...have been studied in order to enhance the performance of entirety. System theory may help with the analysis of the real problems as well as finding the solutions. Based on the Applied System Theory “A system consist of element s discernible within the total reality (universe), defined by the aims of the investigator. All these elements have at least one relationship with another elements within the system and may have relationships with other elements within total reality” (Dekkers, 2015: 16). As the running of the stimulation of the QPQ company, the concept of Applied System Theory has been applied to the practice. The experiment was divided into two round, which were the trial run and actual run. The processes and the output differed with each other. With the comparison, problem in the systems have emerged and with the analysis of the deficiency, measures have been taken to achieve the development of performance. This report will firstly clarify the details of the trial run and actual run of the QPQ company with data collected, following by the analysis of the problem based on the system approaches raised by Applied System Theory. As the final part of the report, solutions and the recommendation of how to solving the system deficiency will be presented. 2.0 The summary of experiments 2.1 The trial run There were 11 people attended the experiments totally with the production of one car, but there was no car accepted by the customer for the unqualified quality. The arrangement...
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...Engineering Cost Analysis Accurately forecasting the cost of projects is vital to the survival of any business or organization. Cost estimators develop the cost information that business owners or managers, professional design team members, and construction contractors need to make budgetary and feasibility determinations. From an Owner's perspective the cost estimate may be used to determine the project scope or whether the project should proceed. According to the U.S. Department of Labor there were about 198,000 cost estimators in 1994. That of which 58% work in the construction industry, 17% employed in manufacturing industries, and the remaining 25% elsewhere. From this we could conclude that a great deal of cost estimation lies in the construction industry, where multi-million dollar contracts are formed after thorough cost estimation. Cost Analysis is an aspect of estimation that applies both formally and informally to the aspect of costing. Cost analysis is a formal discipline used to help appraise, or assess, the case for a project or proposal, and is an informal approach to making decisions of any kind. It is ultimately an economic tool to aid in logical decision making. In the case of construction cost estimates, the next step would be the cost analysis process. The sole purpose is to determine if the completed estimates are reasonable. Usually comparisons are made with similar projects done in the past to see if the number is within the same vicinity of each other...
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...Monte Carlo Statistical Analysis Name Course Instructor Date The Monte Carlo method is a mathematical method used for problem solving through the generation of random numbers and then observing a fraction of these numbers and the properties they obey. It is useful in obtaining numerical solutions to problems that are too complicated for analytical solutions. It is a form of probability used to understand the impact of risk and uncertainty in various areas such as financial and cost forecasting. It involves computation of the likelihood of given events occurring or not occurring, without taking into account the interaction of the elements involved in influencing the occurrence. The mathematical method was invented by Stanislaw Ulam in 1946 and named by Nicholas Metropolis after a classy gambling resort in Monaco, where a relative of Ulam frequently gambled [ (Fishman, 1996) ]. Concepts of the Monte Carlo method Uncertainty Being a forecasting model, there are assumptions that need to be made due to the uncertainty of various factors. One therefore needs to be able to make estimations of the expected results as they cannot predict with certainty what the end value will be. Important factors such as historical data and past experiences in the field can be helpful in making an accurate estimate. Estimation In some cases, estimation may be possible but in others it is not. In situations where estimation is possible, it is wise to use a wide range of possible values instead...
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...Project Cost Control Tools & Techniques Jason Owens, jason@jasonowens.com Scott Burke Matthew Krynovich DJ Mance Last Updated: 1/15/07 Project Cost Control Tools & Techniques Introduction Contributors: Owens, Jason, jason@jasonowens.com Burke, Scott Krynovich, Matthew Mance, DJ The formatting and minor edits of this document have been updated since its original creation. Contact information for some of the contributing authors has been removed for reasons of privacy and in no way indicates a lesser degree of contribution. All project team members have contributed equally to this paper. Copyright © 2007 All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic or mechanical, for any purpose, without written permission. Jason Owens, jason@jasonowens.com Page 2 of 26 Project Cost Control Tools & Techniques Introduction Executive Summary This paper reviews certain tools and techniques that can be used in order to help those responsible for managing a project to potentially better control and manage project costs. The aspects of life-cycle costing are presented and opportunities for optimizing cost management are presented. Finally, a table summarizing the recommendations are presented in the conclusion. Jason Owens, jason@jasonowens.com Page 3 of 26 Project Cost Control Tools & Techniques Introduction Table of Contents Executive Summary ............................
