...Week 1 DQ1 Managerial Economic Decision Making" Please respond to the following: From the e-Activity, assess how business leaders use managerial economics to make business decisions indicating how profits may be impacted. Analyze the principal-agent problem to determine how the relationship could be less adversarial. Provide support for your rationale. ECO 550 Week 1 DQ2 "Fundamental Economic Concepts" Please respond to the following: Pick a recently released good or service. Then, determine the factors that must be evaluated regarding the product’s supply and demand. Analyze how these factors impact the decision to supply the product indicating the significance of each in the decision-making process. Using the same product example above, analyzing how the risk tolerance factors play in supplying the good or service and how this should influence management’s decisions ECO 550 Week 2 DQ1 "Demand Analysis" Please respond to the following: From the e-Activity, if you were a manager in a tobacco company, analyze the elasticity of demand for tobacco products. Evaluate the factors involved in making decisions about pricing tobacco products indicating which would be the most influential. Using the same scenario above, discuss how the elasticity influence the short-term and long-term decisions of the company and the impact to the decision made related to profitability. ECO 550 Week 2 DQ2 "Estimating Demand" Please respond to the following: Provide an example when it would be...
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...competition is fierce and shareholders demand high return on investment. Thus, there is a need to maximize profitability. Increasing revenues while minimizing costs are ways to boost profits. The article “Managing Customer Value” suggests that customers might be the key to improve profits. Customers are assets to firms; they generate revenues. However, some assets generate more revenues than other. In order to foster maximum returns from the customers, it becomes imperative to understand the differences between customers groups. Recognizing this diversity will enable value extraction from the investments. Unfortunately, most companies are unable to distinguish between the profitable and the unprofitable customers. One approach in measuring and managing customer value is the “Customer Value Management Cycle”. This cycle consists of 5 steps. 1. Customer segmentation; A proper segmentation drives profits by tailoring values to fit different customer needs. Thus, marketing should be correlated to different behaviors that steer customer profitability. Segments are dynamic and should be continuously refined as understanding of customers increases. Finally, including potential customers in the segments is also advantageous as it can help the company meet the needs of these customers. 2. Segment margins; Value from segmenting the customer base will be maximized when the profitability of these segments is measured. This in turn will allow formulating the right strategy and effective...
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...ASSIGNMENT 2 FDI STRATEGY ITB 305 WK 8 Assignment 2 - FDI Strategy Write a six to eight (6-8) page paper in which you: 1. Briefly describe the MME you selected (who they are and what they do.) 2. Analyze the challenges and advantages of FDI for the MME in the country you selected. 3. Determine the best way for your MME to minimize foreign exchange risks. 4. Determine how your MME could leverage government policies to maximize the profitability of FDI. More Details hidden... Activity mode aims to provide quality study notes and tutorials to the students of ITB 305 WK 8 Assignment 2 FDI Strategy in order to ace their studies. ITB 305 WK 8 ASSIGNMENT 2 FDI STRATEGY To purchase this visit here: http://www.activitymode.com/product/itb-305-wk-8-assignment-2-fdi-strategy/ Contact us at: SUPPORT@ACTIVITYMODE.COM ITB 305 WK 8 ASSIGNMENT 2 FDI STRATEGY ITB 305 WK 8 Assignment 2 - FDI Strategy Write a six to eight (6-8) page paper in which you: 1. Briefly describe the MME you selected (who they are and what they do.) 2. Analyze the challenges and advantages of FDI for the MME in the country you selected. 3. Determine the best way for your MME to minimize foreign exchange risks. 4. Determine how your MME could leverage government policies to maximize the profitability of FDI. More Details hidden... Activity mode aims to provide quality study notes and tutorials to the students of ITB 305 WK 8 Assignment 2 FDI Strategy in order to ace their studies. ITB 305 WK...
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...Through week four of accounting 291, the team got to view a lot of information about the different types of common ratios that companies use to analyze financial information. From the readings this week and discussions the team came to the conclusion that ratios play an important role in accounting. Week four went in-depth about the different types of common ratios that companies use to analyze its financial information. The team spoke about what common ratios are more important, and examples of how companies use ratios in the decision-making process. Some common ratios used to analyze financial information profitability ratios, efficiency ratios, liquidity ratios, and solvency ratios. Profitability ratios are the company's gross, operating, and net profit margins. The gross profit margin measures profitability after considering the cost of goods sold, whereas the operating profit margin measures profitability as a result of earnings before interest and tax expense. The net profit takes all expenses into consideration and is often viewed as the bottom line. Efficiency ratios measure how effective management is managing the turnover rates and returns on assets. Sales to receivables and inventory turnover is also in the efficiency ratios. When a company measures inventory turnover and sales to receivables a higher number proves better efficiency. Measuring return on assets involves comparing net income to total assets. The third type of ratio is liquidity which evaluates the company's...
