowers are willing to pay, and lenders are willing to accept for a particular bond and its risk level.
If the agreement fee is much less than the marketplace fee, the bond will promote at an quantity much less than face (that is referred to as a discount). If the agreement fee is extra than the marketplace fee, the bond will promote at an quantity extra than face (that is referred to as a premium).
The coupon fee is the fee of hobby the bond company pays at the face cost of the bond, expressed as a percentage.1 For example, a 5% coupon fee approach that bondholders will obtain 5% x $1,000 face cost = $50 each year. Coupon dates are the dates on which the bond company will make hobby payments.
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Power Wind is a corporation that specializes in designing and manufacturing windmills. Power Wind has a manufacturing plant in Colorado and offices throughout the southwestern United States. NRGreen, a provider of a variety of renewable energy design and installation services, has offered to buy Power Wind at a favorable price. However, because NRGreen's business model does not involve any manufacturing, it will close the Colorado plant immediately after acquiring Power Wind. May Power Wind's directors decline NRGreen's offer in order to keep the plant open?
a. No. Their fiduciary duty requires them to put the shareholders' interests first, and the shareholders will benefit from the sale to NRGreen.
b. No, if they are in a state that has codified Unocal.
c. Yes, if the plant is the primary source of Power Wind's profits
d. Yes, if they are in a state that has codified Unocal.
Answers
Give the Three Types of plans and define each concisely?
Answers
There are 3 types of Business Plans :
1. Operational Planning
This kind of planning often outlines how the business is run on a daily basis. Operational plans are frequently referred to as ongoing or single-use plans. Plans for one-time events and activities are called single usage plans (such as a single marketing campaign). Ongoing plans comprise policies for tackling issues, rules for particular laws, and procedures for a step-by-step process for achieving specified goals.2. Strategic Planning
A high-level perspective of the entire company is a component of strategic planning. It serves as the organization's fundamental framework and will guide long-term choices. The time frame for strategic planning can range from the subsequent two years to the following ten years. A strategic plan should include a vision, purpose, and values statement.3. Tactical Planning
Strategic planning is aided by tactical planning. It outlines the organization's intended strategies and methods for achieving the goals set forth in the strategic plan. The scope usually has a time frame of less than a year and divides the strategic plan into manageable parts. Operational plans ask how the organisation will typically carry out something in order to achieve the organization's objective, whereas tactical plans ask specific questions about what has to happen in order to achieve a strategic goal.Which kind of business opportunity is like buying a business kit?
Pilihan jawaban
Starting a new business from scratch
Buying a franchise
Buying an existing business
Answers
The type of business opportunity is comparable to purchasing a business kit or a franchise. Hence the right option is (C).
The term "franchise" refers to a method of marketing products or services in which a franchisor develops the brand's trade name and business model and a franchisee pays a royalty and frequently an upfront fee to obtain the right to use the franchisor's name and system.
you've thought if you're a budding entrepreneur or an established businessperson looking to diversify your holdings. The short answer is yes, particularly if a fantastic opportunity arises. The appeal of launching a business by purchasing a franchise is clear.
Listed below are a handful of the most typical causes of franchise failure: The franchisor offers its products to franchisees who are unqualified, inexperienced, undercapitalized, or naive. Franchisees sometimes have false expectations of the amount of effort involved in running a business.
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The storage area is where the merchandise is presented to the customer. True or false
Answers
The young men below are in colloquial language, “getting their hustle on!” Explain how their business is a sole proprietorship. Secondly, explain why the government will have a difficult time taxing this type of business.
Answers
These businesses are typically not registered with the government, and they do not have an official structure.
The government may be unwilling or unable to regulate these types of businesses because they are frequently viewed as necessary for economic growth and development.
In colloquial language, the young men below are "getting their hustle on." A sole proprietorship is a type of business that is owned and operated by a single individual. The young men's business can be referred to as a sole proprietorship since they are the sole owners of the business.
They are the ones who started the business, are responsible for all of its operations, and are accountable for all of the profits or losses.The government will have a tough time taxing this type of business for a variety of reasons.
Firstly, these businesses are typically not registered with the government, and they do not have an official structure. As a result, it's difficult for the government to track their activities and evaluate their taxes.
Secondly, many of these businesses operate in the informal sector, and they do not have formal accounting procedures or systems in place. As a result, it's difficult for the government to determine their exact revenue and taxable income.
Thirdly, these businesses are frequently involved in cash transactions, and it's difficult for the government to monitor their cash flow and revenue. As a result, they may not accurately report their earnings or pay the required taxes.
