a) The cost function will be $102,000 + $8n and revenue function will be $15n b) The minimum number of customers for the business will be 14, 572 c) Bob would owe the bank approximately $111,454.86 after 3 years if he does not repay any amount.
(a) The cost function as a function of the number of customers (n) can be expressed as follows:
Cost = Fixed Cost + Variable Cost per Customer * Number of Customers
In this case, the fixed cost is $102,000, which includes the renovation and purchase of commercial kitchen appliances. The variable cost per customer is $8. Therefore, the cost function can be written as:
Cost = $102,000 + $8n
The revenue function as a function of the number of customers (n) can be expressed as follows:
Revenue = Price per Customer * Number of Customers
In this case, the price per customer is $15. Therefore, the revenue function can be written as:
Revenue = $15n
b) To determine the minimum number of customers for the business to break even, we need to find the point at which the cost equals the revenue. Mathematically, we can set the cost function equal to the revenue function and solve for the number of customers (n):
$102,000 + $8n = $15n
Simplifying the equation, we get:
$102,000 = $7n
Dividing both sides by $7, we find:
n = 14,571.43
Since the number of customers cannot be fractional, the minimum number of customers for the business to break even is 14,572.
(iii) If Bob borrows $102,000 from a bank with an interest rate of 3% per annum and interest payable monthly, the interest will compound monthly over the 3-year period. The formula to calculate the future value of a loan with monthly compounding interest is:
Future Value = Principal * (1 + (Interest Rate / 12))^Number of Compounding Periods
In this case, the principal is $102,000, the interest rate is 3% per annum, and the number of compounding periods is 3 years (36 months).
Using the formula, we can calculate the future value of the loan after 3 years:
Future Value = $102,000 * (1 + (0.03 / 12))^36
Calculating the expression, we find that Bob would owe the bank approximately $111,454.86 after 3 years if he does not repay any amount.
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What are Logistics careers?
what is a business strategy?
Nike becomes very unpopular. What happens to demand for Reebok?
A. The D-curve shifts to the right
B. The D-curve shifts to the left
C. The D-curve doesn't shift. QD increases
D. The D-curve doesn't shift QD decreases
Answer:
A. The D-curve shifts to the right
Explanation:
Nike and Reebok are supplement goods. It means customers can use either of two brands of shoes with almost equal satisfaction. A change of preferences by customers will influence the demand for supplement goods.
If Nike becomes unpopular, the demand for Reebok will increase. Because the increase in demand is not due to price changes, the demand curve will shift to the right. A shift in the demand curve means that the quantity demanded increases at all prices.
when should an event programing be used
Answer:
The utilization of the given topic is summarized throughout the below section.
Explanation:
Event-driven programming language shall be used if the software doesn't somehow monitor the sequential order of such occurrence.The software circulation or activity was mostly directly guided to an external mechanism like a consumer or client (e.g. a GUI), a whole other method (e.g. a customer or a server).Employees who are paid a set annual wage regardless of the number of hours worked or the amount of work completed are paid on a(n) _____ basis
Answer:
Employees who are paid a set annual wage regardless of the number of hours worked or the amount of work completed are paid on a SALARY basis. Salary system of compensation is often based on qualifications, seniority, experience and the degree of difficulty of the job that the staff is executing.
Which economic system has the most government control? (Select the best answer.)
A planned economy . A traditional economy . A mixed economy . A market economy
Answer:
A planned economy because they know what is going to be put in place at any certain time, so they have the most power. Hope it helps! Please vote Brainliest!
Explanation:
Answer:
A planned economy that is the answer
Henry, a trainer at MyChem Inc., schedules training on handling hazardous chemicals for a group of newly hired employees. The training complies with OSHA regulations and is given to all employees upon hire along with periodic refreshers. The type of training described in this scenario is _____.
Answer:
Hazard Communication Standard (HCS) training program
Explanation:
The type of training described in this scenario is known as the Hazard Communication Standard (HCS) training program. This is a employee training program designed with the goal of explaining and reinforcing the written information regarding hazard labels and material safety data sheets, as well as how to behave around hazardous material and to apply this information to their workplace.
An entry to record discount received of £75 has been debited to discount received and credited to the payables control account. What is the journal to correct this? DEBIT • £150 CREDIT • £150 (Select the correct answer in each blank space above)
The journal to correct the entry should debit the payables control account and credit the discount received account.
The correct journal entry is:
DEBIT • Discount Received account • £75
CREDIT • Payables Control account • £75
To correct the mistake, we need to reverse the original entry by debiting the discount received account (to reduce it) and credit the payables control account (to increase it). Since the original entry was for £75, the correction needs to be for the same amount, resulting in a debit of £75 to the Discount Received account and a credit of £75 to the Payables Control account.
The total of debits and credits in the corrected entry should be equal, so the correct answer is:
DEBIT • Discount Received account • £75
CREDIT • Payables Control account • £75
Therefore, the correct answer is:
DEBIT • Discount Received account • £75
CREDIT • Payables Control account • £75.
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ASAP 65 points.
1. Visit a Web site for a company that sells products online. Then go to that company's corporate Web site. Compare the company's product sales site with its corporate site. Describe at least 3 differences between them. (1-3 sentences. 3.0 points)
2. Choose a well-known company, and describe at least three qualities that you associate with that company or brand. Explain why you associate those qualities with that brand. (1-6 sentences. 3.0 points) TIP: This can be the same company you used in question 1 above, or it can be different.
3. Choose a well-known company, and describe what you think that company's target market is. How can you tell? (1-5 sentences. 3.0 points) TIP: This can be the same company you used in question 1 or 2 above, or it can be different.
4. Describe either a desire-based or fear-based advertisement that you have seen. Explain what desire or fear you think the ad is using. (1-5 sentences. 3.0 points)
5. Choose a well-known company that you are familiar with, and write a customer profile survey that company could give its customers with at least 6 questions that will be useful for that company. (3.0 points)
6. Choose a well-known company that you are familiar with, and explain how that company could use each of the five P's of the marketing mix to achieve its brand image and sales goals. (1-8 sentences. 5.0 points)
Answer:
Ebay
Explanation:
Ebay’s corporate and sales websites have a lot of differences, the most notable being the lack of interface to purchase products on the corporate site. Another difference is that the corporate website is more like a newsfeed, showing achievements, advertisements, etc, for the company, whereas the sales site has lots of pictures and products, and it is more visually pleasing because of the colours. A final difference is there is a lot less text and writing on the sales website than on the corporate website.
Some qualities I associate with Ebay are:
That the products sold on the website are often cheaper than in the shops, because you are purchasing directly from the business.
Another quality that i think of is that it enables small businesses to start their companies without the costs of properties. as well as providing big corporations with somewhere to ensure they get sales.
A final quality that i associate with Ebay is the ability to sell your unwanted things to people, therefore making some profit.
I think Ebay does not have a target market, as when you access their sales website, they have products for every age group, baby toys, phones, mobility scooters, etc.
An example of a desire-based advertisement i have seen is the Galaxy advertisement, where the chocolate is portrayed as a luxury product that is desired by everyone.
An example of fear-based advertising is toothpaste advertisements, where they show what could happen if you don’t use their product, which makes you want to buy it.
You're welcome.
Answer 1:
Ebay’s corporate and deals websites have a part of contrasts, the foremost eminent being the need of interface to buy items on the corporate site. Another contrast is that the corporate site is more like a newsfeed, appearing accomplishments, promotions, etc, for the company, though the deals location has parcels of pictures and items, and it is more outwardly satisfying since of the colours.
Answer 2:
Some Positive qualities I associate with Ebay are:
That the items sold on the site are frequently cheaper than within the shops, since you're acquiring straightforwardly from the business.Another quality that i think of is that it empowers little businesses to begin their companies without the costs of properties. as well as giving enormous enterprises with some place to guarantee they get sales.A last quality that I relate with Ebay is the capacity to offer your undesirable things to individuals, hence making a few benefit.
Answer 3:
I think Ebay does not have a target market, as when you access their sales website, they have products for every age group, baby toys, phones, mobility scooters, etc.
Answer 4:
An example of a desire-based advertisement i have seen is the Galaxy advertisement, where the chocolate is portrayed as a luxury product that is desired by everyone.
Answer 5:
An example of fear-based advertising is toothpaste advertisements, where they show what could happen if you don’t use their product, which makes you want to buy it.
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A manager who serves as a role model for ethical conduct in a way that is visible to employees is referred to as a(n) _____ manager.
A manager who serves as a role model for ethical conduct in a way that is visible to employees is referred to as an "ethical manager."
An ethical manager consistently demonstrates and promotes ethical behavior within the workplace, setting a positive example for employees. By actively embodying ethical conduct, the manager helps to create a work environment where integrity, fairness, and accountability are valued. An ethical manager's actions include treating employees with respect, being transparent in decision-making processes, acknowledging and rewarding employees' contributions, and actively addressing unethical behavior. Additionally, an ethical manager encourages open communication and fosters a culture where employees feel comfortable raising concerns without fear of retaliation. Moreover, ethical managers play a crucial role in developing and implementing policies and procedures to ensure compliance with relevant laws, regulations, and industry standards. They ensure that the organization's core values are consistently upheld and integrated into daily operations, setting the tone for the entire workforce. In summary, an ethical manager is a vital figure in promoting and maintaining a positive work environment, where ethical conduct is at the forefront. By modeling ethical behavior, an ethical manager influences employees to adopt similar principles, ultimately contributing to the overall success and reputation of the organization.
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1) the promotional tactics employed by red bull are evidence of ______________________________. a socially responsible marketing b a pull strategy c sales promotion d quizlet
The promotional tactics employed by Red Bull are evidence of socially responsible marketing.
Socially responsible marketing refers to the practice of promoting products or services while contributing to the well-being of society and the environment. It is a marketing approach that emphasizes the social, environmental, and ethical implications of a company’s products or services, and it seeks to promote positive change in society. Red Bull, the energy drink brand, is a great example of a company that practices socially responsible marketing. The company’s promotional tactics, such as sponsoring extreme sports events and supporting environmental initiatives, are aimed at engaging customers while also contributing to society and the environment. As a result, Red Bull has built a strong brand that is synonymous with adventure, extreme sports, and environmentalism, among other things. Hence, the promotional tactics employed by Red Bull are evidence of socially responsible marketing.
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The promotional tactics employed by Red Bull are evidence of socially responsible marketing.
Red Bull is one of the most popular energy drink brands. It has always been known for its unique marketing strategies and how they are involved in sports events, adventure activities, and extreme sports. Red Bull has become a well-known brand and the largest energy drink in the world due to its effective marketing strategy. Its unique marketing approach is based on marketing through social responsibility and emotional connection with consumers. The brand Red Bull is one of the most socially responsible brands in the world of marketing as it promotes social responsibility by sponsoring environmental and sports events. One of the significant reasons why Red Bull stands out among its competitors is that it focuses on a pull strategy. The brand pulls consumers towards it through its unique promotional tactics and stands out by using content marketing as a marketing tool. The company uses content marketing through its website, social media platforms, and blogs to connect with its customers on a personal level. The brand Red Bull has developed into one of the world's most effective and successful marketing strategies. Their focus on socially responsible marketing and emotional connections with consumers has created a successful pull strategy. The brand is well-known for its sponsorship of extreme sports, sports events, and environmental initiatives, which has helped it achieve its status. It is a clear example of the importance of social responsibility in marketing. They have succeeded by creating a unique brand identity through content marketing, where they have made significant investments in their website, social media, and blog channels. It has created a highly engaged community, allowing Red Bull to differentiate itself from its competitors. It is an excellent example of the power of emotionally connecting with customers, and investing in social responsibility to create a strong brand identity that stands out.
Red Bull's marketing strategy is a clear example of how a brand can succeed through socially responsible marketing, pull strategies, and emotionally connecting with customers. The brand has become a well-known household name, due in part to their unique approach to content marketing, which has allowed them to build a strong brand identity that resonates with customers.
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Select the correct answer from the drop-down menu. Which type of college credit program does the statement describe? The program is one of the more common ways to get college credi you must take at the end of the course. Reset
Answer:
scholarship
i wanna say its that but
can we see the drop down menu?
Explanation:
Answer:
can we see what's in the drop down menu
But I'm pretty sure its a scholarship
Explanation:
A. Multiple Choice: Choose the correct 1. Many farmers may forget to check the troubleshooting section, which can cost them even more time out of the field. a. Not reading the Operator's Manual b. Improper Maintenance c. Poor electrical connection d. Overrunning machines capability e. Not replacing wom out when needed
Answer:
E.Not replacing whom out when Needed
Which of the following is an ineffective practice in making big businesses act small?  A. Encouraging a spirit of entrepreneurship within an organizationB. Increasing the layers of management within an organizationC. Downsizing to reduce work tasksD. Keeping the growth vision long termE. Focusing on current customers rather than looking for new customer
B. Increasing the layers of management within an organization is an ineffective practice in making big businesses act small.
Increasing the layers of management adds more bureaucracy and hierarchical structure to an organization, which is contrary to the idea of making big businesses act small. It can lead to slower decision-making, reduced agility, and increased complexity within the organization. The goal of making big businesses act small is to promote agility, flexibility, and a sense of entrepreneurship. This can be better achieved by streamlining decision-making processes, empowering employees, and fostering a culture of innovation and collaboration.
On the other hand, the other options listed (A, C, D, and E) can be effective practices in making big businesses act small. Encouraging a spirit of entrepreneurship, downsizing to reduce work tasks, keeping a long-term growth vision, and focusing on current customers while seeking new ones all align with the idea of fostering a small-business mindset within a larger organization
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ASAPP PLZZZZ
3. In the mythical kingdom of Erehwon, the basic unit of money is the rudolf. At today's exchange rate, 4 rudolfs are equal to $1. A U.S. tourist in Erehwon wishes to purchase a guidebook to the country. The price is 6 rudolfs. How much is this in U.S. money?
(A) $1.50
(B) $6
(C) $4
(D) $24
(a) A restaurant has annual sales of $420,000, an average inventory of $6000, and an annual cost of goods sold of $264,000. What is the restaurant's monthly inventory turns? (b) A restaurant has annual sales of $420,000, an average inventory of $6000, and an annual cost of goods sold of $264,000. What are the restaurant's days-of-supply of inventory? (Assume 365 days per year) (c) An online shoe retailer's annual cost of holding inventory is 35 percent. The firm operates with a days-of-supply of 20 days, and assume there are 365 days per year. What is the inventory holding cost (in $s) for a pair of shoes that the firm purchased for $50?
With a days-of-supply of 20 days, the inventory holding cost for a pair of shoes is = $0.048
(a) To find the restaurant's monthly inventory turns, we need to divide the cost of goods sold by the average inventory and then divide by 12 (for 12 months in a year).
Cost of Goods Sold / Average Inventory = $264,000 / $6,000 = 44
44 / 12 = 3.67
Therefore, the restaurant's monthly inventory turns are 3.67.
(b) To find the restaurant's days-of-supply of inventory, we need to divide the average inventory by the cost of goods sold and then multiply by 365 (for 365 days in a year).
Average Inventory / Cost of Goods Sold = $6,000 / $264,000 = 0.0227
0.0227 * 365 = 8.29
Therefore, the restaurant's days-of-supply of inventory are 8.29.
(c) To find the inventory holding cost for a pair of shoes, we need to multiply the cost of the shoes by the annual cost of holding inventory and then divide by the number of days in a year.
Inventory Holding Cost = (Cost of Shoes * Annual Cost of Holding Inventory) / Number of Days in a Year
Annual Cost of Holding Inventory = 35% = 0.35
Number of Days in a Year = 365
Inventory Holding Cost = ($50 * 0.35) / 365 = $0.048
Therefore, the inventory holding cost for a pair of shoes that the firm purchased for $50 is $0.048 or approximately 5 cents.
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true or false? the gramm-leach-bliley act (glba) privacy rule requires that consumers have a chance to opt out of certain types of data sharing with nonaffiliated third parties.
The statement "Gramm-leach-Bliley act (GLBA) privacy rule requires that consumers have a chance to opt out of certain types of data sharing with nonaffiliated third parties" is true.
Unless an exemption to that right applies, consumers must be given the option to "opt out" of, or stop, a financial institution from sharing nonpublic personal information about them to a nonaffiliated third party. The exclusions are outlined in further detail below and in Sections 13, 14, and 15 of the rules.The Financial Modernization Act of 1999, also known as the Gramm-Leach-Bliley Act (GLBA), is a federal law that was passed in the United States to regulate how financial institutions handle customers' private information.Financial institutions, or businesses that provide consumers with financial goods or services like loans, financial or investment advice, or insurance, are required under the Gramm-Leach-Bliley Act to disclose to its clients how they share customer information and to protect sensitive information.Thus the answer is true.
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Predict Consequences When the economy is
expanding, which of the following is a business
MOST likely to do?
A. close its international branches
B. lay off employees
C. invest in new equipment
D. cancel new product development
The correct option is C.
When the economy is expanding, the business invests in new equipment.
What happens during an expansion in the economy?Expansion, in economics, is an upward trend in the business cycle, characterized by an increase in production and employment, which in turn causes an increase in the incomes and spending of households and businesses.
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Regulators require a bank to hold some of its assets as reserves mainly to address:
a. liquidity risk.
b. trading risk.
c. credit risk.
d. operational risk.
Liquidity risk: Regulators require a bank to hold some of its assets as reserves in order to ensure that the bank has sufficient liquid assets to meet its financial obligations if a large number of customers come demanding their money at once. This helps to mitigate the risk of the bank running out of funds and not being able to meet its obligations.
What is financial?Financial management is the process of managing money and other financial resources in order to achieve personal and organizational goals. It can involve budgeting, accounting, investing, forecasting, and protecting assets. Financial management includes making decisions related to the acquisition, investment, and distribution of resources in order to maximize their potential return.
Therefore the correct answer is A.
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was the hospital decision to suspend consultant, correct? Explain why or why not?
The hospital's decision to suspend the consultant can be evaluated by considering several factors: patient safety, professional conduct, and due process.
Patient safety is paramount in a healthcare setting, and if the consultant demonstrated behavior or made decisions that compromised patients' well-being, the suspension might be justified. Additionally, professional conduct is crucial for maintaining a positive work environment and upholding ethical standards. If the consultant violated these principles, the hospital might have made a correct decision. However, due process is also an important aspect to consider. If the consultant was suspended without a thorough investigation or fair opportunity to address the allegations, the decision might be questionable. In conclusion, whether the hospital's decision to suspend the consultant was correct or not depends on the specific circumstances, such as the impact on patient safety, adherence to professional conduct, and the fairness of the process leading to the suspension.
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Two types of productivity programs are being considered for funding. Both have an initial cost of $10,000 for training equipment and consulting contracts. Program A promises to produce constant net revenues of $4,000 per year for 5 years. Net revenues from program B are expected to be $10,000 the first year and $2,000 per year for the next 4 years. All revenues are considered end-ofyear receipts. a) Which program is preferable at MARR =10% ? b) Which program is preferable at MARR =20% ? c) Draw a graph of PW versus %(0%,10%,20%, and 30% ) for the two proposals and state a decision rule for selecting between the two proposals.
At a minimum attractive rate of return (MARR) of 10%, Program A is preferred over Program B. However, at a higher MARR of 20%, Program B becomes the preferable option. The selection of the preferred program is influenced by the MARR, with different rates leading to different decisions based on the evaluation of the programs.
To determine the preferable program at different Minimum Acceptable Rate of Return (MARR) values and visualize the decision-making process, we can calculate the Present Worth (PW) for both programs and compare them.
1. Calculation of PW:
For both programs, the initial cost is $10,000. We need to calculate the PW of the net revenues for each year and subtract the initial cost.
For Program A:
\(\[PW_A = -\$10,000 + \frac{\$4,000}{(1+0.10)^1} + \frac{\$4,000}{(1+0.10)^2} + \frac{\$4,000}{(1+0.10)^3} + \frac{\$4,000}{(1+0.10)^4} + \frac{\$4,000}{(1+0.10)^5}\]\)
For Program B:
\(\[PW_B = -\$10,000 + \frac{\$10,000}{(1+0.10)^1} + \frac{\$2,000}{(1+0.10)^2} + \frac{\$2,000}{(1+0.10)^3} + \frac{\$2,000}{(1+0.10)^4} + \frac{\$2,000}{(1+0.10)^5}\]\)
2. Comparison at MARR = 10%:
Calculate \(PW_A\) and \(PW_B\) using the formulas above. Comparing the PW values, we find that \(PW_A\) > \(PW_B\), so Program A is preferable at MARR = 10%.
3. Comparison at MARR = 20%:
Calculate \(PW_A\) and \(PW_B\) using the formulas above. Comparing the PW values, we find that \(PW_A\) < \(PW_B\), so Program B is preferable at MARR = 20%.
4. Graph of PW versus MARR:
Create a graph with the MARR on the x-axis and PW on the y-axis. Plot the PW values for both programs at different MARR values (0%, 10%, 20%, and 30%). The graph will show the relationship between MARR and PW for each program. The decision rule is to select the program with the highest PW value at a given MARR.
In summary, Program A is preferable at MARR = 10%, and Program B is preferable at MARR = 20%. The graph will visually illustrate the point at which the PW values intersect, indicating the MARR value at which the two programs are equally preferable.
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what is 1635436743 times 76354
Answer:
1.2487214e+14
Explanation:
What is the most important step in financial planning? *
A) Learning how the stock market works
O B) Putting together a diverse financial plan
O C) Tracking your spending
D) Putting together a budget and using it
QUESTION
Bill was discharged from his job. He believes he was wrongfully discharged and is
entitled to compensation for being wrongly let go. Bill's employment contract states
that rather than suing for damages, he and his employer must use an alternate method .
to settle their differences-one in which a third party hears both sides and makes a
binding decision.
Given this scenario, which of the following best describes the alternate method
specified in Bill's employment contract?
Answer:
Employment dispute resolution.
Explanation:
Based on the given scenario of Bob being fired wrongfully from his job and is entitled to compensation and his contract expressly days that instead of suing for damages, he must involve a third party who would listen to both sides and make a binding decision.
The best description of the alternate method is Employment dispute resolution.
when you are reading and come to an unknown word what should you do first? a.look for clues in the text b. skip it and keep reading c.look it up in a dictnoiry d.ask the teacher what it means. make sure to have an explanation
Answer:
I sound it out
Explanation:
and the word is conjunction
what is a security deposit?
Stretch goals are the Multiple Choice targets that are exceptionally demanding and novel. set of goals whose primary focus is to protect organizations from being sustainable. targets that merely exhort employees in general terms to improve performance and start doing their best. goals that conflict with people's personal values and interests. goals that are high enough to inspire better performance but at the same time are always unattainable.
Answer:
targets that are exceptionally demanding and novel.
Explanation:
Stretch goals are the targets that are exceptionally demanding and novel. It is not everyone that considers or think about creating stretch goals because they are highly demanding and relatively new to the individual or business firm.
Generally, stretch goals are divided into two (2) main categories and these includes;
I. Horizontal stretch goals: it is focused on the professional development of individuals through attempting, learning and picking up difficult challenges or tasks.
II. Vertical stretch goals: these type of goals or targets are usually in tandem with the current activities in an organization such as productivity and financial outputs.
is sol levin running a business "just like any other business," or is his company open to moral criticism? defend your answer by appeal to moral principle.
Sol Levin's business is open to moral criticism because it operates in a market that involves the commodification of a vital human resource - blood. It raises a moral questions about the unequal distribution of resources and the exploitation of vulnerable populations.
Sol Levin's company is not immune to moral criticism due to its business model. By operating in a market that involves the commodification of blood, it raises moral questions regarding the unequal distribution of resources and the exploitation of vulnerable populations.
This kind of activity raises serious questions about the ethics of the industry and it is essential that we engage in meaningful dialogue about the morality of these practices. Sol Levin's company must recognize the ethical considerations involved in their operations and strive to operate with the utmost integrity.
------The given question is incomplete, the complete question is:
"Sol Levin founded Plasma International. He recognized the profit in selling safe and uncontaminated blood. Business was going smoothly until Tampa paper exposed the purchase price of the blood and how much it was being resold for. Blood marketing is nothing new in the U.S. However, an important study compared and contrasted it to the National Health Service in Great Britain which relies on a voluntary system of blood donation. Economist Richard Titmuss argues that commercialized blood market is wasteful of blood and plagued by shortages. Philosopher Peter Singer has elaborated this point and has established a conflict between financial incentives and moral or altruistic conduct in other areas.
Is Sol Levin running a business “just like any other business,” or is his company open to moral criticism? Defend your answer by appeal to moral principle."--------
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organizations have traditionally divided the responsibility for managing the flow of materials and services among which three departments?
Answer:
Purchasing, production, distribution
Banks would reduce their liquidity by restructuring their asset portfolio to contain fewer ____ and more ____.
A : Treasury securities; excess reserves
B : loans; Treasury securities
C : corporate bonds; Treasury securities
none are correct
Banks would reduce their liquidity by restructuring their asset portfolio to contain fewer loans and more Treasury securities. The correct option is (B).What is liquidity?Liquidity is the ability of a firm or individual to convert assets into cash or equivalents rapidly, without incurring significant losses or price decreases.
Liquidity is important for both companies and individuals since it ensures that bills and other financial responsibilities can be paid quickly and effortlessly.What are loans?A loan is a sum of money that a person borrows to be repaid with interest.
A loan is a form of debt, which means that it is legally binding. Banks, credit unions, and other lending institutions provide loans.What are bonds?Bonds are financial instruments that represent a company's or government's debt.
When an organization borrows money from an investor, it issues bonds. When a person purchases a bond, they are effectively loaning the money to the issuer, with the promise of receiving it back with interest over a set period of time.
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