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...produce inaccurate product cost when: A) a large share of factory overhead cost is not volume-based. B) firms produce a diverse mix of product. C) different products consume different amounts of batch-level and product level costs. D) all of the above are correct. E) None of the answers above is correct. 2. As with any costing system, a firm should use activity-based costing (ABC) when the: A) currently used system doesn't seem to be working. B) benefits of such a system exceed the cost of implementation. C) firm wants more detailed information. D) firm's production growth exceeds 20 percent per year. E) current system has been in use for a long time. 3. One limitation of activity-based costing (ABC) is that: A) it is expensive even though it saves significant time. B) it is very time-consuming, even though it is equivalent in cost to other costing systems. C) it is both expensive and time-consuming. D) the system cannot be used in service industries. E) ABC has no significant limitations. 4. Elimination of low-value-added activities in a firm should: A) be discouraged because of potential harmful effects to customer value. B) reduce costs, while not significantly affecting the quality of the product or service. C) reduce costs, but will reduce the quality...
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...conditions of risk and uncertainty. Managerial Economics, thus, uses concepts, models and analytical techniques of economics to study and analyse the operations of businesses and the type of problems managers face. Hence it provides important conceptual insights for gaining a better understanding of business environment and for making of quality business decisions with minimal trial and errors. 2. Objectives: 2.1 To provide participants with a much clearer view of the applicability and relevance of economics to decision making within business firms. 2.2 To develop students’ knowledge of applied economics 2.3 To develop students’ analytical skills to a higher level. 2.4 To enhance students’ insight into the operation of business and the nature of problems managers face. 3. Course coverage * Introduction of students to Managerial Economics and the use of models and other analytical concepts in decision making process. * Introduction to the concept of risk and uncertainty and adjustment of decisions to reflect decision maker’s attitude towards risk. * Behaviour of consumers and demand side of the firm and demand estimation and forecasting. * Strategic decisions that managers have to make – eg pricing strategies, production decisions, product quality and designs, advertising and promotion...
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...Stochastic frontier analysis of the efficiency of Nigerian banks Abstract Using the Stochastic Frontier Analysis (SFA) the efficiency of Nigerian banks was analysed. The result of the study proved that there is inefficiency in the Nigerian banking system and that the level of inefficiency ranged from 0 to 19 per cent of total cost. The study was able to derive the individual bank's level of inefficiency. Put differently, the study was able to derive the individual bank's level of efficiency. I. INTRODUCTION In the last three decades, as bank regulators open their financial Industries for competition and liberalisation, many banks operated at a level that is less efficient and profitable leading to unsoundness or distress in the industry; thus generating concerns and worries among the bank stakeholders. There are a large number of studies which employ models to explain inter-bank differences in earnings, bank efficiency and continuous existence (failure) in the United States of America and other developed countries of the world. Similar studies have not been carried out using data from emerging markets like Nigeria especially when viewed against the background of the statement of Barltrop and McNaughton (1992) that financial analysis should be done within the context of the particular country and economic environment as each country has a different economic environment, different regulatory and legal environment, different commercial practices, different accounting...
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...managerial decisions also helps managers recognize how economic forces affect organizations and | |describes the economic consequences of managerial behavior. It links traditional economics with the decision sciences to develop | |vital tools for managerial decision making. Managerial economics identifies ways to efficiently achieve goals. For example, suppose| |a small business seeks rapid growth to reach a size that permits efficient use of national media advertising. Managerial economics | |can be used to identify pricing and production strategies to help meet this short-run objective quickly and effectively. | | | |Managerial economics helps the manager or the groups of people making the decisions to increase their problem analytics skills as | |well as formulation solution to probabilistic problems. The main differences between managerial economics and the other branches of|...
