Answers
Answer:
The name of the product is Coke and this is a Pestel Analysis.
PESTEL is short for Political, Economic, Social, Technological, Environmental, and Legal. All representing factors that can and will impact the operations of any business.
Explanation:
Coca-Cola is a global company with is in the business of providing refreshments to its customers by the sale of Soda or soft drinks. Because of the nature of the product, the industry in which they play is heavily regulated and they must use the best technology in order to stay relevant, competitive, and dominant in the market.
Political factors
One of the regulators to whom Coca-cola must dance to its tune is the Food and Drugs Administration (FDA) a Federal Agency of the Department of Health and Human Services in the US. All Coca-cola product must meet their requirements as stipulated by law. If the laws enforced by FDA changes it could adversely affect the distribution, taxes, accounting, and all other operations of Coca-Cola.
Economical factors
Some economic factors that may affect a business like Coca-cola are:
Interest rates, exchange rates, recession, Inflation, Taxes, Demand / Supply.
One critical factor in this group which the company must be on the lookout for always is changes in taste and demand. Consumers are making a shift globally towards more healthy alternatives to soda. This is because, as the world becomes more sedentary due to shifts in global economic patterns as induced by the pandemic, risk factors relating to health care on the increase. Hence consumers want to ensure that they cut down on foods and beverages that increase their predisposition to conditions such as obesity, cancer, high blood pressure, etc.
To stay relevant and competitive, the company has to seek out healthy drinks that speak to all the various localities (which are over 200 countries).
Social factors
Examples of social factors that can affect a business are:
e-commerce adaptation, purchasing habits, ease of adoption of technology, changes in customer service expectation, the education level of consumers.
The purchasing habit for Coca-cola is changing in lots of countries. People are becoming more predisposed to buying products online. How will that affect the demand for the company's products? Will it increase as online food orders increase? can the company position itself to take advantage of the trend? If yes, then it is making taking advantage of its changing social environment.
Technological factors
Adoption of best-in-class machinery is one of the strategies that has enabled Coca-Cola to achieve higher quality and quantity of its products. Speed of delivery, processes that are optimized for the lowest costs and highest outputs are now being made possible with advances in technology. Coca-cola is taking advantage of technology especially in regions such as Europe.
Legal factors
Product liability, third-party liability, employer-employee (labor) relations, compliance, and regulatory factors are all within the scope of Coca-Cola's legal universe. Constantly managing this space of its operations will keep it from experiencing avoidable erosion of its bottom line and brand equity.
Environmental factors
Companies no longer compete on the basis of profitability alone. Global companies are the target of onslaughts from those who campaign against the degradation of the environment. One way they do so is to discourage the consumption of the goods of a company whose activities are harming the environment.
So companies all over the world are not competing based on the triple bottom line criteria: People, Planet, Profit.
This answers the questions whether
- Coca-cola is in compliance with international best practices as far as labor law is concerned;
- How does the company handle its effluents and wastes? is it just discharging them into the earth without treatment? or is it creatively converting them into economic products? how responsible is the company socially?
- then of course there is the issue of keeping the books in the black
Cheers
Related Questions
On January 1, 2021 M.T. Glass purchased the following investments: 1. 7,500 shares (representing 15%) of ZZ Company stock for $98,000 2. 25,000 shares (representing 40%) of AA Company stock for $440,000 M.T. Glass recorded the sale of some of its investments in 2022 as follows: 1. September 1 sold 5,000 shares of the ZZ Company stock for $76,000 2. December 31 sold 4,000 shares of the AA Company stock for $120,000 AA Company and ZZ Company reported the following information for the years 2021 and 2022: AA Company ZZ Company Net income in 2021 $260,000 $200,000 Dividends paid to M.T. Glass in 2021 $24,000 $15,000 Market value at Dec 31, 2021 $27 per share $22 per share Net income in 2022 $160,000 $225,000 Dividends paid to M.T. Glass in 2022 $41,000 $5,000 Market value at Dec 31, 2022 $24 per share $28 per share Calculate the amount of the realized gain reported in M.T. Glass' 2022 income statement resulting from the sale of the AA Company stock.
The Work-in-Process inventory account of a manufacturing firm shows a balance of $3,960 at the end of an accounting period. The job cost sheets of two uncompleted jobs show charges of $640 and $440 for materials, and charges of $540 and $740 for direct labor. From this information, it appears that the company is using a predetermined overhead rate, as a percentage of direct labor costs, of:
Ten years ago, Hailey invested $2,100 and locked in an annual interest rate of 8 percent for 30 years (ending 20 years from now). Aidan can make a 20-year investment today and lock in an interest rate of 9 percent. How much money should he invest now in order to have the same amount of money in 20 years as Hailey? (
Medicaplus, a pharmaceutical company, is finding it difficult to track and locate slow moving medicines. pharmaceutical distributors have been complaining about the time it takes for their orders to arrive. one technology that can be used effectively to shorten this waiting period, locate, and track items easily is:
Answers
Answer:
$6,600
Explanation:
Depreciation per units-of-production method:
Depreciation per unit = (cost computerized manufacturing machine - salvage value) / machine's useful units of product.