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...Activity……………………………………………………………………………………..5 Debt…………………………………………………………………………………………6 Profitability………………………………………………………………………………6-7 Market………………………………………………………………………………………7 Hibbett’s Sporting Goods History:……………………………………………………...Page 8 Hibbett’s Financial Statements:……..…………………………………………………..Page 9 Hibbett’s Financial Analysis:……..………………………………………………..…...Page 10 Liquidity……………………………………………………………………………………10 Activity……………………………………………………………………………………..10 Debt…………………………………………………………………………………………11 Profitability……………………………………………………………….……………11-12 Market………………………………………………………………………………………12 My Income Statement……………………………………………………………………………13 Conclusion…………………………………………………………………………………………14 Bibliography.………………………………………………………………………………………15 Executive Summary I chose to invest half of my $50,000 into Dicks Sporting Goods Inc. mainly because Dicks is the more rapidly growing companies in the sporting goods industry. In their 2013 annual report, Dicks strongly puts an emphasis on where they are heading in the next few years and it sounds like the right direction. They have strengthened their online stores but still depending on the physical stores to make the money. In their annual report they stated, “Industry research estimates that by 2017, consumers will spend nearly $5 in physical stores for every $1 they spend online2, making our stores a key driver of sales and profitability.” (DKSAR) This...
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...A Time Bomb-Greece recession In ancient Greece mythology, bringing in a normal trophy leads Tory fall to enemy’s occupation. Now, similarly, the European countries that had promoted Greece to enter the Euro area, is swallow heavily their bad decision. Who had expect, a country accounted for only 2.5% of the overall southern European countries of the Eurozone would drag others into mud. Greece debt crisis began in December 2009. Three major international rating agencies continuously lowered Greece's credit rating, caused Greece stock market crash and the sharp rise in risk aversion in the international market. Under the pressure of insolvency, Greece government asked for assistance from the European Union and the International Monetary Fund in April 2010. A year ago, relying on the European Union and 110 billion euros of aid pledged at the International Monetary Fund, Greece barely survived the bankruptcy crisis. However, the first bill out did not solve the Greece’s finance tsunami because taking new debt based one older one could only accelerate debt level. It is estimated that if Greece can’t borrow at least 30 billion euros this year, the national bankruptcy will not be able to avoid. Therefore, in order to push the second round billing, the Greece Government intends to tighten its belt and launched austerity program. But in front of the selection of survival or dignity, Greece better to die with honor than to survive in disgrace. Then it is hardly surprising that the...
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...1. Analyze the financial and leadership strengths and weaknesses of the Utah Symphony before the merger. Utah Symphony had a great deal of financial talent, but has been unable to find a strong source for future success. The potential merger builds on these strengths and weaknesses by creating a better future for both companies. a. Recommend the key steps Anne should take to address these weaknesses to ensure a successful start of the merger. I believe that the first Step Anne should take to address these weaknesses would be to analyze the issues. The next step would be to develop an action plan that can ensure the merger will benefit both parties. Finally, the third step is to take action and use the plan as a guide to success. 2. Analyze the financial and leadership strengths and weaknesses of the Utah Opera before the merger. Utah Opera has seen recent success but they have been unable to branch out into other areas. The fact that they have more resources and could use this to increase business has attracted the company to Utah Symphony as an already established company. a. Recommend the key steps Anne should take to address these weaknesses to ensure a successful start of the merger. The key steps Anne should take to address these weaknesses are the same when compared to Utah Symphony. The thing Anne will want to do is address everyone involved and everyone that will potentially be impacted by the changes. 3. Analyze the four aspects of the scorecard from ...
