Posted on

OPMA 3306 Operations Management Mid Term Exam Answer

OPMA 3306 Operations Management Mid Term Exam Answer

OPMA 3306 Operations Management Mid Term Exam Answer

Review Test Submission: Winter 2014 Intersession Mid-Term
Question 1

Two managers are debating the consequences of adding something – we’ll call it “Component X” – to their firm’s product-service bundle. Pat says that adding Component X is going to really improve the firm’s business.

Francis says that adding Component X is necessary just to keep up with competitors. If Pat is right, that means Component X is a(n) ____________. If Francis is right, that means Component X is a(n)
_______________.

Answers: A. Order-winner; order-qualifier

B. Order-qualifier; order-winner

C. Order-quantifier; order-qualifier

D. Advantage-sustainer; advantage-eroder

E. Advantage-eroder; advantage-sustainer

Question 2

It costs $115 to place an order for inventory item Q54 regardless of the order quantity. Item Q54’s purchase cost is $29.22, and demand for Q54 is 50 units per month. Holding cost (annual) for Q54 is estimated at 15% of

the purchase cost. What is the optimum time between orders for Q54?

Answers: A. Not in excess of 2 months

B. In excess of 2 months but not in excess of 3 months

C. In excess of 3 months but not in excess of 4 months

D. In excess of 4 months but not in excess of 5 months

E. In excess of 5 months

Question 3

Actual and forecasted demand for the last six periods was as follows:
Period Demand Forecast
1 60 63

2 58 54

3 64 70

4 56 58

5 66 67
6 62 54

What was MAPE in this scenario?

Answers: A. Not in excess of 1.0%

B. In excess of 1.0% but not in excess of 1.1%

C. In excess of 1.1% but not in excess of 1.2%

D. In excess of 1.2% but not in excess of 1.3%

E. In excess of 1.3%
Question 4

A decision-maker has to choose from among four mutually exclusive capacity options. Each option has a payoff associated with future demand states. The options and associated payoffs (in $millions) are as follows:
Options
Demand Standing Small Subcontract Large
States Pat Expansion Hybrid Expansion
Slow -5.0 1.0 -2.0 -6.0

Modest 0.0 3.0 4.0 -3.0

Booming 0.0 4.5 4.0 7.0

Suppose that the probability of a Booming demand state is 0.3. Further suppose that the Slow and Modest demand states are equally likely. What would be the expected value of perfect information in this scenario?

Answers: A. Not in excess of $1 million

B. In excess of $1 million but not in excess of $1.05 million

C. In excess of $1.05 million but not in excess of $1.08 million

D. In excess of $1.08 million but not in excess of $1.09 million

E. In excess of $1.09 million

Question 5

Which of the following is factor underpinning the flow shop’s advantage over the job shop?

Answers: A. Ease of changeover to accommodate greater product variety

B. Efficiencies in per-unit variable cost made possible by special-purpose equipment

C. Small batch quantities that facilitate marketing to more heterogeneous market Segments

D. Both A and C

E. None of the above

Question 6

Marketing has forecast that at almost any reasonable price annual demand for a new product will be for 8,000 units. Production of this product will generate $12,000 per year in fixed costs, with a variable cost per unit of

$4.50. At what minimum price would producing/selling this item become a profitable endeavor?

Answers:

A. Not in excess of $4.25

B. In excess of $4.25 but not in excess of $6.50

C. In excess of $6.50 but not in excess of $8.75

D. In excess of $8.75 but not in excess of $11.00

E. In excess of $11.00

Question 7

Suppose two forecasting methods – call them FM1 and FM2 – are being compared. FM1’s MAD and MAPE are smaller than FM2’s. FM2’s MSE is smaller than FM1’s. If FM2 is determined to be the better choice, this

must mean that in this situation:

Answers: A. Avoiding the occasional large error is important

B. Major changes in the fundamental demand pattern are expected in the future

C. Demand is expected to become less variable in the future

D. Fundamental changes in seasonal patterns have occurred

E. None of the above

Question 8

The following decision tree has been mapped out to help Sammy choose among three courses of action:

If Sammy chooses Option A over the others because Option A is “the least risky,” he’ll be passing up how much in expected value?

Answers: A. Not more than $10

B. More than $10 but not more than $30

C. More than $30 but not more than $50

D. More than $50 but not more than $70

E. More than $70

Question 9

If, for a given productive resource, you take into account things like the product mix and maintenance requirements, you are estimating ___________ rather than __________ capacity.

Answers: A. Pure; reactive

B. Theoretical (design); efficient

C. Forecasted; actual

D. Smoothed; random

E. Effective; theoretical (design)

Question 10

An analyst is evaluating two time-series forecasting techniques. Using data from the past, she notes that technique B would have performed better than technique A over the evaluation period. If she goes ahead and chooses

technique B for future use, she must therefore be confident that __________.

Answers:

A fundamental assumption of time-series forecasting is invalid in this setting

B. Unprecedented trends or cycles will emerge in the future

C. Random variation is increasing in this time series

D. Important predictor variables are missing from Technique A

E. None of these

Question 11

Which of the following statements about the difference between services and manufactured goods is most appropriate?

Answers: A.

Services tend to involve tangible transformations to a greater degree than do manufactured goods.

B. None of the above statements is appropriate.

C. Manufactured goods tend to be produced for distinct, local markets, while services tend

to be produced and marketed for broad geographic regions.

D. In manufacturing, production and consumption can be greatly separated across time or

distance; in services, production and consumption often occur in close proximity.

E. Producing manufactured goods tends to be more labor-intensive than does producing

services.

Question 12

For a given inventory item, the appropriate risk of a stockout has been determined to be 12%. Demand for this item averages 20 units per week, with a standard deviation of 5.36 units. Lead time is a certain 3 weeks. What

is the appropriate reorder point?

Answers: A. Not in excess of 68 units

B. In excess of 68 units but not in excess of 70 units

C. In excess of 70 units but not in excess of 72 units

D. In excess of 72 units but not in excess of 74 units

E. In excess of 74 units

Question 13

A forecasting analyst has available the following data from previous time periods:

Actual

Month Demand

June 612

July 594

August 598

September 606

Exponential smoothing with a = 0.4 is used. Assuming the May forecast was for 607, October’s

forecast would be

Answers: A. 623.0

B. 609.0

C. 607.0

D. 603.0

E. Can’t be determined with this information

Question 14

A forecasting analyst has available the following data from previous time periods:

Actual

Month Demand

June 612

July 594

August 598

September 606

What would the October forecast be if a two-period moving average were used?

Answers: A. 603.0

B. 602.0

C. 607.0

D. 623.0

E. 609.0

Question 15

PTC is manufacturing and assembling a small number of complex catalytic winders. The first winder requiredm500 direct labor-hours, and it looks as if the second will require only 475. If a total of four winders are ultimately

manufactured and assembled, what will be the total direct labor requirements?

