Angus works as a dairy farmer and loves his work. However, because the dairy business has not been doing well lately, Angus is considering changing careers. He could work as a technician at the local dairy plant and earn $27,000/year. Angus decides to make a list of the costs of staying in business as a farmer and asks you for help. Please classify each of Angus's costs as explicit or implicit. a. the wage he pays to his hired hand. b. the feed he buys for his cows. c. the gas he uses for his farm truck. d. the cost of veterinary care for his cows. e. the time it takes him to milk all of his cows. f. the 27000 annual salary he would receive from working at the dairy plant.

Atoy manufacturer makes its own wind-up motors, which are then put into its toys. while the toy manufacturing process is continuous, the motors are intermittent flow. data on the manufacture of the motors appears below. annual demand (d) = 50,000 units daily subassembly production rate = 1,000setup cost (s) = $85 per batch daily subassembly usage rate = 200carrying cost = $.20 per unit per year(a) to minimize cost, how large should each batch of subassemblies be? (b) approximately how many days are required to produce a batch? (c) how long is a complete cycle? (d) what is the average inventory for this problem? (e) what is the total annual inventory cost (holding plus setup) of the optimal behavior in this problem?

Banana computers has decided to procure processing chips required for its laptops from external suppliers instead of manufacturing them in their own facilities. how will this decision affect the firm? a. the firm will be protected against the principal-agent problem. b. the firm's administrative costs will be low because of necessary bureaucracy. c. the firm will have more flexibility in purchasing and comparing prices of goods and services. d. the firm will have high-powered incentives, such as hourly wages and salaries.

Happy foods and general grains both produce similar puffed rice breakfast cereals. for both companies, thecost of producing a box of cereal is 45 cents, and it is not possible for either company to lower their productioncosts any further. how can one company achieve a competitive advantage over the other?