Toledo Tire Company, which has been in business for several years, produces and sells automobile tires, including their all-terrain RP7 tire. The 2018 sales budget for their all-terrain RP7 tire is as follows: Quarter RP7 tires 1 10,000 2 12,000 3 11,000 4 14,000 Per company policy: - management desires an ending inventory of tires each quarter equal to 20% of the next quarter's sales; - sales units of tires in the first quarter of 2019 are expected to be 25% higher than sales for the first quarter of 2018; - beginning inventory of tires on January 1, 2018 is anticipated to be 3,000 units.

Harvey Automobiles uses a standard part in the manufacture of several of its trucks. The cost of producing 60,000 parts is $160,000, which includes fixed costs of $50,000 and variable costs of $110,000. The company can buy the part from an outside supplier for $3.00 per unit, and avoid 30% of the fixed costs. If Harvey Automobiles makes the part, how much will its operating income be?

You run a construction firm. You have just won a contract to build a government office complex. Building it will require an investment of $10.2 million today and $5.1 million in one year. The government will pay you $21.5 million in one year upon the building's completion. Suppose the interest rate is 10.1%. a. What is the NPV of this opportunity? b. How can your firm turn this NPV into cash today? a. What is the NPV of this opportunity? The NPV of the proposal is $ ______________ million. (Round to two decimal places.) b. How can your firm turn this NPV into cash today? (Select the best choice below.) A. The firm can borrow $15.3 million today and pay it back with 10.1% interest using the $21.5 million it will receive from the government. B. The firm can borrow $15.3 million today and pay it back with 10.1% interest using the $19.53 million it will receive from the government. C. The firm can borrow $19.53 million today and pay it back with 10.1% interest using the $21.5 million it will receive from the governmenD. The firm can borrow $24.16 million today and pay it back with 10.1% interest using the $21.5 million it will receive from the governmen

Gitli Company sells its product for $ 55 and has variable cost of $ 30 per unit. The total fixed costs are $ 25 comma 000. What will be the effect on the breakeven point in units if variable cost increases by $ 10 due to an increase in the cost of direct​ materials? (Round your answer up to the nearest whole​ unit.) A. It will decrease by 667 units. B. It will increase by 167 units. C. It will decrease by 167 units. D. It will increase by 667 units.

A stainless steel knife set is one item it stocks. Demand (2,400 sets per year) is relatively stable over the entire year. Whenever new stock is ordered, a buyer must ensure that numbers are correct for stock on-hand and then phone in a new order. The total cost involved to place an order is about $5. RW figures that holding inventory in stock and paying for interest on borrowed capital, insurance, and so on, add up to about $4 holding cost per unit per year.Analysis of the past data shows that the standard deviation of demand from retailers is about four units per day for a 365-day year. Lead time to get the order is seven days.What is the economic order quantity?

Select a company of your choice. Assume that your firm is considering whether to make a component in-house or to outsource it to an independent foreign supplier. Manufacturing the part in-house will require an investment in specialized assets; quality control and the protection of intellectual property rights are major concerns. The most efficient and reliable suppliers are located in countries whose currencies many foreign exchange analysts expect will appreciate in the next decade; likewise, wage rates in those countries are expected to rise. Discuss the pros and cons of manufacturing the component in-house as opposed to outsourcing it. Should the firm consider foreign direct investment as one of its strategies?

In the situation described in the above question, suppose that the Central Bank of Vietnam decides to keep the nominal dong-dollar exchange rate constant indefinitely. Given whatDEP Inc. has determined about the trend in the real exchange rates and assuming that the rate of inflation in the rest of the world remains unchanged, what should one expect to happen to the rate of inflation in Vietnam over the next several years compared to the past?