Answers:

A. Not more than 1,800 hours

B. More than 1,800 hours but not more than 1,810 hours

C. More than 1,810 hours but not more than 1,840 hours

D. More than 1,840 hours but not more than 1,890 hours

E. More than 1,890 hours

Question 16

Suppose that last year it cost $12 to hold a unit in inventory for a year. If this year holding cost will be $14 but everything else remains the same, which of the following must be true?

Answers: A. The optimum order quantity will increase

B. The optimum order quantity will remain unchanged

C. The optimum order quantity will double

D. The optimum order quantity will decrease

E. None of the above

Question 17

If everything goes right, it takes six minutes to assemble a squidgeroo. The employee responsible for assembling the squidgeroo works an eight-hour shift, but the work center must be shut down for four minutes three times

per shift for required maintenance. For the most recent eight-hour shift worked, output was 74 units. What was utilization?

Answers: A. Not in excess of 90%

B. In excess of 90% but not in excess of 92%

C. In excess of 92% but not in excess of 94%

D. In excess of 94% but not in excess of 96%

E. In excess of 96%

Question 18

It would be difficult to classify most firms as either “pure service” or “pure manufacturer.” This is because most of what’s sold in today’s economy can be categorized as ___________.

Answers: A. Outsourced

B. Green

C. Product-service bundles

D. Order qualifying

E. Order winning

Question 19

When demand grows or diminishes at a predictable rate over some period of time, that is referred to

Answers: A. Cyclicality

B. Trend

C. Seasonality

D. Exponentiality

E. None of the above

Question 20

In industry X, customers are becoming less interested in product variety and more interested in a low price. Process choice in this industry should be trending more toward the ___________ end of the process continuum

and away from the ___________ end of the process continuum.

Answers: A. Job shop; flow shop

B. Process shop; product shop

C. Flow shop; job shop

D. Project shop; process shop

E. Batch shop; queue shop

Question 21

A decision-maker has to choose from among four mutually exclusive capacity options. Each option has a payoff associated with future demand states. The options and associated payoffs (in $millions) are as follows:

Options

Demand Standing Small Subcontract Large

States Pat Expansion Hybrid Expansion

Slow -5.0 1.0 -2.0 -6.0

Modest 0.0 3.0 4.0 -3.0

Booming 0.0 4.5 4.0 7.0

Suppose that the probability of a Booming demand state is 0.3. Further suppose that the Slow and Modest demand states are equally likely. What would be the expected value of the option that should be chosen?

Answers:

Not in excess of $1.75 million

B. In excess of $1.75 million but not in excess of $2.15 million

C. In excess of $2.15 million but not in excess of $2.65 million

D. In excess of $2.65 million but not in excess of $3.15 million

E. In excess of $3.15 million

Question 22

Process choice J has monthly fixed costs of $10,000 and variable costs of $25 per unit. Process

choice K has monthly fixed costs of $13,000 and variable costs of $24 per unit. Which of the

following statements is correct?

Answers: A. Process J is the better choice so long as monthly demand is less than 2,800 units.

B. Process K is the better choice so long as monthly demand exceeds 3,000 units.

C. Process J is the better choice so long as annual demand is in excess of 40,000 units.

D. Process J and K have identical costs at an annual demand of 15,000 units.

E. None of the above statements is accurate.

Question 23

If a firm chooses to structure its processes at the flow shop end of the process continuum, that firm typically will be pursuing ___________ with ____________ technology.

Answers: A. Disceconomies of scope; general-purpose but labor-intensive

B. Economies of scale; specialized but capital-intensive

C. Economies of scale; general-purpose but labor-intensive

D. Economies of variation; flexible but capital-intensive

E. Economies of decentralization; rigid but labor-intensive

Question 24

Which of the following is a factor in determining the reorder point for an inventory item?

A. the item’s EOQ

B. the design capacity of the item’s work center

C. the item’s utilization

D. the item’s learning rate

E. none of the above are factors

Question 25

Every morning a florist must decide how many dozens of roses to stock. Roses have a shelf life f only one day, but at the end of the day unsold roses have a salvage value of $2 per dozen. Roses have a wholesale cost of $5

per dozen and a retail value of $19 per dozen. Historically, demand for roses has never been less than 20 dozen and never been in excess of 25 dozen, and demand for roses has been evenly distributed across this range

(i.e., the probability of demand’s being for 20 dozen is equal to the probability of it’s being for 21 dozen, and so on). What is the optimum stocking quantity?

Answers: A. We would be indifferent between 22 dozen and 23 dozen

B. Not in excess of 22 dozen

C. 24 dozen

D. 22 dozen

E. Cannot be determined without more information

Question 26

Suppose annual demand for a given item is 1,200 units. For this item, ordering cost is $60 and the annual cost of holding a unit in inventory is $10. Further suppose that currently this item is ordered in quantities of 120.

How much money would be saved by switching to an optimal order quantity?

Selected Answer: A. Not in excess of $100

Answers: A. Not in excess of $100

B. In excess of $100 but not in excess of $200

C. In excess of $200 but not in excess of $600

D. In excess of $600 but not in excess of $1,000

E. In excess of $1,000

Question 27

For a given inventory item, demand averages 30 units per week, with a standard deviation of 4.2 units. Lead time for this item is a constant 3 weeks, and based on this lead time the reorder point has been set at 100 units.

What is the stockout risk associated with this particular reorder point?

Answers: A. Not in excess of 5%

B. In excess of 5% but not in excess of 6.5%

C. In excess of 6.5% but not in excess of 8%

D. In excess of 8% but not in excess of 9.5%

E. In excess of 9.5%

False

For getting the instant digital download answer, Please click on the “PURCHASE” link below to get “OPMA 3306 Operations Management Mid Term Exam Answer”.

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

OPMA 3306 Operations Management Mid Term Exam Answer

Posted on

BUSN 410 Mid Term Complete A+ Answer

BUSN 410 Mid Term Complete A+ Answer

BUSN 410 Mid Term Complete A+ Answer
1. Critical thinking skills are important in ________________.
A. assessing the validity of arguments
B. creative problem solving
C. assessing the validity of opinions
D. All of the above
E. None of the above
2. The “method of belief” prescribes that one put aside beliefs and begin examining an argument from a position of skepticism.
True
False
3. In collaborative learning, one considers the opposition’s position and feedback in decision making.
True
False
4. Poor critical thinking skills contribute to low self-esteem.
True
False
5. ____________ and ____________ are barriers to critical thinking.
A. Wanting to be right…defense mechanisms
B. Premature analysis…clichés
C. Limited experience…avoidance
D. Ignorance…ingratiation
E. None of the above
6. Reason is best applied when emotions are completely excluded.
True
False

7. __________ is the belief that knowledge can come from revelation or reason, and that there are no logical inconsistencies between them.
A. Fideism
B. Rationalism
C. Critical rationalism
D. Emotionalism
8. Empathetic people are more open to others’ views.
True
False