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...U1120101c Muchsin Mohd U1123008L Muchsin Mohd U1123008L | MA4001 | School of Mechanical & Aerospace Engineering50, Nanyang Avenue, Singapore 639798, Tel:65 790 5488 Fax:65 792 4062 | Table of Contents Content | Page | 1.0 Introduction | 4 | 1.1 Background and Objectives | 4 | 2.0 Conceptual Design | 5 | 2.1 Function Analysis | 5 | 2.2 Morphological Chart | 7 | 2.3 Design Concepts | 8 | 2.3.1 Design Concept A | 8 | 2.3.2 Design Concept B | 9 | 2.2.3 Design Concept C | 9 | 2.4 Concept Evaluation | 10 | 3.0 Embodiment Design | 12 | 3.1 Stability | 12 | 3.2 Spade Design | 12 | 3.3 Mode of Transport | 12 | 4.0 Detailed Design | 13 | 4.1 Hydraulics Selection4.2 Materials Selection | 13 | 5.0 Detailed Design Calculations | 13 | 5.1 General Data | 13 | 5.2 General Calculations | 15 | 5.3 Lifting | 17 | 5.4 Tilting | 18 | 5.5 Hydraulics Selection | 20 | 5.6 Pump Selection | 21 | 6.0 Cost Estimation | 22 | 6.1 Bill of Materials (BOM) | 22 | 6.2 Purchased Parts | 27 | 6.3 Manufactured Parts | 28 | 6.4 Overall Cost Estimation | 28 | 7.0 Conclusion | 29 | References | 30 | Appendix | 31 | | | | | | | | | | | | | | | | | | | | | 1.0 Introduction 1.1 Background and Objectives Being a densely populated island, Singapore does not have the luxury to use her land with impunity. Amidst the concrete urban jungle of...
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...today as it was in 1890, when the first edition of his text was published. In recent years, there are many questions about the economy that might spark any one’s curiosity. Why are apartments so hard to find in Mumbai City? Why do airlines charge less for a round-trip ticket? Why executive class airfare is costlier than economic class? Why are jobs easy to find in some years and hard to find in others? Why a package tour costs less as compared to individual booking of air ticket and hotel? Moreover, as one go about his/her life, he/she make many economic decisions. During student carrier one has to decide how many years to stay in school. After joining in a job, one has to decide how much of his/her income to spend, how much to save, and how to invest his/her savings. When running a small business or a large corporation, and one will decide what prices to charge for his/her products. The economic tools, which will be discussed in this course, will give you a new perspective on how best to make these decisions. Following ten economic principles can be applied in many of life’s situations, whether the future finds you reading the newspaper, running a business, or sitting in the work place. These economic principles are (i) managers...
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...Week 15 Distance Student File 1 of 35 Problem 7 – Job Order Costing Jessica Company started operations on January 2, 20x6. The company manufactures custom products and uses a job order system. Overhead is allocated to jobs based on direct labour costs. The budgeted manufacturing overhead for 20x6 was $396,900 and the direct labour costs were budgeted at $567,000. At the end of 20x6, there were two jobs in work in process: Direct material cost Direct labour cost Job A605 $20,000 12,000 Job A608 $36,000 38,000 Actual manufacturing overhead for the year amounted to $350,000 and total direct labour charges for the year amounted to $550,000. The year-end finished good inventory balance was $175,000 and included direct labour costs of $48,000. Cost of goods sold for the year amounted to $1,750,000. Required 1. 2. 3. Prepare a schedule showing the detailed cost of the ending work-in-process, and finished goods inventory. Compute the over/under –applied overhead for the year. Allocate the balance in the manufacturing overhead account using each of the 4 approaches discussed in class. CMA Accelerated Program 2011 © CMA Ontario, 2011 Week 15 Distance Student File 2 of 35 Problem 6 – Process Costing Deterra, Inc., uses three departments to produce a detergent. The Finishing Department is the third and last step before the product is transferred to storage. All materials needed to give the detergent its final composition are added at the beginning of the process in...