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...lancehomework@gmail.com ECO 550 DQ 1: Managerial Economic Decision Making From the e-Activity, assess how business leaders use managerial economics to make business decisions indicating how profits may be impacted. Analyze the principal-agent problem to determine how the relationship could be less adversarial. ECO 550 DQ 2: Fundamental Economic Concepts Pick a recently released good or service. Then, determine the factors that must be evaluated regarding the product’s supply and demand. Analyze how these factors impact the decision to supply the product indicating the significance of each in the decision-making process. ECO 550 DQ 3 From the e-Activity, explain the most important information you would require on which to base sound economic judgments. Explain your rationale. Assess the various forms of organizing and processing information to determine which is the most difficult to get correct. Explain your rationale ECO 550 DQ 4 Analyze the characteristics that make any transaction possible and justify the importance of each of the characteristics.Evaluate the role institutions play in transactions and discuss the likely economic impact if institutions did not exist. ECO 550Chapter 1 (Ex.2, 3, 4) and Chapter 2 (Ex.1, 5, 6) ECO 550 Chapter Questions ECO 550 WEEK 2 DQ 1 : Demand Analysis From the e-Activity, if you were a manager in a tobacco company, analyze the elasticity of demand for tobacco products. DQ 2 : Estimating Demand Provide an...
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...Dodge asked you to analyze whether the bank should extend the requested $465,000 loan to Butler Lumber. Using the 5Cs of credit analysis format, prepare a report for Mr. Dodge. Here is some guidance: CAPACITY/CASH FLOW: 1. How has Mr. Butler met the financing needs of the company during the period 1988 through 1990? (Analyze by balance sheet components.) 2. Has financial strength of Butler Lumber improved or deteriorated? (Provide specific measures.) 3. Why has Butler Lumber borrowed increasing amounts despite its consistent profitability? (Analyze the company’s cash flow and the growth in its assets. This can be done with a simple funds flow analysis, a calculation of free cash flow and/or an additional funds needed (AFN) analysis.) MAJOR QUESTION: 1. Do you agree with Mr. Butler's estimate of the company's loan requirements? (HINT: You need to consider both the increased profitability and the increased financial requirements of taking the supplier discounts.) CAPITAL: 1. What do you think about the level of net worth compared to total assets? 2. What has been the trend? What would the capital ratios look like after the proposed bank loan? COLLATERAL: 1. Would you require that this loan be secured? 2. If so, by what assets, both company and personal? 3. What is you opinion about the quality of such assets in bankruptcy? CONDITIONS: 1. What covenants, restrictions and/or conditions would you recommend Northrup require? 2. How would the economy...
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...organization to its external users” (Edmunds, 2010). They show recordings of obligations and are used for making decisions. The purpose of the analysis is to determine the meaning and significance of the data contained. As stated in the text, there are three different methods that is used for examining financial statements. They are horizontal analysis, vertical analysis, and ratio analysis. Horizontal analysis is one of the most common used techniques to analyze financial statements. The changes from period to period or year to year and over time are observed by absolute amounts or percentages. “Percentage uses the formula (subsequent year – previous year / previous year) * 100” (Zelman, McCue & Glick, 2009). Horizontal analysis is done for the income statement and the balance sheets. Using horizontal analysis is important. It states the facts very simple and makes analyzing more simple. “Vertical analysis uses percentages to compare individual components of financial statements to a key statement figure” (Edmunds, 2010). It analyzes the income statement and the balance sheet. It is also a common used method but it’s used more frequently to monitor annual changes. A benefit of vertical analysis is the ability to evaluate comparisons. The formula used for this analysis is “(line item of interest / base line item) * 100” (Zelman, McCue & Glick, 2009). Ratio analysis is the studying of various relationships between different items reported. Ratio analysis’ asks questions. They can be...
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...S12 Final Exam Topics From Exam 1 1. Explain in detail the strategy making process including why an implementation plan is essential (1), why the sixth step is important (Monitoring performance that the text authors leave out) (2), what a mission statement is and why it is necessarily the first step (3), how to evaluate a mission statement using Abel’s framework (4), and why values should be part of the mission statement. The strategy making process include five steps: (1) Select the corporate mission and major corporate goals. Mission statement provides the framework within which strategies are formulated. It is important because the company mission statement describe what the company does. A goal is a precise and measureable desired future state that a company attempts to realize. (2) Analyze the organization’s external competitive environment to identify opportunities and threats. The essential purpose of this is to identify strategic opportunities and threats in the organization operating environment that will affect how it follows its mission. …In addition, step (3) Analyze the organization’s internal operating environment to identify the organization’s strengths and weaknesses. It focuses on reviewing the resources, capabilities, and competences of a company. (4) Select strategies that build on the organization’s strengths and correct its weaknesses in order to take advantage of external opportunities and counter external threats. Its purpose is to create a company-specific...