9. For effective communication, it is important to understand the differences between the denotative and connotative meaning of a word or phrase.
True
False
10. ____________ are used to ensure the standardization of data collection and interpretation.
A. Lexical definitions
B. Persuasive definitions
C. Operational definitions
D. Denotative definitions
E. None of the above
11. You are out for the evening with a group of friends. One member of the group wants to move to a different venue, but does not tell you. Instead, he is sulking, but states that, “The venue is up to the group.” This is an
example of ___________ communication.
A. assertive
B. aggressive
C. passive
D. passive-aggressive
E. None of the above
12. Emotive language is often used to manipulate.
True
False
13. ____________, like “addictive disease” instead of “drug abuse”, serves to sugarcoat the truth.
A. Dysphemisms
B. Hyperboles
C. Sarcasm
D. Euphemisms
E. None of the above
14. _________ occurs when individuals in an organization embrace behaviors or ideas that they would not otherwise espouse.
A. Diffusion
B. Polarity
C. Groupthink
D. Isolation
E. None of the above
15. Firsthand experience is always a credible source of evidence.
True
False
16. Which of the following websites is the most credible source of evidence?
A. www.snopes.com
B. www.consumers.org
C. www.bea.gov
D. www.productreviews.net
E. All are reliable sources.
17. Cognitive and social errors can distort expectations and lead to disadvantageous behavior.
True
False
18. “This location has lots of foot traffic.” In the sentence, the word “lots” is _________.
A. a fallacy of accent
B. an equivocation
C. an amphiboly
D. a fallacy of division
E. a fallacy of composition
19. Every terrorist in the 9/11 attacks was a Muslim, so all Muslims should require additional security checks at the airport. This is an example of what argument fallacy?
A. ad hominem
B. amphiboly
C. fallacy of division
D. fallacy of composition
E. fallacy of accent
20. “If you don’t attend church every Sunday, you’ll burn in Hell.” This is an example of __________.
A. popular appeals
B. a straw man fallacy
C. Scare tactics
D. a red herring
E. None of the above
21. “If we legalize marijuana, people will want to legalize other drugs as well.” This is an example of ________.
A. a false dilemma
B. a slippery slope
C. a naturalistic fallacy
D. an inappropriate appeal to authority
E. None of the above
22. ___________ is known as the “art of persuasion”.
A. Inductive argument
B. Equivocation
C. Rationalization
D. Rhetoric
E. None of the above
23. Consider these two statements:
1. The triangle has three equal sides.
2. Angle A and angle B of the triangle are each 90 degrees.

In determining the measurement of angle C, one could say that the two statements are __________.
A. arguments with independent premises
B. arguments with dependent premises
C. arguments with an unstated conclusion
D. arguments with a sub conclusion
E. None of the above
24. In analyzing an argument, it is important to identify the premises and the conclusion.
True
False
25. “Complete” arguments address all relevant premises and conclusions.
True
False

For getting the instant digital download answer, Please click on the “PURCHASE” link below to get “BUSN 410 Mid Term Complete A+ Answer”.

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

BUSN 410 Mid Term Complete A+ Answer

Posted on

PSY 550 Midterm Exam Short Answer and Essay Questions Answers

PSY 550 Midterm Exam Short Answer and Essay Questions Answers

PSY 550 Midterm Exam Short Answer and Essay Questions Answers

PSY 550 Midterm

Short Answers

The 25 questions below are worth 4 points each.

1. What is the key difference between psychological testing and psychological assessment?

2. Name three estimates of a test’s inter-item consistency.

3. From the intelligence test data he gathered at Ellis Island, Henry Goddard concluded that many of the people attempting to immigrate to the United States were “feebleminded.” What was this claim based on?

4. What do test developers do to address test-taker guessing?

5. In order to conduct research using human subjects, a university requires researchers to complete an online ethics course and then correctly respond to all of the items of the test on that material. What kind of test could this

BEST be characterized as?

6. As compared to one-on-one and face-to-face assessments, what is one disadvantage of CAPA?

7. According information presented in the modules, what are at least two characteristics about psychological traits?

8. The U.S. Navy is highly selective when it comes to applications for Navy SEAL training. What kind of distribution of test scores on a Navy SEAL Qualifying and Screening Examination administered to a class of high

school seniors would be expected to yield?

9. Describe an anchor protocol.

10. What is a halo effect?

11. Why is a normal distribution of scores desirable?

12. Give an example of an incidental sample.

13. What kind of utility analysis is most likely to be utilized when the purpose is the answer some finance-related question with a dollars-and-cents?

14. What need did the first group intelligence testing fulfill?

15. What is the relationship between test reliability and standard error of measurement?

16. Jana takes a personality test administered by the True Compatibility Dating Service.

According to the personalized, computerized personality profile that results, Jana learns that her need for exhibitionism is much greater than her need for stability.Since the test analyzes data only with regard to Jana, and no other client of the dating service, what kind of scoring was utilized?

17. What kinds of concerns or issues arise if accommodation is made for the purpose of administering a test?

18. What is the ultimate purpose or end point of a utility analysis?

19. The directions for scoring a particular motor ability test instruct the examiner to “give credit if the child holds his or her hands open most of the time.” Because what constitutes “most of the time” is not specifically defined,

directions such as these could result in lowered reliability estimates for what kind of reliability?

20. Give an example of convergent evidence of construct validity.

21. What is coefficient alpha an expression of?

22. If someone tells you what their recently measured “IQ” is, what value is that person most likely giving you?

23. You are interested in developing a test for social adjustment in a college fraternity or sorority. You begin by interviewing persons who had graduated from college after having been a member of a fraternity or sorority for

at least two years. What stage of test development are you in and what would you do next?

24. What factors affect the generalizability of findings from a particular test?

25. Describe the relationship between the cut score and the selection ratio.

Essay Questions

The essay questions below are worth 10 points each.

26. Identify at least three different tools of psychological assessment and review the benefits and liabilities of utilizing these tools.

27. Consider issues of diversity reviewed thus far in the course. Identify and discuss the issues of diversity related to psychological assessment and rights of test-takers with someone of a different culture, language

background, and ability.

28. Describe the forms and sources of error and how error contributes to reliability.

29. Part of test utility includes cut scores. Describe two kinds of cut scores, two ways that cut scores are established, and at least two different problems that can arise with cut scores.

30. Compare and contrast what makes a good test with what makes a good test item.

For getting the instant digital download answer, Please click on the “PURCHASE” link below to get “PSY 550 Midterm Exam Short Answer and Essay Questions Answers”.