Depreciation per unit = ($84,600 - $6,000) / 393,000 units
Depreciation per unit = $78,600 / 393,000 units
Depreciation per unit = $0.2 per unit
Machine’s second-year depreciation:
Depreciation second-year = depreciation per unit * second-year units of product
Depreciation second-year = $0.2 * 33,300 units
Depreciation second-year = $6,600
Final answer:
The second year's depreciation of machinery used by the company will be calculated using the units-of-production method is $6,836.50.
Explanation:
To determine the machine's second-year depreciation using the units-of-production method, we need to calculate the depreciation per unit and then multiply it by the number of units produced in the second year.
The depreciation per unit can be calculated by subtracting the salvage value from the initial cost and then dividing it by the estimated total units over the useful life of the machine. In this case, the calculation would be:
Depreciation per unit = (Initial cost - Salvage value) / Estimated total units
Substituting the given values:
Depreciation per unit = ($84,600 - $6,000) / 393,000 = $0.205 per unit
Now, we can calculate the machine's second-year depreciation by multiplying the depreciation per unit by the number of units produced in the second year.
Depreciation expense = Depreciation per unit x Number of units produced in the second year
Substituting the given values:
Depreciation expense = $0.205 per unit x 33,300 units = $6,836.50
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⦁ lending a friend $25.00
⦁ opening a savings account at a bank
⦁ checking the price of a camera at several stores before buying it at the lowest price
Answers
One of the properties of money is that it is a unit of account, hence lending a friend $25.00 is the answer because the friend in turn owes you $25.00, which is still your money.
What is money?
Simply put, money is any medium used for the exchange of goods and services, it can be assets, properties, tangible or intangible.It should be noted that one of the earliest systems of money is the Trade by Barter system.
Savings is the most traditional and safe type of investment. It is the most suitable for the conservative investor, who is not willing to take risks. Almost all commercial banks offer this type of investment and you don't need to be an account holder to invest.
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Answers
Answer:
80
Explanation:
According to the given situation, the computation of n is shown below:-
EXP[27.72δ]=2
δ =0.025
m = 1 ÷ 2
(1 + 0.025 ÷ (1 ÷ 2))^n ÷ 2 = 7.04
n ÷ 2 × ln(1.05)=ln(7.04)
n ÷ 2=40
n = 80
Therefore for computing the n we simply applied the above formula i.e. by considering all the information given in the question
Hence,the n is 80
To find the number of years it takes for an investment of $1 to increase to $7.04 at a nominal rate of interest numerically equal to δ and convertible once every two years, we can use the formula A = P(1 + r/m)^mt. Using this formula, we can solve for t by substituting the given values into the equation and solving for t using logarithms.
To find n, the number of years it takes for an investment of $1 to increase to $7.04 at a nominal rate of interest numerically equal to δ and convertible once every two years, we can use the formula:
A = P(1 + r/m)mt
Where A is the final amount, P is the initial investment, r is the nominal rate of interest, m is the number of times interest is compounded per year, and t is the number of years.
In this case, A = $7.04, P = $1, r = δ, and m = 2 (since it is convertible once every two years). Using this information, we can solve for t:
$7.04 = $1(1 + δ/2)2t
Divide both sides by $1:
7.04 = (1 + δ/2)2t
Take the logarithm of both sides:
log(7.04) = log((1 + δ/2)2t)
Apply the power rule of logarithms:
log(7.04) = 2t * log(1 + δ/2)
Divide both sides by 2 * log(1 + δ/2):
t = log(7.04) / (2 * log(1 + δ/2))
Plug in the value of δ to find the value of t.
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a. Is this a fair deal for you? Justify your answer with an engineering economics analysis and discussion of the situation by calculating the Net Present Value (NPV) for the scenario.
b. Draw a Cash Flow Diagram for this situation.
Answers
Answer:
a. It is not a fair deal for me.
The question is how much is $1,000 today when received in 12 months' time from now. The present value of $1,000 at 5% effective interest rate is $952 ($1,000 * 0.952). The other repayment of $1,100 in 2 years' time from now is worth $997.70 today at the 5% effective interest rate. This implies that my friend is repaying me $1,949.70 in present value terms.
For friendship sake, I may lend her the money, but in economic analysis terms, the NPV value will yield a negative value of $50.30 ($2,000 - $1,949.70). My friend is not actually paying me back the amount I would lend to her. She is paying me less than I actually would lend to her.
b. Cash Flow Diagram:
Year 1 Year 2
F1 F2
$1,000 $1,100 (Inflows)
Fo⇵.................⇵.......................⇵...........................⇵n period
Year 0
$2,000 (outflows)
Explanation:
The cash flow diagram for this loan is the graphical representation of the timing of the cash flows with a clear marking of the repayments made by my best friend in two instalments and the $2,000 that I lent to her. This cash flow diagram presents the flow of cash as arrows on a timeline scaled to the magnitude of the cash flow, where outflows are down arrows and inflows are up arrows.
The Net present value (NPV) of this loan shows the difference between the present value of repayments by my best friend and the present value of $2,000 that I lent to her over a period of 2 years. To obtain this difference, the present values of cash inflows of $1,000 in a year's time and $1,100 in two years' time are determined using the discount factor table based on the given interest rate of 5%.
Answers
Answers
Answer:
1.267 = Overhead Rate
Explanation:
As general approach, the manufacturing rate, along with any rate is done by dividing the cost by a cost driver.
In this case teh cost is the manufacturing overhead and the cost driver the direct materials cost:
Using Direct Materials cost, the rate would be: