Fishing Products Limited is analysing the performance of its cash management. On average, the firm holds inventory 45 days, pays its suppliers in 25 days, and collects its receivables in 20 days. The firm has a current annual outlay of $10,800,000 on operating cycle investments. The company currently pays 10 per cent for its negotiated financing. (Assume a 360-day year.) Required: Calculate: i.) the firm’s cash conversion cycle. ii.) the firm’s operating cycle. iii.) the daily expenditure and the firm’s annual savings if the operating cycle is reduced by 15 days.
Q: What are the four personal decision styles used by managers? What are the biases that frequently…
A: Disclaimer- "Since you have asked multiple questions, we will solve the first question for you. If…
Q: manager is not only responsible for planning workplace initiatives and setting goals for their…
A: Organizational planning is the process of developing a plan for achieving the long-term and…
Q: employees may not be motivated to perform well in the training program. c. Suggest improvements in…
A: Motivation:- It is the ability of a person to motivate other person to perform and work well in the…
Q: Why is it essential that management explain to their employees what the organization is doing about…
A: A crisis is a series of unexpected, unanticipated occurrences that cause significant workplace…
Q: What are the Emotion barriers in communication?
A: Communication means exchanging and sharing information between two or more individuals. The process…
Q: What are the Benefits of Entrepreneurship?
A: The pursuit of innovative ideas, a readiness to do so, and the combination of resources are all…
Q: Discuss, with appropriate examples, the effects associated with the risks faced by Corporate and…
A: Banking Industry Types of banking institutions--Corporate banks also known as Merchant banks provide…
Q: 1. Define the problem described in this case study. What management, organization, and technology…
A: Introduction: The pandemic and national disasters have been affected the organizations to a great…
Q: describe the advantages of an LLC versus operating as a sole proprietorship, general partnership,…
A: A business organization refers to a legal entity incorporated for carrying out commercial…
Q: Describe the trait, behavioural, contingency and transformational theories of leadership.
A: There are several views regarding how leadership functions, what qualities make for great leaders,…
Q: Mangement questiones What are the ledership skills required of a good manager.
A: Leadership skills and talents are the traits and abilities that individuals demonstrate in order to…
Q: Employees are not required to join informal groups, yet they exist throughout organisations.…
A: A group is defined as two or more people who come together to achieve some common goals and…
Q: Compare and contrast the Internal-External (IE) Matrix with the Boston Consulting Group (BCG) Matrix
A: Internal-External Matrix (IE) and Boston Consulting Group(BCG) Matrix are two common tools for…
Q: discuss how SMEs prepare the financial requirements of the business as well as hiring of employees.
A: Small and medium- sized enterprises( SMEs) are non-subsidiary, independent businesses which employ…
Q: When it pertains to the issue of safety, what exactly does the term "security" mean in any case?…
A: Every business has to have an occupational safety strategy, or perhaps an Environmental Protection…
Q: What is the role of culture and fit in the success of the company?
A: Cultural fit refers to the degree to which employees’ values and beliefs are in line with that of…
Q: What ethical responsibilities do individual consumers have when dealing with companies that rely on…
A: A consumer is an individual or a group of people that intends to order and purchase or use goods and…
Q: At which stage might you have already resolved the conflict? O Step 2: Separate People From Problems…
A: INTRODUCTION: Workplace conflict is an inevitable part of any working environment. When conflict…
Q: I would like to write a conclusion and lessons learned for the subject: Project Subject : HR…
A: In today's business scenario, an effective human resource management system is very important for…
Q: You were hired as a consultant of a hypothetical company, and your task is to review the…
A: NOTE: We have generalized the solution as per our policy. Introduction:Organizational structure is a…
Q: What are some considerations that must be taken into account when developing a paid time off plan ?
A: One of the important parts of the human resource department is called human resource management. HRM…
Q: The job order cost system of nike shoes in canada 2021
A: Customers who order tiny, one-of-a-kind batches of goods use a mechanism called job order costing.…
Q: How could the omnipotent and symbolic management perspectives explain Tesco's financial scandal?
A: Introduction: 1.The views of the two management perspectives explains that how company's performance…
Q: How crucial is organizational structure in IS?
A: Businesses need structure to expand and make money; otherwise, customers will tug in many…
Q: Social media plays a role in what we are discussing this week. The influence that social media has…
A: Social media is a tool or platform primarily developed for communication purposes. It consists of…
Q: a transnational strategy is one that: a. gives two goals top priority b. gives a single goal top…
A: A transnational strategy is a business model that refers to the way in which a company operates in…
Q: lease provide examples of systematic or any other training methods that are currently in place…
A: Note: This is a subjective question hence we are providing a generalized solution. The development…
Q: True/False 10. Temperament is a hereditary factor among several others.
A: The term 'temperament' is defined as the way that a person's personality develops throughout their…
Q: Please discuss how the four functions of management are used in Recruitment. Please give real-life…
A: Management is the activity of allocating a company's resources and actions to achieve specific goals…
Q: What are the challenges involved in effective career management for expatriates ( Parent country…
A: expatriate career management is the study of how people develop careers within organizations which…
Q: State the characteristics of change management.