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

PSY 550 Midterm Exam Short Answer and Essay Questions Answers

Posted on

DeVry ECON 312 Mid-term Exam Complete A+ Answer

DeVry ECON 312 Mid-term Exam Complete A+ Answer

DeVry ECON 312 Mid-term Exam Complete A+ Answer

Question 1.1. (TCO 1) What is the economic meaning of the expression that “There is no such thing as a free lunch?” (Points : 3)

a. It refers to “free-riders,” who do not pay for the cost of a product but who receive the benefit from it.

b. It means that economic freedom is limited by the amount of income available to the consumer.

c. It means that there is an opportunity cost when resources are used to provide “free” products.

d. It indicates that products only have value because people are willing to pay for them.

Question 2.2. (TCO 1) Henry wants to buy a book. The economic perspective suggests that Henry will buy the book if (Points : 3)

a. the book will give him utility.

b. his income is high.

c. the marginal cost of the book is greater than its marginal benefit.

d. the marginal benefit of the book is greater than its marginal cost.

Question 3.3. (TCO 1) Which situation would most likely cause a nation’s production possibilities curve to shift inward? (Points : 3)

a. The construction of more capital goods

b. An increase in discrimination based on race

c. An increase in the number of skilled immigrant workers

d. The destruction from bombing and warfare in a losing military conflict

Question 4.4. (TCO 1) Which expression is another way of saying “marginal cost”? (Points : 3)

a. Scarce resources

b. Additional cost

c. Opportunity cost

d. Unrecognized cost

Question 5.5. (TCO 1) Which is not a factor of production? (Points : 3)

a. Money

b. Land

c. Labor

d. Capital

Question 6.6. (TCO 1) Another term for capitalism is (Points : 3)

a. the command system.

b. the socialist economy.

c. the market system.

d. the system of inputs and outputs.

Question 7.7. (TCO 1) Markets in which firms sell their output of goods and services are called (Points :

a. resource markets.

b. product markets.

c. command markets.

d. mixed markets.

Question 8.8. (TCO 1) Consumers express self-interest when they (Points : 3)

seek the lowest price for a product.

reduce business losses.

collect economic profits.

search for jobs with the highest wages.

Question 9.9. (TCO 1) Which is not one of the five fundamental questions that an economy must deal with? (Points : 3)

How will the goods and services be produced?

Why should the goods and services be produced?

Who is to receive the goods and services produced in the economy?

In what ways will progress be promoted?

Question 10.10. (TCO 1) A characteristic of centrally planned economies is that (Points : 3)

the price is relatively unimportant in allocating resources.

output reflects the pattern of consumer spending.

income is fairly distributed among individuals.

there are many incentives for innovation and hard work.

Question 11.11. (TCO 2) The quantity demanded of a product increases as its price declines because the (Points : 3)

lower price shifts the demand curve rightward.

lower price shifts the demand curve leftward.

lower price results in an increase in supply.

demand curve is downsloping.

Question 12.12. (TCO 2) A surplus of a product will arise when price is (Points : 3)

a. above equilibrium with the result that quantity demanded exceeds quantity supplied.

b. above equilibrium with the result that quantity supplied exceeds quantity demanded.

c. below equilibrium with the result that quantity demanded exceeds quantity supplied.

d. below equilibrium with the result that quantity supplied exceeds quantity demanded.

Question 13.13. (TCO 2) Which of the following is a consequence of rent controls established to keep housing affordable for the poor? (Points : 3)

a. Less rental housing is available as prospective landlords find it unprofitable to rent at restricted prices.

b. The quality of rental housing declines as landlords lack the funds and incentive to maintain properties.

c. Apartment buildings are torn down in favor of office buildings, shopping malls, and other buildings where rents are not controlled.

d. All of the above are consequences of rent controls.

Question 14.14. (TCO 2) A headline reads “Lumber Prices Up Sharply.” In a competitive market, this situation would lead to a(n) (Points : 3)

increase in the price and quantity of new homes.

decrease in the price and quantity of new homes.

increase in the price of new homes and decrease in quantity.

decrease in the price of new homes and increase in quantity.

Question 15.15. (TCO 2) Two months ago, the Marbury Shirt company sold 200 shirts at $30 per shirt. Last month, the company raised its price to $35 per shirt and sold 300 shirts. Evidently the company experienced a(n) (Points : 3)

decrease in demand.

increase in demand.

decrease in supply.

increase in supply.

Question 16.16. (TCO 2) If the price-elasticity coefficient for a good is .75, the demand for that good is described as (Points : 3)

a. normal.

b. elastic.

c. inferior.

d. inelastic.

Question 17.17. (TCO 2) Total revenue falls as the price of a good is raised, if the demand for the good is (Points : 3)

elastic.

inelastic.

unitary elastic.

perfectly elastic.

Question 18.18. (TCO 2) You are the sales manager for a software company and have been informed that the price elasticity of demand for your most popular software is less than 1. To increase total revenues, you should: (Points : 3)

increase the price of the software.

decrease the price of the software.

hold the price of the software constant.

increase the supply of the software.

Question 19.19. (TCO 2) A state government wants to increase the taxes on cigarettes to increase tax revenue. This tax would only be effective in raising new tax revenues if the price elasticity of demand is (Points : 3)

unity.

elastic.

inelastic.

perfectly elastic.

Question 20.20. (TCO 2) Movie theaters charge lower prices to see a movie in the afternoon than in the evening because there is an (Points : 3)

inelastic supply of movies in the evening.

elastic demand to see movies in the evening.

elastic demand to see movies in the afternoon.

inelastic demand to see movies in the afternoon.

Question 21.21. (TCO 3) Which would be an implicit cost for a firm? The cost (Points : 3)

of worker wages and salaries for the firm.

paid for leasing a building for the firm.

paid for production supplies for the firm.

of wages foregone by the owner of the firm.

Question 22.22. (TCO 3) Economic profits are equal to (Points : 3)

total revenues minus fixed costs.

total revenues minus the costs of raw materials.

total revenues minus the opportunity costs of all inputs.

gross profit minus selling and operating expenses.

Question 23.23. (TCO 3) The long run is a period of time, or a time frame, in which (Points : 3)

all resources are fixed.

the level of output is fixed.

the amount of all resources can be varied.

the capacity of the production plant is fixed.

Question 24.24. (TCO 3) Variable costs are (Points : 3)

sunk costs.

costs that change every day.

costs that change with the level of production.

the change in total cost due to the production of an additional unit of output.

Question 25.25. (TCO 3) At an output of 20,000 units per year, a firm’s variable costs are $80,000 and its average fixed costs are $3. The total costs per year for the firm are: (Points : 3)

$80,000.

$100,000.

$140,000.

$240,000.

Question 26.26. (TCO 3) A fast-food company spends millions of dollars to develop and promote a new hamburger on its menu only to find that consumers won’t buy it because they don’t like the taste. From an economic perspective, the company should (Points : 3)

keep the hamburger on the menu because they’ve spent so much money and time developing and promoting the product.

spend more money to develop a more efficient way to cook the hamburger so it cooks in a shorter time.

pull the hamburger off the menu and treat the development and promotion expenditures as a sunk cost.

keep trying to sell the hamburger so that people who developed and promote it have a job with the company.

