Houston-based Advanced Electronics manufactures audio speakers for desktop computers. The following data relate to the period just ended when the company produced and sold 40,000 speaker sets:
| Sales | $ | 3,280,000 | |
| Variable costs | 820,000 | ||
| Fixed costs | 2,310,000 | ||
Management is considering relocating its manufacturing facilities to northern Mexico to reduce costs. Variable costs are expected to average $18.00 per set; annual fixed costs are anticipated to be $1,986,000. (In the following requirements, ignore income taxes.)
Required:
Calculate the company’s current income and determine the level of dollar sales needed to double that figure, assuming that manufacturing operations remain in the United States. (Do not round intermediate calculations and round your final answers to nearest whole dollar.)
Calculate the company’s current income and determine the level of dollar sales needed to double that figure, assuming that manufacturing operations remain in the United States. (Do not round intermediate calculations and round your final answers to nearest whole dollar.)
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Determine the break-even point in speaker sets if operations are shifted to Mexico. (Do not round intermediate calculationsand round your final answer up to nearest whole number.)
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Assume that management desires to achieve the Mexican break-even point; however, operations will remain in the United States.
a. If variable costs remain constant, by how much must fixed costs change? (Round your intermediate unit calculations to the nearest whole number and round your final answers to the nearest whole dollar.)
b. If fixed costs remain constant, by how much must unit variable cost change? (Round your intermediate unit calculations to the nearest whole number and round your final answer to 2 decimal places.)
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Determine the impact (increase, decrease, or no effect) of the following operating changes.
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In: Accounting
Most motivation theories in use today were developed in the
United States by Americans and about
Americans. Of those that were not, many have been strongly
influenced by American theories. But
several motivation theories do not apply to all cultures. For
example, Maslow’s theory does not often
hold outside the United States. In countries higher on uncertainty
avoidance (such as Greece and Japan)
as compared with those lower on uncertainty avoidance (such as the
United States), security motivates
employees more strongly than does self-actualization. Employees in
high-uncertainty-avoidance
countries often consider job security and lifetime employment more
important than holding a more
interesting or challenging job. Also contrasting with the American
pattern, social needs often dominate
the motivation of workers in countries such as Denmark, Norway, and
Sweden that stress the quality of
life over materialism and productivity.
When researchers tested Herzberg’s theory outside the United
States, they encountered different
results. In New Zealand, for example, supervision and interpersonal
relationships appear to contribute
significantly to satisfaction and not merely to reducing
dissatisfaction. Similarly, researchers found that
citizens of Asia, Canada, Europe, Latin America, the Republic of
Panama, and the West Indies cited certain
extrinsic factors as satisfiers with greater frequency than did
their American counterparts. In other
words, the factors that motivate U.S. employees may not spark the
same motivation in employees in
other cultures. Some of the major differences among the cultural
groups include the following:
1. English-speaking countries such as England and the United States
rank higher on individual
achievement and lower on the desire for security.
2. French-speaking countries and areas such as France and the
province of Quebec in Canada,
although similar to the English-speaking countries, give greater
importance to security and
somewhat less to challenging work.
3. Northern European countries such as Sweden have less interest in
getting ahead and work towards
recognition goals and place more emphasis on job accomplishment. In
addition, they have more
concern for people and less for the organization as a whole (it is
important that their jobs not
interfere with their personal lives).
4. Latin American and Southern European countries find individual
achievement somewhat less
important; Southern Europeans place the highest emphasis on job
security, whereas both groups of
countries emphasize fringe benefits.
5. Germany ranks high on security and fringe benefits and among the
highest on getting ahead.
6. Japan, although low on advancement, also ranks second-highest on
challenge and lowest on
autonomy, with a strong emphasis on good working conditions and a
friendly working environment.
Critical Thinking Questions
1. In today’s global business environment, with its
diversity of perspectives, can a manager ever
successfully use equity theory? Why or why
not?
2. What impact, if any, do these cultural differences have
on managers managing an entirely American
workforce? Explain.
I need help with both questions
In: Operations Management
Implementation strategy of Ashland University MBA program
Strategic Planning and Business Policy
In: Operations Management
In a sample of 1000 recent MBA graduates, 700 said they earn over $100,000 per year, 300 said that 100% of their health insurance premiums are paid by the company for which they work, and 100 said that they neither earn over $100,000 per year, nor does their company pay 100% of their health insurance premiums. Compute the probability of a recent MBA graduate earning over $100,000 per year and having 100% of their health insurance premiums.
In: Statistics and Probability
In: Psychology
Suppose that GMAT scores of all MBA students in Canada are normally distributed with a mean of 550 and a standard deviation of 120.
a. A university (that is representative of the MBA students in the U.S.) claims that the average GMAT scores of students in its MBA program are at least 550. You take a sample of 121 students in the university and find their mean GMAT score is 530. Can you still support the University’s claim? Test at 5% significance level. Interpret the test result.
b. Calculate the p-value for the test in part (a). If the hypothesis was to be tested at 10% significance level instead of 5% would your answer to part (a) change? Explain why without actually conducting the test.
c.Do you need the assumption that “GMAT scores of all MBA students in the U.S. are normally distributed” to answer part (a) or (b)? Explain.
d. You discover that the population standard deviation you’ve been using is actually the sample standard deviation. All other sample information holds. If you were still conducting the hypothesis test as you set up in part (a), would your test statistic/ distribution change? How?
And would you need the assumption of normality of the population now? Why?
In: Statistics and Probability
ENMA 480: ETHICS AND PHILOSOPHY FOR ENGINEERING APPLICATIONS
Cigarettes kill more
than 400,000 Americans
each year, which is
more than the
combined deaths caused
by alcohol and drug
abuse, car accidents,
homicide, suicide, and
acquired immunodeficiency
syndrome
(AIDS). Cigarette companies
do much good by
providing jobs (Philip
Morris employs more
than 150,000
people worldwide), through
taxes (more than $4
billion paid by
Philip Morris in a
typical year), and
through philanthropy. Most
new users of
cigarettes in the
United States are
teenagers (younger than
eighteen years of
age). There is
disagreement over just
how addictive cigarettes
are, but adults
have
some choice in
deciding whether to
continue using cigarettes,
and they may choose
to continue using
for
reasons beyond the
addictive potential of
nicotine.
Can utilitarianism provide
a moral justification
for engineers who
work for tobacco
companies, for
example, in designing
cigarette- making machinery? In
your answer take
account of the
following facts
(and others you may
be aware of).
(Roger Roseblatt, “How
Do Tobacco Executives
Live with Themselves?”
New York Times
Magazine, March 20,
1994, 34–41, 55)
In: Civil Engineering
United States Steel Corporation has a receivables collection period of thirty three days, a days inventory of sixty-eight days, and a payables period of forty-nine days. How long is its funding gap?
| a. |
-14 days |
| b. |
52 days |
| c. |
84 days |
| d. |
150 days |
In: Finance
Assume that you buy some shares of Nokia in the United States in dollars. Your friend in France buys some Nokia shares in Europe in euros. Will your rate of return over the next year be the same as your friend’s? Is your market beta risk different from your friend’s risk? Explain.
In: Finance
Explain the three types of exchange rate systems: free-floating, managed, and fixed. Discuss the differences between them. What are the advantages and disadvantages of each system? Which system is the United States currently operating? Do you think the U.S. should change the type of exchange rate system? Why or why not?
In: Economics