Finally, the government may be unwilling or unable to regulate these types of businesses because they are frequently viewed as necessary for economic growth and development. As a result, they may not be heavily taxed, if at all, since the government may be hesitant to discourage their operations.
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The trial balance for K and J Nursery, Inc., listed the following account balances at December 31, 2021, the end of its fiscal year: cash, $16,000; accounts receivable, $11,000; inventory, $25,000; equipment (net), $80,000; accounts payable, $14,000; Salaries payable, $9,000; interest payable, $1,000; notes payable (due in 18 months), $30,000; common stock, $50,000.
Answers
Current Assets : $100,000
($32,000 cash, $27,000 AR, and $41,000 inventory)
Current Liabilities: $52,000
($30,000 AP, $13,000 wages, $9,000 interest)
What are Current Assets?Any asset that can be reasonably expected to be sold, consumed, or expended through regular business operations within the current fiscal year, operational cycle, or financial year is referred to in accounting as a current asset (whichever period is longer).Cash, cash equivalents, short-term investments that in the normal course of business are primarily related to non-strategic companies in the process of being sold (typically as a result of private negotiations), accounts receivable, stock inventory, supplies, and the portion of prepaid liabilities that will be paid within a year are examples of typical current assets.Prepaid liabilities are also sometimes referred to as prepaid expenses. In plain English, assets kept for a little time are referred to as current assets.To know more about current assets the given link
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An investor holds a ford bond with a face value of $5000, a coupon rate of 8. 5%, and semiannual payments that matures on january 15, 2029. How much will the investor receive on january 15, 2029?.
Answers
The investor would get $5212.5 in return. The bond will expire on January 15, 2029.
Define investor.An investor is a person who invests money in the hope of making money in the future or in order to acquire an advantage (interest). The investor frequently purchases various types of property using this assigned funds. Investments can be made in equities, debt, securities, real estate, infrastructure, money, commodities, tokens, and derivatives like put and call options, futures, and forwards, among other things. Investors in the primary and secondary markets are not distinguished in this concept. In other words, both individuals who contribute money to a corporation and those who purchase shares are considered investors. Shareholders are investors who own stock.
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which microbes is used to extract ethanol from fruit juice and sugar molasses ·
Answers
Answer:
Yeast
Explanation:
A microbe (microorganism) is a microscopic organism which either exist in its single-celled form or as colony of cells. Example of microbes are bacteria, archaea, algae, protozoa.
Yeast is a microbe used in the extraction of ethanol from fruit juices and sugar molasses. Saccharomyces cerevisiae is a specie of yeast which reacts with fruit juices and sugar molasses in the absence of Oxygen to produce ethanol and carbon dioxide.
Explain any four managerial functions of an entrepreneur
Answers
Answer:
Taking Initiative
Organizing Resources
Identifying Opportunities and Prospects
Risk-Taking
Decision Making
Technology Transfer and Adaptation
Innovation
Fostering Autonomy
Social Responsibility
Public Relations
Experience Sharing
Managerial Roles
Balanced Economic Developmen
Explanation:
explanations will be available soon hold on
Dakota earns $8.70 an hour for 37
Per month
hour week. How much is earned per week?
Answers
Answer:
$321.90
Explanation:
just a mental health update, be sure to drink some water and get a heathy snack and don't to much work. Have a good day! <3
Answers
Cain Company reports net cash provided by operating activities of $35,000. It also reports the following information under “Adjustments to reconcile net income to net cash provided by operating activities” on its statement of cash flows (using the indirect method).
Answers
It can be seen from the solutions given that Cain's net income is $24,000.
Here is the solution:Net income = Net cash provided by operating activities - Adjustments
= $35,000 - $6,000 - $10,000 + $4,000 + $7,000 + $4,000
= $24,000
Therefore, Cain's net income is $24,000.
Here is a breakdown of the adjustments:
To determine cash flow from operations, it is necessary to include the gain on equipment sales in the net income as it is a non-cash entry.
A rise in accounts receivable implies that customers are prolonging payment of their invoices, resulting in decreased cash flow from the company's activities.
The depreciation expense is classified as a non-cash expense, hence it must be included in the calculation of cash from operations by adding it back to the net income.
A decrease in inventory indicates that the company is experiencing faster turnover of its inventory, leading to increased cash flow generated by its operations.
A rise in prepaid expenses denotes that the company is channeling more funds towards prepaid expenditures like insurance and rent, implying a reduced cash inflow from its operational activities.
A decline in the amount of wages that the company owes indicates that it is not promptly compensating its workforce. Consequently, this implies that the company's operational cash flow is reduced.
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Sue is considering splitting the cost of a new TV with her roommate. Her share would be $305.22. Can Sue afford this
Answers
Yes, she can make the purchase and have money left over.
Under what circumstance would a country have a comparative advantage in
the production of a certain good?
A. It has a lower opportunity cost for production of that good.
B. It has a more highly skilled work force.
C. It has well-developed industrial capacities.
D. It uses an assembly line to produce that good.
Ap3x
Answers
Answer: [A] It has a lower opportunity cost for production of that good.
Explanation: It has a lower opportunity cost for production of that good. Comparative advantage comes when a country gives up less than others to engage in a particular type of production.
Answer:
It has a lower opportunity cost for production of that good.
Explanation:
2. If changes happen during September or October, which expenses will you be able to change most easily? Give an example of how you could make a change. (5 points)
Answers
The correct answer to this open question is the following.
Although the question does not provide any context, references, or give options, we can say that if changes happen during September or October, the expenses you will be able to change most easily are according with the provisions projected in the annual plan, the budget, compared with the monthly expenses.
That is why a company has to elaborate on a good financial plan and overseeing the projections and true sales of the marketing and sales plan. This is important to take the proper control of expenses and revenues. Depending on the volume of sales during September and October, you can decide what kind of changes or adjustments to make in the following months.
Answer:
I would be able to change the variable expenses most easily. Such as food, clothing, and discretionary spending.
I could make the change by
Budgeting in October:
food from spending -$70 back to -$60
cut clothes off since I bought some already from -$40 to $0
budget my discretionary spending from -$60 back to -$40
This would increase my savings to $230
Helppppppppppppp
Why is engaging communication a two-way process?
Why are words alone not enough to communicate effectively?
Answers
Answer:
Explanation:
You need 2 people to have a conversation, not just words. You can’t just be in and empty room and just talk. You need someone else to talk to you.
You take advantage of a fad. Over the next 4 months, you estimate that this will boost your $23,500 monthly revenue by 26%, and then fall back to normal after that. How much revenue did the fad bring in?.
Answers
By taking advantage of a craze for the next four months, it is predicted that income would increase by 26% from the current $23,500 per month and then return to normal. This will result in 24440 in revenue.
Monthly revenue : 23500
%increase in monthly revenue : 26%
So, increase for a month = 26/100 * 23500 =6110
So, increase for 4 month will be =6110 * 4= 24440
The answer is 24440
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if a company uses _____ to measure taxable income, they must use the same method for external financial reporting.
a. Average cost
b. LIFO
c. FIFO
Answers
If a company opts for fifo for tax purposes, they should also apply the fifo method in their external financial reporting to maintain consistency and ensure that the financial statements reflect a true and fair view of the company's financial position and performance.
if a company uses the fifo (first-in, first-out) method to measure taxable Income , they must use the same method for external financial reporting. fifo assumes that the items or inventory acquired first are sold or used first, leading to the recognition of the oldest costs in the calculation of taxable income.
consistency between tax reporting and external financial reporting is generally required to maintain transparency and comparability in financial statements. using different inventory valuation methods for tax and financial reporting could result in discrepancies and make it challenging for stakeholders to evaluate a company's financial performance accurately.
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(true or false), Trading companies do not take title to products.
Answers
It is False, trading companies do take title to products.
What are Trading Companies?Trading companies are businesses that buy and sell products from different manufacturers and suppliers. They take title to the products they purchase, meaning they have legal ownership of the products until they are sold to another party.
This allows trading companies to make a profit by selling the products at a higher price than they purchased them for.
Therefore, It is False because trading companies take title to the products they purchase.
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When it comes to credit scores, why is having a thin file not an asset?.
Answers
The possession of a credit thin file is a liability and not an asset because its does not allows lender to access your credit worthiness which makes it hard to obtain loans or credit.
What is a credit scores?A credit score serves an a finacial tool that helpt to tells about someone's creditworthiness.
Normally, the higher the credit score, the higher the rate of repayment of credit.
Hence, these credit score are used by lenders to decide whether to borrow, extend or deny credit for a borrower.
However, having a thin file is not considerd an asset in credit scores because its does not let us know the willing borrower's repayment history of credit.
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he expected price level is assumed to be constant along a given short-run aggregate supply curve. true false
Answers
True. The supply curve displays the amount of Real GDP delivered at various prices while the demand curve can move up and down the aggregate supply curve.
