(Answered) Dam is considering accepting an order for 25 sanitary items

Statistics

DAM is considering accepting an order for 25 sanitary items. On past experience, the credit controller reckons that there is a probability of 33% that bad debts will arise. In any case, credit period will be 90 days and it is estimated that the cost of sending letters for the 25 units will be $ 10.

The selling price per unit is $ 50 and variable cost is $ 30. The company's requires a return of 20%.

RQD: Should the firm accept or reject the order?

View complete question

Statistics and Probability, Statistics

Category:- Statistics and Probability
Reference No.:- M92760837
Price:- $10

Verified Expert

Priced at $20 Now at $10, Verified Solution

Have any Question?Write your Review or question?

Related Questions in Statistics and Probability

This table summarizes the results from alongtermrandomized

This table summarizes the results from along+termrandomized clinicaltrial to determine whether aspirin reduces the risk of heart attack. Researchers randomly assigned a large sample of healthy male physicians (22,071) ...

Depaul university makes student ids of length 5 characters

DePaul University makes student IDs of length 5 characters by picking 2 letters from D,E,P,A,U,L; no repetitions and the order is not important followed by picking 3 digits from 0,1,2,3,4,5,6,7,8,9; no repetitions and th ...

The table shows the results of a survey in which 400 adults

The table shows the results of a survey in which 400 adults from the? East, 400 adults from the? South, 400 adults from the? Midwest, and 400 adults from the West were asked if traffic congestion is a serious problem. Co ...

The manufacturer of a new fertilizer wants to show that the

The manufacturer of a new fertilizer wants to show that the new chemical increases bean yields. The average acre currently yields 146.8 bushels of beans. State the null and alternative hypotheses that the manufacturer wo ...

Thirty-eight percent of consumers prefer to purchase

Thirty-eight percent of consumers prefer to purchase electronics online. You randomly select 16 consumers. Find the probability that the number who prefer to purchase electronics online is at most 5.

Light travels at 186283 miles every second how many feet

Light travels at 186,283 miles every second. How many feet per hour does light travel? Round one decimal place if necessary.

Stock valuationsuppose you know that a companys stock

Stock Valuation Suppose you know that a company's stock currently sells for $72 per share and the required return on the stock is 11.5 percent. You also know that the total return on the stock is evenly divided between a ...

In a sample of 41 temperature readings taken from the

In a sample of 41 temperature readings taken from the freezer of a restaurant, the mean is 29.7 degrees and the standard deviation is 2.7 degrees. What would be the 80% confidence interval for the temperatures in the fre ...

Compounding and period as you increase the length of time

Compounding and Period: As you increase the length of time involved, what happens to future values? What happens to present values? The present value of annuity will increase as well as the future value when you increase ...

You have two investments that either make money or lose

You have two investments that either make money or lose money. Each one has a 60 percent chance of making money, and a forty percent chance of losing money. There is a 30 percent chance that both investments make money. ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Statistics and Probability Expert