Question 1.1. (TCO 3) Mutual interdependence would tend to limit control over price in which market model? (Points : 3)

Monopolistic competition

Pure competition

Pure monopoly

Oligopoly

Question 2.2. (TCO 3) In which two market models would advertising be used most often? (Points : 3)

Pure competition and monopolistic competition

Pure competition and pure monopoly

Monopolistic competition and oligopoly

Pure monopoly and oligopoly

Question 3.3. (TCO 3) The fast-food restaurants would be an example of which market model? (Points : 3)

Monopolistic competition

Pure competition

Pure monopoly

Oligopoly

Question 4.4. (TCO 3) In pure competition, the demand for the product of a single firm is perfectly (Points : 3)

elastic because the firm produces a unique product.

inelastic because the firm produces a unique product.

elastic because many other firms produce the same product.

inelastic because many other firms produce the same product.

Question 5.5. (TCO 3) T-Shirt Enterprises is selling in a purely competitive market. It is producing 3,000 units, selling them for $2 each. At this level of output, the average total cost is $2.50 and the average variable cost is $2.20. Based on these data, the firm should (Points : 3)

a. shut down in the short run.

b. decrease output to 2,500 units.

c. ontinue to produce 3,000 units.

d. increase output to 3,500 units.

Question 6.6. (TCO 3) A firm should increase the quantity of output as long as its (Points : 3)

a. marginal revenue is greater than its marginal cost.

b. marginal cost is greater than its marginal revenue.

c. average revenue is greater than its average total cost.

d. average revenue is greater than its average variable cost.

Question 7.7. (TCO 3) In pure competition, each extra unit of output that a firm sells will yield a marginal revenue that is (Points : 3)

a. equal to the price.

b. less than the price.

c. greater than the price.

d. equal to the average cost.

Question 8.8. (TCO 3) The classic example of a private, unregulated monopoly is (Points : 3)

a. Xerox.

b. De Beers.

c. General Motors.

d. General Electric.

Question 9.9. (TCO 3) Natural monopolies result from (Points : 3)

a. patents and copyrights.

b. pricing strategies.

c. extensive economies of scale in production.

d. control over an essential natural resource.

Question 10.10. (TCO 3) The nondiscriminating pure monopolist must decrease price on all units of a product sold in order to sell more units. This explains why (Points : 3)

there are barriers to entry in pure monopoly.

a monopoly has a perfectly elastic demand curve.

marginal revenue is less than average revenue.

total revenues are greater than total costs at the profit-maximizing level of output.

Question 11.11. (TCO 3) Which case below best represents a case of price discrimination? (Points : 3)

An insurance company offers discounts to safe drivers.

A major airline sells tickets to senior citizens at lower prices than to other passengers.

A professional baseball team pays two players with identical batting averages different salaries.

A utility company charges less for electricity used during “off-peak” hours, when it does not have to operate its less-efficient generating plants.

Question 12.12. (TCO 3) In which industry is monopolistic competition most likely to be found? (Points : 3)

Utilities

Agriculture

Retail trade

Mining

Question 13.13. (TCO 3) If monopolistically competitive firms in an industry are making an economic profit, then new firms will enter the industry and the product demand facing existing firms will (Points : 3)

increase.

become less elastic.

not be affected.

decrease.

Question 14.14. (TCO 3) In an oligopolistic market there are (Points : 3)

many buyers.

few buyers.

few sellers.

many sellers.

Question 15.15. (TCO 3) A low concentration ratio means that (Points : 3)

there is a low probability of entering the industry.

there is a low probability of success in the industry.

each firm accounts for a small market share of the industry.

each firm accounts for a large market share of the industry.

Question 16.16. (TCO 3) A major reason that firms form a cartel is to (Points : 3)

reduce the elasticity of demand for the product.

enlarge the market share for each producer.

minimize the costs of production.

maximize joint profits.

Question 17.17. (TCO 1) Which of the following is a land resource? (Points : 3)

A farmer

An oil-drilling rig

A machine for detecting earthquakes

Natural gas

Question 18.18. (TCO 1) Refer to the diagram which refers to the Circular Flow Model in Chapter 2. Arrows (1) and (3) are associated with

Graph Description

(Points : 3)

the money market.

the resource market.

the product market.

international trade.

Question 19.19. (TCO 2) Refer to the diagram. An increase in quantity demanded is depicted by a

Graph Description

(Points : 3)

move from Point x to Point y.

shift from D1 to D2.

shift from D2 to D1.

move from Point y to Point x.

Question 20.20. (TCO 2) Refer to the information and assume the stadium capacity is 5,000. The supply of seats for the game

Price per Ticket

Quantity Demanded

$13

1,000

11

2,000

9

3,000

7

4,000

5

5,000

3

6,000

(Points : 3)

a. varies inversely with ticket prices.

b. varies directly with ticket prices.

c. is perfectly inelastic.

d. is perfectly elastic.

Question 21.21. (TCO 2) Which of the following goods (with their respective income-elasticity coefficients in parentheses) will most likely suffer a decline in demand during a recession? (Points : 3)

a. Dinner at a nice restaurant (+1.8)

b. Chicken purchased at the grocery store for preparation at home (+0.25)

c. Facial tissue (+0.6)

d. Plasma-screen and LCD TVs (+4.2)

Question 22.22. (TCO 3) The following cost data are for a firm in the short run:

Output Total Cost

0 $400

1 500

2 550

3 600

4 650

5 700

What is the firm’s average variable cost at an output of 5 units?

(Points : 3)

a. $30

b. $60

c. $120

d. $140

Question 23.23. (TCO 1) Refer to the diagram. If society is producing nine units of bicycles and four units of computers and it now decides to increase computer output to six, the cost

Graph Description

(Points : 3)

a. will be four units of bicycles.

b. will be two units of bicycles.

c. will be zero because unemployed resources are available.

d. of doing so cannot be determined from the information given.

Question 24.24. (TCO 3) Any activity designed to transfer income or wealth to a particular individual or firm at society’s expense is called (Points : 3)

a. patent protection.

b. X-inefficiency.

c. price discrimination.

d. rent-seeking.

Question 25.25. (TCO 3) a.) What is the relationship between economies of scale and a natural monopoly? b.) Why is the level of output at which marginal revenue equals marginal cost the profit-maximizing output? (Points : 25)

Question 26.26. (TCO 2) Evaluate how the following situations will affect the demand curve for iPods.

(a) Income statistics show that income of 18–25-year-olds have increased by 10 percent over the last year.

(b) Efforts of music artists wanting greater protection of their music result in more stringent enforcement of copyrights and the shutdown of numerous illegal downloading sites.

(c) Believing that it has significant control of the market for portable digital music players, Apple decides to raise the price of iPods with the goal of increasing profits.

(d) The price of milk decreases.

