An unstable environment is one in which the number of external elements of the environment that lie in the firm's domain is very large. That means many environmental elements (e.g., customers, vendors, suppliers, investors, unions, policies etc.) can affect the firm but they may not necessarily change frequently. (Hint: The content on Stable-Unstable dimension of external environment may be relevant here) True False
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An unstable environment is one in which the number of external elements of the environment that lie in the firm's domain is very large. That means many environmental elements (e.g., customers, vendors, suppliers, investors, unions, policies etc.) can affect the firm but they may not necessarily change frequently. (Hint: The content on Stable-Unstable dimension of external environment may be relevant here)
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- A requirement for scientific work is that what we have done can be reproducible, whichmeans that when using the same input and the same models, we should arrive at the sameresults. Will a risk assessment meet this requirement? it is a risk management question.All of the following are advantages to contracting except: a. Reducing income riskb. Assuring a market for a commodityc. Eliminating default risk of a single buyerd. Ensuring and rewarding for qualityUnder the COSO framework, the Enterprise Risk Management provides value creation by enabling the management through the following, except A. By avoiding to make decision on risks that are assessed to have a higher impact on its operation. B. Responding in a manner that reduces the likelihood of downside outcomes and increases the upside. C. None of the choices given D. Dealing effectively with potential future events that create uncertainty
- One option for coverage for flood, earthquake, and possible other loss exposures not covered under regular commercial property policies is a difference in conditions (DIC) policy. Which one of the following statements is true regarding DIC policies? DIC policies often require coinsurance as a condition of the property coverage. DIC insurance is not a cost-effective method of obtaining flood and earthquake coverage. DIC forms may offer broader coverage for some perils, and some exclusions may be less restrictive. A DIC policy takes little time to negotiate and prepare when compared to a policy made up of standard forms.States of Nature Alternatives Very Favorable Market Average Market Unfavorable Market Build new plant $300,000 $210,000 −$280,000 Subcontract $160,000 $100,000 −$15,000 Overtime $120,000 $70,000 −$8,000 Do Nothing $0 $0 $0 Using the decision making under uncertainty with the criterion of Maximax the appropriate decision will be... (Do Nothing) (Build new plant) (Overtime) (Subcontract) The value of the return under this decision is Using the decision making under uncertainty with the criterion of Maximin the appropriate decision will be... (Subcontract) (Overtime) (Do Nothing) (Build new plant) The value of the return under this decision is Using the decision making under uncertainty with the criterion of Equally Likely the appropriate decision will be (Do Nothing) (Subcontract) (Build new plant) (Overtime) The value of the return under this decision isSome new product launches fail and this leaves a negative impact on the profitability of the company. Using a particular product as an example, discuss 1. Some of the key determinates and conditions that need to be met to launch that product successfully on the market;
- Which of the following scenarios accurately reflects the meaning of the profit leverage effect? Group of answer choices With a 7.6% profit margin, decreasing your cost of goods sold (COGS) by $10,000 increases your pre-tax profits by $10,000, but increasing your sales by $10,000 only increases your pre-tax profits by $760. When operating with a 7.6% profit margin, your cost of goods sold will be $10,000 as long as your sales exceed $10,000. With a 7.6% profit margin, every additional $10,000 in sales increases your pre-tax profits by $10,000, while every $10,000 saved in purchasing increases your pre-tax profits by just $760. If your profit margin is 7.6%, every $10,000 saved in purchasing lowers your COGS sold by $760.Which of the following is not true in terms of contributing positively to the business model of leasing assets for a lessor? Select one: a. Often a lessor can sell an asset that is returned at the end of the lease for more than the residual value included in pricing the lease. b. A lessor cannot claim capital cost allowance on assets it leases. c. A lessor who manufactures assets can use leasing as a way to sell its inventory to lessees that otherwise would not be able to afford to purchase the asset from them outright. d. A lessor retains legal ownership of assets it leases which is important in situations where lessees do not honour their lease commitments. e. None of the above.Inductive and Deductive Reasoning Jose always leave for school at 10:00 a.m, Jose is always on time, Betty assumes, then that if she leaves at 10:00 a.m for school today, she will be on time All dogs have ears, Puddles is a dog. Therefore Puddles have long ears. Are the argument of the two situation valid? How do they differ in coming up the conclusion?
- A customer's "Willingness to Pay" should always be below the price that is being charged by the firm in the industry. - True - False - Depends - Doesn't Matter which option is correct ?Why is it good practice to standardize business practices? SELECT ALL THAT APPLY A) Policies can be enforced B) Results are more consistent C) Risks from errors can be reducedWhich one of the following transactions would be considered a protective strategy? Sell a call against a stock you sold short. Buy a call on a stock you own. Sell a put on a stock you own. Buy a put on a stock you own.