Business Studies Questions & Answers

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Q1. Which of the funding sources described in this chapter do you recommend that Kenneth Giddon and David and Lorri Jones consider for financing the growth of their businesses? Which sources do you recommend that they not use? Why? ANSWER The financing needs of these entrepreneurs are similar and assessments of these funding options follow: 1-       Angel Investors: based on the right match between the business and the angel investor angel    investors might be an attractive fit. (Potential) 2-       Family and Friends: It might be a good source to consider to meet the needs of investment. This source is not recommended if the amount represents high risk. (Potential) 3-       Federal or SBA Loans: After being rejected from a bank than this might be a possible source of funds.  (Potential) 4-       Venture Capital: This might be attractive if the right...

Q1. Explain the key benefits of the revised approach and the reason for the benefit? Answer: The key benefits to the revised approach is that tags are sent directly to the growers. The growers will then be able to order another set of tags once the plants have grown since they will have surplus in plants. The main reason of the approach is based on not having a plenty of un-used tags shipped to the grower from the seed companies. Q2. Master tag has not yet decided to implement this plan. list the pros and cons you think should be considered? Answer: The pros is:   1- The tags will not leave the seed from plantation till it reaches the retail customer. 2- The grower is able to order new tags directly from MasterTags. 3- The seeds company don't have to sort and send off their order to the growers. 4- The seed companies won't have a surplus of tags in their warehouse. 5- The grower would be better to utilize the process of order from MasterTag ...

Q1. Briefly describe the cookies production process? Answer: The production process is as follows: The management gets orders from distributors. Orders are used for scheduling the production. Each shift lists of the cookies to be made that day is delivered to the person in charge of mixing. That person checks the master list that indicates the ingredients needed. The computer determines the amount of each ingredient needed according to the quantity. The ingredient are automatically sent to a giant mixing machine where the ingredients are combined. The batter is poured into cutting the machines. Then the cookies are dropped onto a conveyor belt and transported through one of the two ovens. Filled cookies such needs an additional step for filling and folding.  Non-filled cookies are cut rather then round. Cookies emerges from the oven then fed on to spiral cooling racks. Cookies come off the cooling racks...

   Which is more important: Selling Machines or Selling Rings? Inventory Book value $93,000 High Low Machine unit price 4500 6820 Ring usage per machine 2 6 Ring average life   2 2 Ring annual turnover 6 6 Rings per machine yearly 12 36 Price per 100 Rings 320.4 320.4 Price per Ring 3.204 3.204 Estimated Ring Revenue per machine 38.45 115.34 Estimated Ring Revenue as a % of Machine price 0.85 1.69 From (Table 1) the given data can proof that selling rings will be less important from selling machines. ·         Do you think that the competition will stay in 10% of the market? Of course  the competition will not remain 10% forever and IG has to move based on that. Because IG have a very solid customer base, and i...