For getting the instant digital download answer, Please click on the “PURCHASE” link below to get “DeVry ECON 312 Mid-term Exam Complete A+ Answer”.

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

DeVry ECON 312 Mid-term Exam Complete

Posted on

Saint Leo MBA 550 Midterm Exam Complete A+ Answer

Saint Leo MBA 550 Midterm Exam Complete A+ Answer

Saint Leo MBA 550 Midterm Exam Complete A+ Answer

Question 1.1.The events in an experiment are ________ if only one can occur at a time. (Points : 5)
mutually exclusive
non-mutually exclusive
mutually inclusive
independent

Question 2.2.A single-channel queuing system has an average service time of 8 minutes and an average time between arrivals of 10 minutes. What is the hourly arrival rate? (Points : 5)

8
6
4
2

Question 3.3.The ________ is computed by multiplying each decision outcome under each state of nature by the probability of its occurrence. (Points : 5)

expected value

expected value of perfect information

expected opportunity loss

none of the above

Question 4.4.Employees of a local company are classified according to gender and job type. The following table summarizes the number of people in each job category.

Job

Male (M)

Female (F)

Administrative (AD)

110

10

Salaried staff (SS)

30

50

Hourly staff (HS)

60

40

If an employee is selected at random, what is the probability that the employee is female given that the employee is a salaried staff member? (Points : 5)

.50

.60

.625 è 50/80 = 0.625

.70

Question 5.5.The manager of the Quick Stop Corner convenience store (which is open 360 days per year) sells four cases of Stein soda each day (1440 cases per year). Order costs are $8.00 per order. The lead time for

an order is three days. Annual holding costs are equal to $57.60 per case. If the manager orders 16 cases each time she places an order, what is the average inventory level? (Points : 5)

4 cases

8 cases

12 cases

20 cases

Question 6.6.The maximin approach to decision making refers to: (Points : 5)

minimizing the maximum return.

maximizing the minimum return.

maximizing the maximum return.

minimizing the minimum return.

Question 7.7.In the basic EOQ model, if D=60 per month, Co=$12, and Cc=$10 per unit per month, what is the EOQ? (Points : 5)

11

12

13

14

Question 8.8.________ is a category of statistical techniques that uses historical data to predict future behavior. (Points : 5)

Qualitative methods

Regression

Time series

Quantitative methods

Question 9.9.________ is a measure of the dispersion of random variable values about the expected value or mean. (Points : 5)

Standard deviation

Sample mean

Population mean

Expected value

Question 10.10.In an EOQ model, as the carrying cost increases, the order quantity: (Points : 5)

increases.

decreases.

remains the same.

cannot be determined.

Question 11.11.A university is planning a seminar. It costs $3000 to reserve a room, hire an instructor, and bring in the equipment. Assume it costs $25 per student for the administrators to provide the course materials. If we

know that 20 people will attend, what price should be charged per person to break even? (Points : 5)

$120

$150

$175

$200

Question 12.12.A small entrepreneurial company is trying to decide between developing two different products that they believe they can sell to two potential companies, one large and one small. If they develop Product A,

they have a 50% chance of selling it to the large company with annual purchases of about 20,000 units. If the large company won’t purchase it, then they think they have an 80% chance of placing it with a smaller company,

with sales of 15,000 units. On the other hand if they develop Product B, they feel they have a 40% chance of selling it to the large company, resulting in annual sales of about 17,000 units. If the large company doesn’t buy it,

they have a 50% chance of selling it to the small company with sales of 20,000 units. What is the probability that Product A will being purchased by the smaller company? (Points : 5)

0.3

0.4

0.5

0.8

Question 13.13.A difficult aspect of using spreadsheets to solve management science problems is: (Points : 5)

obtaining the solution to standard management science problems.

data entry.

performing sensitivity analysis.

setting up a spreadsheet with complex models and formulas.

Question 14.14.The limits of the problem and the degree to which it pervades other units in the organization must be included during the ________ step of the management science process. (Points : 5)

observation

definition

solution

implementation

Question 15.15.Which of the following is an equation or an inequality that expresses a resource restriction in a mathematical model? (Points : 5)

Decision variable

Objective function

Constraint

Parameter

Question 16.16.Administrators at a university will charge students $150 to attend a seminar. It costs $3000 to reserve a room, hire an instructor, and bring in the equipment. Assume it costs $25 per student for the

administrators to provide the course materials. How many students would have to register for the seminar for the university to break even? (Points : 5)

18

20

24

30

Question 17.17.A single-server queuing system has average time between arrivals of 20 minutes and a service time of 10 minutes each. Assuming Poisson arrivals and exponential service times, the utilization factor is

approximately _____. (Points : 5)

0.25

0.33

0.50

2.0

Question 18.18.________ is a linear regression model relating demand to time. (Points : 5)

Linear trend

Linear regression

Forecast demand

Linear equation

Question 19.19.A ________ probability is the probability that an event will occur given that another event has already occurred. (Points : 5)

posterior

conditional

marginal

low

Question 20.20.Bayesian analysis involves a(n) ________ probability. (Points : 5)

a priori

posterior

joint

relative frequency

For getting the instant digital download answer, Please click on the “PURCHASE” link below to get “Saint Leo MBA 550 Midterm Exam Complete A+ Answer”.

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

Saint Leo MBA 550 Midterm Exam Complete A+ Answer

Posted on

DeVry BUSN 278 Week 4 Midterm Exam Complete A+ Answer

DeVry BUSN 278 Week 4 Midterm Exam Complete A+ Answer

DeVry BUSN 278 Week 4 Midterm Exam

1.

Question :

(TCO 1) The type of budget that is updated on a regular basis is known as a ________________

Student Answer:
continuous budget.

revised budget.

updated budget.

flexible budget.

2.

Question :

(TCO 2) The quantitative forecasting method that uses actual sales from recent time periods to predict future sales assuming that the closest time period is a more accurate predictor of future sales is:

3.

Question :

(TCO 3) The regression statistic that measures how many standard errors the coefficient is from zero is the ________________

Student Answer:

correlation coefficient.

coefficient of determination.

standard error of the estimate.

t-statistic.

4.

Question :

(TCO 4) Capital expenditures are incurred for all of the following reasons except:

Student Answer:

As preventive maintenance

To counteract competition

Decreased production

Improvement in product quality

5.

Question :

(TCO 5) Which of the following is not true when ranking proposals using zero-base budgeting?

Student Answer:

Due to changing circumstances, a low-priority item may later become a high-priority item.

Decision packages are ranked in order of increasing benefit.

Divisional and departmental managers submit initial recommendations, with top management making the final ranking.

Nonfunded packages should also be ranked.

6.

Question :

(TCO 6) Which of the following ignores the time value of money?

Student Answer:

Internal rate of return

Profitability index

Net present value

Payback period

7.