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...FAO COMMODITY AND TRADE POLICY RESEARCH WORKING PAPER No.22 Threshold cointegration in the sugarethanol-oil price system in Brazil: evidence from nonlinear vector error correction models George Rapsomanikis and David Hallam1 Commodities and Trade Division Food and Agriculture Organization of the United Nations September 2006 1 The authors are Economist and Chief in the Trade Policy Service, Commodities and Trade Division. FAO Commodity and Trade Policy Research Working Papers are published by the Commodities and Trade Division of the Food and Agriculture Organization of the United Nations (FAO). They are working documents and do not reflect the opinion of FAO or its member governments. Also available at http://www.fao.org/es/ESC/ Additional copies of this working paper can be obtained from Olwen.Gotts@fao.org The designations employed and the presentation of material in this information product do not imply the expression of any opinion whatsoever on the part of the Food and Agriculture Organization of the United Nations concerning the legal or development status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries. All rights reserved. Reproduction and dissemination of material in this information product for educational or other non-commercial purposes are authorized without any prior written permission from the copyright holders provided the source is fully acknowledged. Reproduction...
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...Assignment no: 509 Answer Managerial economics refers to the application of economic theory and the tools of analysis of decision science to examine how an organization can achieve it aims or objectives most efficiently. Importance of managerial economics Managerial Decision Problems Economic theory Microeconomics Macroeconomics Decision Sciences Mathematical Economics Econometrics MANAGERIAL ECONOMICS Application of economic theory and decision science tools to solve managerial decision problems OPTIMAL SOLUTIONS TO MANAGERIAL DECISION PROBLEMS Managerial Decision Problems Economic theory Microeconomics Macroeconomics Decision Sciences Mathematical Economics Econometrics MANAGERIAL ECONOMICS Application of economic theory and decision science tools to solve managerial decision problems OPTIMAL SOLUTIONS TO MANAGERIAL DECISION PROBLEMS Managerial enables the use of economic logic and principles to aid management decision-making. Managers are decision-makers and economics should be relevant to give practical guidance in arriving at right decisions. Every manager has to take important decisions about using his limited resources like land, capital, labour, finance etc. to get the maximum returns, therefore, managerial economics, concentrates on those practical aspects of micro-economics which help in decision-making. Managerial economics focuses on the most profitable use of scarce resources rather than on the achievement of equilibrium prices...
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...Industrial Project Management: A Handbook of Planning, Scheduling & Evaluation Techniques Dr. Miltiadis A. Boboulos Eng. Lazar Peshev Chapter 1 Decision modelling in management 1.1. Decision Modelling Modelling decisions in management is a process of developing models reflecting the interrelations between relevant factors in a real situation. The model is reality presented in a simplified form. Modelling is a specific method and means of comprehension. It is applied in company management to study various activity alternatives using developed models. Every individual model comprises various components, variables, parameters, relations, limitations and criteria [1]. • Components correspond to the elements of the system under study. • Variables are used to describe the relations between individual components of the model. They can have more than a single value [2]. • Parameters characterize the influence that various variables have in the model. They are constant for every individual model, i.e. they have just a single value [2]. • Relations reflect the links, relations and interaction between various components, variables and parameters in the model [3]. • Limitations point out the variation limits and can be either placed in space and time, can be single-value or multi-value, one-sided or double-sided, global or local, etc [4]. • Criteria are means of evaluation, comparison and selection. They are objective and subjective, qualitative and quantitative [4]. The model...
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...Reebok Case Group 3: There are several problems faced by Reebok existing system. The first issue is that the firm may not be able to meet demand for some styles of jackets. The second issue is the uncertainty in demand for individual players and teams. Sales of jerseys depend on results of teams and the supply chain may end up having insufficient demand for some styles of jackets while others can have excess supply and become obsolete. The inventory cost can be prominent To improve the decision making process, demand forecasts should be made. Forecasts of demand are based on newsvendor model. We can calculate the expected overage and expected loss under different order quantity so as to find the optimal quantity for overall production as well individual players. In this study, we apply the newsvendor model for individual players and we will compute the optimal quantity based on risk-based production planning applied in Obermeyer. The newsvendor model is to maximize the inventory order level with uncertain demand but fixed prices. In the case of Reebok, it is uncertain for the manufacturer to predict the demand for jerseys for certain and certain players. The uncertainty originates from the uncertainty of the performance of teams and players in NFL. With such uncertainty, the firm is concerned in optimizing the ordering level so that the excess inventory will be obsolete whereas some demands cannot be fit We compute a simulation using Excel for different order quantities...
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