A: A methodical strategy for managing the transition or transformation of an organization's objectives,…
Q: Explain 4 functions of managements.
A: Management is the process of setting up a company's operations and resources to achieve certain…
Q: Assume Coffee business as a family buisess in Qatar and discuss the following: Customers -…
A: When performing the business operation in a specific market, it is essential that one should…
Q: Discuss the advantages or benefits of total quality management. Asap
A: Total quality management is the ongoing effort made by a company's management and staff to maintain…
Q: As a result of a critical assumption in the resource-based model of a firm, the resource differences…
A: Resource-based model:- The Resource-Based Model (RBF) is an economic model that seeks to explain…
Q: How are 'workforce transitions', 'policy initiatives' and' globalisation' connected?
A: Workforce transitions are connected to policy initiatives and globalisation because they can help to…
Q: While preparing your business plan it has come to your attention that a possibility to secure the…
A: Ethical decision-making is a process of choosing the best alternative or making a decision that…
Q: Discuss some of the unethical behaviours in an organisation.
A: Organizational Ethics- Organizational ethics relates to how a company must act in relation to its…
Q: The Interest-Based relational approach focuses on (Select TWO.) encouraging your opinion and…
A: Conflict generally takes place because of misunderstandings and disagreements between two or more…
Q: What are the benefits of Job rotation. Discuss any 5
A: Job rotation is recognized as an effective method for implementing HR strategy. It is a methodical…
Q: ess of perform
A: A worker's performance is defined as how well they carry out their duties and finish vital tasks. It…
Q: Read the case study below and answer ALL the questions that follow. CRISIS IT In May 2007, Frontier…
A: Note: The solution has been generalized and no personal opinion has been provided as per the…
Q: blake mouton grid leadership
A: Leadership theories are broad, well-researched, and reasonable hypotheses on what characterizes an…
Q: A definition of process theories of work motivation.
A: Motivation:- In humans and other animals, motivation is what causes an activity to start, continue,…
Q: Why can too much diversification hurt company performance?
A: Company performance is a combination of both the financial and non-financial aspects of an…
Q: What are the competitive strategies to enhancing the organizational profitability? Asap
A: Many organizations value increased profitability because it allows them to grow and compete in their…
Q: how can employee empowerment be made more effective ?
A: Introduction : Employee empowerment is the process through which an organisation grants its…
Q: What obstacles stand in the way of good planning, and how can the organisation get through them?…
A: The main responsibility of management is planning, or choosing beforehand what needs to be done,…
Q: Discerning the Strategies for Exiting Your Business Business owners work hard to build up their…
A: Exit strategies are basically the plan that states how a business owner will sell their stake or…
Q: Analyse how to establish a healthy working environment in a busy clinical practice in government…
A: When it comes to public hospital care, Hong Kong's healthcare system resembles the British NHS in…
Fishing Products Limited is analysing the performance of its cash management. On average,
the firm holds inventory 45 days, pays its suppliers in 25 days, and collects its receivables in
20 days. The firm has a current annual outlay of $10,800,000 on operating cycle investments.
The company currently pays 10 per cent for its negotiated financing. (Assume a 360-day
year.)
Required:
Calculate:
i.) the firm’s cash conversion cycle.
ii.) the firm’s operating cycle.
iii.) the daily expenditure and the firm’s annual savings if the operating cycle is reduced by
15 days.
Step by step
Solved in 2 steps
- Colleen Company has gathered the following data pertaining to activities it performed for two of its major customers. Jerry, Inc. Kate Co. Number of orders 6 30 Units per order 1,000 420 Sales returns: Number of returns 4 5 Total units returned 50 140 Number of sales calls 13 5 Colleen sells its products at $290 per unit. The firm’s gross margin ratio is 20%. Both Jerry and Kate pay their accounts promptly and no accounts receivable is over 30 days. After using business analytics software to carefully analyze the operating data for the past 30 months, the firm has determined the following activity costs: Activity Cost Driver and Rate Sales calls $ 800 per visit Order processing 180 per order Deliveries 410 per order Sales returns 270 per return and $3 per unit returned Sales salary 107,000 per month Required: 1. Using customers as the cost objects, classify the activity costs…You are the owner of DDD Company. The company is engaged in providing services to telecommunication companies. It has a multi-million sales. However, on an average collection cycle, you only collect the sales after 6 months. Upon reviewing the company's financial statements, you notice a large number of receivables and a large number of payables. The company is having a hard time paying its debts since it cannot collect promptly the receivables. The sales manager told you that the company cannot stop accepting projects because there are many competitors in the market. On the other hand, the collection manager suggested collecting first the receivables before accepting a new project. If you are the owner of DDD Company, what should you do? Give three reaons and explain why7. SBS Juices sell orange juice. Every morning (7am) the manager has to decide on the amount (liter) of juice to make for customers arriving between 8am and 9am. Demand for the juice follows a normal distribution with a mean of 20 liters per day and a standard deviation of 5 liters per day. Price per liter is $48.067, material cost per liter is $40, and salvage value per liter is $10. What is the optimal level of juice to make each morning to maximize expected profit?