Question :

(TCO 1) There are several approaches that may be used to develop the budget. Managers typically prefer an approach known as participative budgeting. Discuss this form of budgeting and identify its advantages and

disadvantages.

8.

Question :

(TCO 2) There are a variety of forecasting techniques that a company may use. Identify and discuss the three main quantitative approaches used for time series forecasting models.

9.

Question :

(TCO 2) The Federal Election Commission maintains data showing the voting age population, the number of registered voters, and the turnout for federal elections. The following table shows the national voter turnout as a

percentage of the voting age population from 1972 to 1996 (The Wall Street Journal Almanac; 1998):

Voter Turnout

Year

% Turnout

Year

% Turnout

1972

55

1986

36

1974

38

1988

50

1976

54

1990

37

1978

37

1992

55

1980

53

1994

39

1982

40

1996

49

1984

53

Part (a) Use exponential smoothing to forecast this time series. Consider smoothing constants of a = 0.1 and 0.2. What is the forecast of the percentage of turnout in 1998?

Part (b) Use the mean absolute deviation (MAD) to determine which smoothing constant provides the best forecast of voter turnout.

10.

Question :

(TCO 3) Use the table “Food and Beverage Sales for Paul’s Pizzeria” to answer the questions below.

Food and Beverage Sales for Paul’s Pizzeria Restaurant

($000s)

Month

First Year

Second Year

January

55

60

February

53

54

March

53

56

April

63

44

May

64

44

June

54

34

July

33

36

August

35

37

September

25

28

October

30

30

November

35

38

December

54

52

Part (a) Calculate the regression line and forecast sales for March of Year 3.

Part (b) Calculate the seasonal forecast of sales for March of Year 3.

Part (c) Which forecast do you think is most accurate and why?

11.

Question :

(TCO 6) Jackson Company is considering two capital investment proposals. Estimates regarding each project are provided below:

Project Nuts

Project Bolts

Initial Investment

$175,000

$100,000

Annual Net Income

$30,000

52,000

Annual Cash Inflow

$70,000

$45,000

Salvage Value

$0

$0

Estimated Useful Life

3 years

3 years

The company requires a 9% rate of return on all new investments.

Part (a) Calculate the payback period for each project.

Part (b) Calculate the net present value for each project.

Part (c) Which project should Jackson Company accept and why?

12.

Question :

(TCO 6) Top Growth Farms, a farming cooperative, is considering purchasing a tractor for $468,000. The machine has a 10-year life and an estimated salvage value of $32,000. Top Growth uses straight-line depreciation.

Top Growth estimates that the annual cash flow will be $78,000. The required rate of return is 9%.

Part (a) Calculate the payback period.

Part (b) Calculate the net present value.

Part (c) Calculate the accounting rate of return.

For getting the instant digital download answer, Please click on the “PURCHASE” link below to get “DeVry BUSN 278 Week 4 Midterm Exam Complete A+ Answer”.

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

DeVry BUSN 278 Week 4 Midterm Exam Complete A+ Answer

Posted on

Formal letter or memo in which you communicate a negative message A+ Answer

Formal letter or memo in which you communicate a negative message A+ Answer

Write a 1- to 2-page formal letter or memo in which you communicate a negative message. You may select from one of the following scenarios:
• Tell your investors or employees about a recent decrease in your company’s stock value.
• Inform employees of a coming round of layoffs at your place of business.
• Communicate displeasure with a business’s or vendor’s work practices or product.
• Inform a customer that you are unable to refund his or her money or accept a returned product.
• Select another scenario of your choice, as approved by your instructor.
Format your letter or memo as suggested in Ch. 10 of Workplace Writing.

For getting the instant digital download answer, Please click on the “PURCHASE” link below to get “Formal letter or memo in which you communicate a negative message A+ Answer”.

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

Formal letter or memo in which you communicate a negative message A+ Answer

Posted on

QNT 561 Week 4 Individual Assignment Descriptive Statistics and Interpretation Answer

QNT 561 Week 4 Individual Assignment Descriptive Statistics and Interpretation Answer

Descriptive Statistics Article Critique Read the article, Do Men with Excessive Alcohol Consumption and Social Stability Have an Addictive Personality? Descriptive Statistics Article Critique
Read the article, Do Men with Excessive Alcohol Consumption and Social Stability Have an Addictive Personality? and identify the research questions and/or hypotheses as they are stated. If you need assistance looking

up the article with the citation, please view the Finding an Article When You Have a Citation tutorial, which is located under “Getting Research Help” within the Ashford University Library. As you read the article, consider the following questions: What are the variables (sample sizes, population, treatments, etc.)? What are the descriptive statistics used in this article (frequencies, means, etc.)?
Write a two- to three-page paper presenting the information listed below. Your paper must contain a title page and a reference page in APA style. Cite any references made to the article within the body of the paper in correct APA format. Your paper should begin with an introduction paragraph that includes a thesis statement and end with a concluding paragraph that summarizes the major points made in the body of the paper and reaffirms the thesis.

Writing the Article Critique
Your paper must address the following:
1. Determine what question(s) the authors are trying to answer through this research.
2. Determine the hypothesis being tested and the concepts that were applied in this process.
3. Evaluate the article and critique the statistical analysis employed in the study.
o Could you have included more and/or different variables? Explain your answer.
4. Examine the assumptions and limitations of the statistical study
o What would you have done differently in this case? Why?
5. Identify how the authors applied statistical testing to the problem.
6. Interpret the findings of the author(s) using statistical concepts.
Access the Critical Thinking Community website for tips on how to formulate your thoughts and discussion of these questions in a logical and meaningful manner.
The Assignment:
1. Must be two to three double-spaced pages in length (excluding title and reference pages) and formatted according to APA style as outlined in the Ashford Writing Center.
2. Must include a title page with the following:
a. Title of paper
b. Student’s name
c. Course name and number
d. Instructor’s name
e. Date submitted
3. Must document all sources in APA style, as outlined in the Ashford Writing Center.
4. Must include a separate reference page, formatted according to APA style as outlined in the Ashford Writing Center.

For getting the instant digital download answer, Please click on the “PURCHASE” link below to get “QNT 561 Week 4 Individual Assignment Descriptive Statistics and Interpretation Answer”.

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

QNT 561 Week 4 Individual Assignment Descriptive Statistics and Interpretation Answer

Posted on

ECON 104 Homework 12 why the trade deficit in the US increased Answer

ECON 104 Homework 12 why the trade deficit in the US increased Answer

1) (20 points) Explain, in five sentences or less, exactly why the trade deficit in the US increased from 1995 to 2000. There are two specific reasons. Make sure you explain clearly (the intuition) why each reason would add to our trade deficit.