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...The valuation effects of long-term changes in capital structure ABSTRACT The objective of this study is to analyze and examine the changes in capital structure that do not affect the value of the firm and we have to know the relationship between the capital structure and the firm’s value. We are try to learn the changes in capital structure that do not affected the firm’s value and want to know relationship between the capital structure and the value of firm. For this study we used five independent variable that are profitability , growth , leverages , size and intangible ratio on the other hand we have one dependent variable that are firm value. We collected data from the Karachi stock exchange (KSE) and State Bank of Pakistan. Contents CHAPTER 1: INTRODUCTION 4 1.1 Background of the study 4 1.2 Problem Statement 6 1.3 Purpose of the study 7 1.4 Significance of the study 7 1.5 Operational definitions of the variables 8 1.5.1 Leverage: 8 1.5.2 Market to Book Value: 8 1.5.3 Profitability: 8 1.5.4 Growth: 8 1.5.5 Size: 8 1.5.6 Intangible: 9 CHAPTER 2: LITERATURE REVIEWS 10 2.1 Theoretical Background: 10 2.2 Empirical evidence: 11 CHAPTER 3: METHODOLOGY 17 3.1 Research Method 17 3.2 Research Model 17 3.3 Research Hypothesis: 18 3.4 Data Collection 18 3.5 Population and Sample Size 18 3.6 Research Technique 19 INTRODUCTION ...
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...Managing Financial Resources and Decisions By (Name) Name of Class (Course) Professor Name of the School State and City Date Managing Financial Resources and decisions Managing financial resources entails the process of input maximization with the scarce resources. This process calls for maximizing opportunities within an organization through the adoption of proper management procedures. These procedures will not only help an organization reduce its overall costs but will also ensure that it achieves its strategic goals. Many a time, the ideas in an organization outweighs the scarcity of resources. However, an organization can review its strategic plans against the ideas available to prioritize its objectives against the scarce resources. This paper tries to show the decisions reached by management to source for additional finance and the effects it has on the company’s financial performance. Benefits of Forming a Liability Company A limited company refers to a company whose members’ liability is limited to their investment or guarantee. The benefits of forming this type of company for instance, Marrocco Company Limited includes: There is a Separate Legal Entity This means that third parties are required to contract with the company itself and not with individual shareholders or directors. It also means that...
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...But lately, they had started selling their products globally. Thus, due to this change in the buyer community there was a need for industries to protect themselves against competition from other industries and achieve competitive advantage. (Kippenberger, 1996) Competitive advantage is like achieving a better place than competitors. The industries can achieve competitive advantage by proper formulation and analysis of their strategies. Michael Porter (1979) developed five forces model for strategy analysis and formulation. These forces analyze the opportunities available and threats to the industries. Thus the analysis helps the managers gain a better understanding of the strategies that are useful for industries to achieve their goals. (Kippenberger, 1996) Question: What is the model? Porter’s Competitive Forces Model is for strategy analysis. The model represents five major external forces that can affect a company’s profitability and competitive advantage. Threats of entry, Powerful suppliers, Powerful buyers, Substitute products and Jockeying for position are the five forces that constitute this model. The analysis of these five forces is highly significant in strategy formulation and evaluation of firm’s strategic position. (Porter, 1979) Threat of entry refers to the entry of new competitors/industries that affect the work of existing industries in the same field. So...
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...buyers of a product or service and marketing is a social and managerial process where by individuals and groups obtains what they need and want through creating and exchanging products and value with others. The traditional view of marketing is that the firm makes something and then sells it. In my words, marketing is how the producers create value to the customer and receive it by needs and wants. We must know that marketing concept is the philosophy that firms should analyze the needs of their customers and then make decisions to satisfy those needs, better than the competition. Ever since man started to trading goods, marketing was created. Suppose that marketing was never exist, we cannot buying foods, houses, car, etc. Without marketing, this world is nothing. Marketing involves the satisfying customers’ needs and wants. Marketing has a value creation and delivery sequence that consists of three parts. That is choosing the value, providing the value, and communicating the value. From my understanding, marketing does both. It creates and satisfies needs of customers. Marketers must use the marketing development’s term to create needs. They must learn how to change in knowledge, behavior, attitudes, or creativity. Then, it helps customers to be motivated to learn and make a decision, helps the customers effectively handle the information and experience, or helps the customers understand the product applications and influences the buying behavior. Marketing also satisfy...
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