- Demand for walnut fudge ice cream at the Sweet Cream Dairy can be approximated by a normaldistribution with a mean of 21 gallons per week and a standard deviation of 3.5 gallons per week.The new manager desires a service level of 90 percent. Lead time is two days, and the dairy isopen seven days a week. (Hint: Work in terms of weeks.) b. If a fixed-interval model is used instead of an ROP model, what order size would be needed forthe 90 percent service level with an order interval of 10 days and a supply of 8 gallons on handat the order time? What is the probability of experiencing a stockout before this order arrives?7.4 Milwaukee Surgical Supplies Inc. has gross sales for the year of $1,200,000. The collections department estimates that 30 percent of the customers pay on the tenth day, 40 percent pay on the thirtieth day, and the remaining 30 percent pay, on average, on the fortieth day after the purchase. (Assume 360 days per year.) What is the firm’s average collection period? What is the firm’s current receivables balance? What would the firm’s new receivables balance be if Milwaukee Surgical toughened up on its collection policy, with the result that the 70 percent of customersthat did not pay by the tenth day paid on day 30? Suppose that the firm’s cost of carrying receivables was 8 percent annually. How much would the toughened credit policy save the firm in annual receivables carrying expense? (Assume that the entire amount of receivables has to be financed.)Please do not give solution in image format thanku Ram Roy's firm has developed the following supply, demand, cost, and inventory data. Supply Available Period Regular Time Overtime Subcontract Demand Forecast 1 40 15 15 50 2 30 15 15 55 3 40 20 15 60 Initial inventory 30 unitsRegular-time cost per unit$100 Overtime cost per unit$160 Subcontract cost per unit$250 Carrying cost per unit per month$4 Assume that the initial inventory has no holding cost in the first period and backorders are not permitted. Part 2 Allocating production capacity to meet demand at a minimum cost using the transportation method, the total cost is $enter your response here (enter your response as a whole number).
- Demand for walnut fudge ice cream at the Sweet Cream Dairy can be approximated by a normaldistribution with a mean of 21 gallons per week and a standard deviation of 3.5 gallons per week.The new manager desires a service level of 90 percent. Lead time is two days, and the dairy isopen seven days a week. (Hint: Work in terms of weeks.)a. If an ROP model is used, what ROP would be consistent with the desired service level? Howmany days of supply are on hand at the ROP, assuming average demand?b. If a fixed-interval model is used instead of an ROP model, what order size would be needed forthe 90 percent service level with an order interval of 10 days and a supply of 8 gallons on handat the order time? What is the probability of experiencing a stockout before this order arrives?c. Suppose the manager is using the ROP model described in part a. One day after placing anorder with the supplier, the manager receives a call from the supplier that the order will bedelayed because of problems at…tion 1 A web page designer purchases a car for $18,395. The sales tax is 6.5% of the purchase price, car license fee is 1.2% of the purchase price and the designer makes a $2500 down payment. Assuming the designer gets the loan at an annual interest rate of 7.5% for 4 years, determine the monthly car payment. (answer in whole number)Demand for walnut fudge ice cream at the Sweet Cream Dairy can be approximated by a normaldistribution with a mean of 21 gallons per week and a standard deviation of 3.5 gallons per week.The new manager desires a service level of 90 percent. Lead time is two days, and the dairy isopen seven days a week. (Hint: Work in terms of weeks.)a. If an ROP model is used, what ROP would be consistent with the desired service level? Howmany days of supply are on hand at the ROP, assuming average demand?
- 33) please please help me with this Next week, Super Discount Airlines has a flight from New York to Los Angeles that will be booked to capacity. The airline knows from history that an average of 28 customers (with a standard deviation of 14) cancel their reservation or do not show for the flight. Revenue from a ticket on the flight is $122. If the flight is overbooked, the airline has a policy of getting the customer on the next available flight and giving the person a free round-trip ticket on a future flight. The cost of this free round-trip ticket averages $228. Super Discount considers the cost of flying the plane from New York to Los Angeles a sunk cost. By how many seats should Super Discount overbook the flight? Note: Use Excel's NORM.S.INV function to find the z value. Round z value to 2 decimal places. Round your answer to the nearest whole number.13) Which of the following method is used for calculating Time value of Money? a. Future Value b. All of the options c. Annuity method d. Present valuePane 3. Assume a company receives cash from different geographic areas of $500,000 daily. The average float of the cash receipt is 4 days. Interest rate on savings is 6% per year. If the company institutes a lock-box system, it will reduce the float to two days. It will cost $80,000 to install the lock-box system and an additional monthly fee of $1,000 to operate it. Should the company install the lock-box system?