2) (40 points total)
a. (10 points) Suppose that you received your college degree from Penn State and nailed a great job over in Europe in the summer of 2001. Given that your family remains in the US, you make sure that you visit the family every November by traveling from Europe to the US. We are going to compare the cost of this vacation, in terms of euros, during two different periods: November 2002 and November 2012. We assume that the cost of the trip, in terms of $ US, remains the same at $1,000 in both periods. Using the link below and rounding down to two decimals, compare the euro cost of the trip in November 2002 vs. the euro cost of the trip in November 2012.
See the St. Louis Federal Reserve site for $ per euro exchange rate (to get actual data click on “view data” on left hand side of page)
b. (30 points – 15 points for explanation and 15 points for correct and completely labeled diagram) Using the same link above, we are now going to use our supply/demand framework for US $ to model the movement in the euro per $ exchange rate between December 2007 (the very beginning of the Great Recession) and November 2008 (pretty much the height of the global financial crisis). Note that the data is in $ per euro so you need to convert it into euro per dollar before proceeding. For example, $ 1.2 per euro is converted by 1/1.2 = .833 meaning that $1 = .83 euro (this is the vertical axis on your graph, i.e., euro per $). Rounding down again to two decimals, draw a supply and demand diagram like we did numerous times in the lectures labeling the vertical axis as euro per $ and the initial supply and demand curves labeled with 12/07, Label this initial point as point A.
Now explain what happened to each curve and WHY between 12/07 and 11/08. Label this new point (11/08) as point B with your supply and demand curves labeled accordingly
(Hint: the two obvious facts during this period is that the 1) US was in a deep recession and 2) we were at the height of the (global) financial crisis (in 11/08). Assume all else is constant.

True/ False (40 points total – 2 points each)

1) In a closed economy, savings = investment is the same as the closed economy goods market equilibrium condition we know as Y = C + I + G.
2) If income exceeds absorption, then the economy is ‘consuming beyond its means.’
3) In the open economy goods market equilibrium with two large countries, the sum of the absorptions must equal the sum of the incomes produced by the two countries.4) Goods market equilibrium in an open economy requires that savings equals investment plus the current account.
5) If savings exceeds investment then the country is running a trade deficit where NX < 0. 6) If NX is positive then the country is consuming beyond their means and must borrow from the rest of the world. 7) During the mid 2000s, the current account deficit in the US exceeded 10% of GDP. 8) We argued that when the economic growth in the US is greater than the (economic) growth rates of our trading partners, the trade deficit in the US should get larger, all else constant. 9) A country that intervenes in the foreign exchange market to keep their currency weak is consistent with the country being export oriented. 10) We argued that when the US economy grew briskly during the new economy, the supply of US dollars in exchange for other currencies rose since along with economic growth, our appetite for imports grows as well. This effect, all else constant, would weaken the value of the $. 11) We argued that the E. Asian and Russian crises would map to our foreign exchange market analysis as a decrease in the supply of dollars resulting in a stronger US dollar. 12) During the Reagan Administration, the current account became a major economic issue. In particular, the US began running a large current account surplus where US exports were much larger than US imports. 13) Export oriented countries prefer a weaker currency relative to a stronger currency. 14) If there is pressure for the Chinese yuan to appreciate against the US dollar, then China can 'fight' this appreciation by buying $ with their yuan. 15) We argued that one reason that interest rates are low on government securities is due to China's exchange rate regime. 16) Monetary policy is thought to be stronger in an open economy relative to a closed economy since if the Fed, for example, wanted to prevent the economy from overheating, they would raise interest rates. Along with the normal closed economy impact on consumption and investment, we also would have a stronger dollar which would lower net exports, adding to the power of monetary policy. 17) One reason fiscal policy is thought to be stronger in an open economy relative to a closed economy is due to the fact that in an open economy setting, the change in the interest rate effects the exchange rate and thus, adds power to fiscal policy through this exchange rate channel. 18) A rush to the safe haven of $ US during a financial crisis is depicted in the supply / demand model in the $ US market as an increase in the demand to exchange foreign currencies in for $. The end result should be $ US appreciation, all else constant. 19) We argued that the $ US was appreciating in the early years of the Reagan Administration due to the expansionary fiscal policy during this time. 20) When people refer to the twin deficits in the US they are most likely referring to the new economy years since this was the time twin deficits occurred in the US economy.

For getting the instant digital download answer, Please click on the “PURCHASE” link below to get “ECON 104 Homework 12 why the trade deficit in the US increased Answer”.

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

ECON 104 Homework 12  why the trade deficit in the US increased Answer

Posted on

Lowe’s is a publicly-traded yet closely held company operating in the United States Answer

Lowe’s is a publicly-traded yet closely held company operating in the United States Answer

Lowe’s is a publicly-traded yet closely held company operating in the United States Answer

Lowe’s is a publicly-traded yet closely held company operating in the United States. Assume you are in the early stages of preparing a business valuation on Lowe’s to assist owner(s) in making future business decisions about expanding.
Included in the case is a copy of Lowes, Inc. Unadjusted Income Statement and Balance Sheet, Income Statement and Cash Flow Statement for the last fiscal year; all numbers are in thousands. All questions on this case use the attached data as basis.
Growth
There has been an increase in sales over the last several years, but 2013 showed some slowing due to competition with Home Depot. The company has opened new stores, but it is difficult to determine whether expansion efforts will keep it competitive with costs and benchmarks to other companies. It’s disconcerting to expand the product line and open new stores and not significantly increase a company’s growth. Expected growth is 12%. Competitor benchmarked growth is at 15%. The risk-free rate is 1% and company beta is 1.38
Cost Control
The company needs to control its operating costs more effectively.
Products have been purchased from the same supplier. Possibly the company’s purchasing is concentrated through one supplier and has not allowed the company an opportunity to determine better competitive prices through alternative suppliers. This presents some risk to the company if the supplier were to terminate its relationship with the subject company. Supplies are vital to the operations of any business enterprise. Access to adequate supplies and competitively pricing are key factors to a company’s long term success.
Technology
An upgrade to the company systems was done in 2011 and expenditures to-date have not been to maintain systems at that level. Competitors have invested in new technology at rate of 2% of sales. The company’s technology investment has been at .5% of sales.
Turnover
The receivable turnover for the subject company is about one-half the industry average. In 2014, it was 50.7, while the industry average was 101.7. This ratio measures how much of a company’s sales are reflected in accounts receivable. Daily’s Clothing needs to concentrate additional effort in the collection of its receivables.
Profitability
Both its return on equity and return on assets are less than the industry averages with percentages declining steadily in the past few years. above the industry; however, both percentages have been declining steadily during the past few years.
Risk
The current ratio indicates the amount of liquid assets available to liquidate current debt or the company’s ability to meet its current obligations. We are told that the company has expanded its facilities, as well as its product lines. It seems that this expansion has been paid for through the addition of company debt.

For getting the instant digital download answer, Please click on the “PURCHASE” link below to get “Lowe’s is a publicly-traded yet closely held company operating in the United States Answer”.

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

Lowe’s is a publicly-traded yet closely held company operating in the United States