Solution to Case Problem Specialty Toys 10/24/2012 I. Introduction: The Specialty Toys Company faces a challenge of deciding how many units of a new toy should be purchased to meet anticipated sales demand. If too few are purchased‚ sales will be lost; if too many are purchased‚ profits will be reduced because of low prices realized in clearance sales. Here‚ I will help to analyze an appropriate order quantity for the company. II. Data Analysis: 1. 20‚0 00 .025 10‚0 00 30
Premium Standard deviation
Case Problem: Specialty Toys Specialty Toys‚ Inc.‚ sells a variety of new and innovative children’s toys. Management learned that the preholiday season is the best time to introduce a new toy‚ because many families use this time to look for new ideas for December holiday gifts. When Specialty discovers a new toy with good market potential‚ it chooses an October market entry date. In order to get toys in its stores by October‚ Specialty places one-time orders with its manufacturers in June or July
Premium Normal distribution Forecasting Prediction
be the demand for the toy. Then X follows normal distribution with mean μ = 20000 and standard deviation σ. Then P(10000 < X < 30000) = 0.95 P( X < 20000)=0.5 P(10000 < X < 20000) = 0.475 P( X < 10000)=0.025 NORM.S.INV(0.025)=-1.96 NORM.S.INV(0.975)=1.96 Z-score of 10000 =-1.96 Z-score of 30000=1.96 σ = (30000-20000)/1.96 =10000/1.96 = 5102 Standard Deviation of 5102 The graph above shows the distribution for the demand for the Weather Teddy Bear using Specialty Toys’ forecasts based off of
Premium Standard deviation Normal distribution
of stockout will be 0.2177 At 28‚000 the probability of stockout will be 0.0582 3. Compute the projected profit for the order quantities suggested by the management team under three scenarios: worst case in which sales = 10‚000 units‚ most likely case in which sales = 20‚000 units and best case in which sales = 30‚000 units: Order Quantity: 15‚000 were cost price is $16‚ selling price $24 & after holiday selling price $5 |Unit Sales |Profit | |10‚000
Premium Normal distribution Standard deviation
1. Problem 1-8 Golf Specialties Company Name: Golf Specialties Products: Head covers‚ embroidered golf towels‚ umbrellas Popular Product: Head cover in the shape of a tiger Main Market: European countries Current Production Details: |Item |Tiger Head | |Per week Production |500 | |Unit Cost (variable + fixed cost)
Premium Marginal cost Costs Variable cost
Specialty Hospitals: A Problem or a Symptom? Specialty hospitals are not a new thing. However‚ as the number of specialty hospitals increases there is a question about their financial influence on the community hospitals. This paper discusses the results of two congressionally mandated reports on specialty hospitals. Main Concerns about Specialty Hospitals: 1. Clinical decisions made by physician-owners might be distorted by financial incentives 2. Specialty hospitals treat
Premium Physician Patient Revenue
Case 13: Southeastern Specialty‚ Inc. Financial Risk (1‚ 2‚ 3‚ 4‚ & 6) 1. Is the return on the one-year T-bill risk free? No‚ the return on the one-year T-bill is not risk free. Financial risk is related to the probability of earning a return less than expected and the larger the chance of earning a return far below that expected‚ the greater the amount of financial risk. Risk free assumes 100% probability that the investment will earn the total percent of return that is expected. 2. Calculate
Premium Standard deviation Investment Probability theory
Maybe we could edit and refer to the sample report as follows. Note: This report is far more comprehensive than would be expected from a candidate in exam conditions. It is more detailed for teaching purposes. T4 Part B – Case Study Jot – toy case – March 2012 REPORT To: Jon Grun‚ Managing Director‚ Jot From: Management Accountant Date: 28 February 2012 Contents Review of issues facing Jot 1.0 Introduction 2.0 Terms of reference
Premium Quality control Profit margin Marketing
One of the many options you have as a healthcare professional is choosing a medical specialty in which to practice. Whether you’re a nurse‚ a physician‚ or allied health professional‚ choosing a medical specialty will help focus your educational goals‚ job search efforts‚ and career choices. The sooner you identify your true passion in medicine‚ the more successful you may become‚ by working in a field you love. For example‚ is your passion working with kids‚ pregnant moms‚ cancer patients‚ or
Premium Medicine
Medical Specialties Several specialties exist within the field of medicine. I have chosen 8 specialties to describe. These specialties are: neurology‚ cardiology‚ orthopedics‚ ophthalmology‚ gastroenterology‚ urology‚ dermatology‚ and gynecology. Neurologists work with the nervous system. A neurologist studies any disorder that has to do with the nervous system. Neurologists treat patients for a variety of symptoms; patients can be seen for something as minor as lower back pain to something serious
Premium Medicine Physician Psychology