Dell’s Working Capital Substantive Issues Dell manufactures‚ sells‚ and services personal computers. The company markets directly to its customers and builds computers after receiving a customer order. This build-to-order model enables Dell to have much smaller investments in working capital than its competitors. It also enables Dell to enjoy more fully the benefits of reductions in component prices and to introduce new products more rapidly. Dell has grown quickly and has been able to finance
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Plant overhead $122‚000 D/L rate/hour $30 Youngstown has a traditional cost system. It calculates a plant-wide overhead rate by dividing total overhead costs by total direct labor hours. Assume‚ for the calculations below‚ that plant overhead is a committed (fixed) cost during the year‚ but that direct labor is a variable cost. 1. Calculate the plant-wide overhead rate. Use this rate to assign overhead costs to products and calculate the profitability of the four products. The assignment
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The following appeared in a letter to the editor of the Balmer Island Gazette. "On Balmer Island‚ where mopeds serve as a popular form of transportation‚ the population increases to 100‚000 during the summer months. To reduce the number of accidents involving mopeds and pedestrians‚ the town council of Balmer Island should limit the number of mopeds rented by the island’s moped rental companies from 50 per day to 25 per day during the summer season. By limiting the number of rentals‚ the town council
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AACS4794 MANAGEMENT INFORMATION SYSTEMS Case Studies Case Study 1: A Giant Step for Mattress Giant (May 2007) Mattress Giant is one of America’s largest bedding retailers‚ with 240 stores in 14 states. For years‚ the company spent more than $20 million (about RM70 million) annually‚ about 10 percent of its revenue‚ advertising to people in their mid-30s‚ whose household income was $30‚000 - $40‚000 (about RM105‚000 - RM140‚000) per year .and who drove domestic car. As it
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Central State University of Agriculture College of Development Education Computer science High School of Bicolandia San Jose‚ Pili‚ Camarines Sur OPTIONAL PARTS OF BUSINESS LETTER Ms. Elvie P. Racasag (Technical Writing teacher) Joedy Mae B. Mangampo II- Algorithm Attention Lines In formal correspondence‚ it is a line of text denoting the intended recipient within an organization. In a business letter‚ it is usually positioned above the salutation
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Bachelor of Applied Management Graduate Diploma in Business AMSM700a Strategic Management Assessment One – Case Study 2014 Student ID 2014001813 NorthTec reserves the right to use electronic means to detect and help prevent plagiarism. Students agree that when submitting this assignment‚ it may be subject to submission for textual similarity review to Turnitin.com. Submissions received late will be subject to a penalty of 10% of the student’s mark per working day. This assessment
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Capital Punishment As the war on crime continues‚ two truths hold steady: eliminating all crime is impossible‚ and controlling it is a must. The main weapon used to control crime in this war is deterrence. The government ’s deterrent for committing murder is the death penalty‚ also known as capital punishment. Everyone thinks human life is valuable. Some of those against capital punishment believe that human life is so valuable that even the worst murderers should not be deprived of the value of
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* Explain how Dell’s working capital policy is a competitive advantage for the company? Dell uses a just in time order fulfillment policy and accurate forecasting of sales to minimize inventories. This allowed Dell to hold inventory of finished products far below levels of their competitors (10-20% compared to 50-70% industry level) and furthermore allowed them to quickly implement changes to their product lines as new technologies became available. This quick inventory turnover also allowed Dell
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Memorandum To: CEO‚ Ocean Carriers Re: Ocean Carriers Capital Budgeting Mary Linn‚ Vice President of Finance‚ has been approached by a potential customer with a proposed lease of a ship for a three-year period‚ beginning in early 2003. The terms are very attractive but we currently do not have a ship that meets this customer’s needs. Ms. Linn has asked Group 4 to research three proposed scenarios to determine whether or not commissioning a new capesize carrier for this customer will
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Case Summary Dell was one of the greatest examples of a company that emerged in the tech bubble and survived when the bubble burst to be a leading example of one of the biggest companies‚ and the most successful one in the current time. The reason for this success was attributed to a single revolutionary model‚ which is Just-In-Time inventory management. From a financial point of view‚ this is an answer to one of the biggest problems that can face any company‚ which is cashflow management.
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