Why is the aggregate supply curve for the short term positive?Because the quantity supplied rises when the price rises, the aggregate supply curve in the short run has an upward slope. Businesses only have one fixed factor of production in the short term (usually capital ). The output and real GDP increase at a given price as the curve moves outward.
What are the main variables that will impact aggregate supply in the short term?Factor costs, transient supply shocks, government actions with short-term consequences, and expectation of price level are among the factors influencing the short run aggregate supply.
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How might a sudden increase in people's expectations of future real estate prices affect interest rates? A. Interest rates would decrease because real estate would have a relatively lower rate of return compared to bonds, which would cause the demand for bonds to increase. B. Interest rates would decrease because real estate would have a relatively higher rate of return compared to bonds, which would cause the demand for bonds to decrease. C. Interest rates would increase because real estate would have a relatively lower rate of return compared to bonds, which would cause the demand for bonds to increase. D. Interest rates would increase because real estate would have a relatively higher rate of return compared to bonds, which would cause the demand for bonds to decrease.
Answers
Hello there! A complete answer is below!
Answer:
A. Interest rates would decrease because real estate would have a relatively lower rate of return compared to bonds, which would cause the demand for bonds to increase.
Explanation:
Interest rates would decrease because companies would realize customers aren't buying anymore. Due to low business and little profit, they would be forced to cut prices. There would be a sharp rate of returns rather than bonds. This would cause the rate of bonds to decrease. So, the answer is A.
Which of the following statements describes GAAP?
A. GAAP standards are written and regulated by the government.
B. It is legally required that all companies meet GAAP standards.
C. Companies that meet GAAP standards usually use cash basis accounting.
D. GAAP recommends accrual basis accounting.
Answers
The statement that describes GAAP is that GAAP recommends accrual basis accounting.
Generally accepted accounting principles refers to the standards and accounting rules that are used for financial reporting.The four main principles of GAAP include consistency, objectivity, materiality and prudence. It should also be noted that Generally accepted accounting principles make use of the accrual basis accounting because sales are recorded at the time that they occur. This is vital in providing a better insight into the affairs and the performance of a company.
In conclusion, the correct option is D.
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a mass market approach a. is the process of separating customer groups based on lifestyle. b. assumes the market is just one big segment. c. assumes every customer is their own segment. d. is the process of separating customer groups based on location.
Answers
A mass request approachD. assumes the request is just one big member.
Mass marketing is a marketing strategy in which a company decides to ignore request member differences and appeal to the whole request with a single offer or plan, with the thing of propagating a communication to the topmost number of people doable.
Traditionally, mass marketing reckoned on radio, TV, and journals to reach this large followership. Exposure to the product is maximized by reaching the widest possible followership, which in principle should directly relate with a advanced number of deals or purchases of the product.
Mass marketing is the polar contrary of specialty marketing in that it emphasizes big deals and low pricing while trying to deliver particulars and services that will appeal to the whole request.
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If a company mistakenly counts less items during a physical inventory than actually exist, how will the error affect the cost of merchandise sold?.
Answers
The error will be declared as overstated.
What is overstated?
If an account or a figure on an account is inflated, the amount represented on the financial statement will be more than it should be.
Auditors will question the board of directors of the corporation to explain why non-current assets in the accounts were exaggerated and not represented at their recoverable amount.
Preproduction expenses for the fiscal year 2010 were inflated by almost $4 million, totaling $55.4 million.
If an account or a figure on an account is inflated, the amount represented on the financial statement will be more than it should be.
The phrase "overstated" has two meanings when used by an accountant:
1. The reported sum is inaccurate, and
2. The amount that was reported exceeds what is true or accurate.
Another account will also have an inaccurate balance in a double-entry accounting or bookkeeping system.
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If a company mistakenly counts less items during a physical inventory than actually exist, how will the error affect the cost of merchandise sold?
.One of the most important reasons to map out the process to acquire a paying customer is to understand the length of the sales cycle.
True or false?
Answers
The statement is True. Mapping out the process to acquire a paying customer helps to understand the length of the sales cycle.
Why is it important?This is important because it allows businesses to better allocate resources and plan their sales and marketing strategies accordingly.
By understanding how long it takes to move a prospect through the sales funnel, businesses can adjust their approach to reduce the length of the sales cycle, identify potential bottlenecks, and optimize the customer experience.
Additionally, understanding the length of the sales cycle can help businesses forecast revenue and make more informed decisions about staffing and resource allocation.
In short, mapping out the process to acquire a paying customer is an important step in improving sales performance and growing a business.
Hence, its true.
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