Sun Microelectronics Custom-Orders Processors, Chips, and Circuit Boards for Sun's

question 45

Multiple Choice

Sun Microelectronics custom-orders processors, chips, and circuit boards for Sun's desktop, server, and storage products. Sun doesn't actually make any of its microelectronic gear itself. Sun contracts the work to outside manufacturers, who in turn rely on components from their own subcontracted suppliers. The 150 suppliers involved in making and delivering Sun products have adopted mutually beneficial objectives and strategies that give Sun's customers value for their money. Sun's method of doing business is an example of a:

• A)supply partnership.
• B)double-deal.
• C)conflict of interest.
• D)restricted access.

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Definitions:

Discount Rate

The interest rate charged to commercial banks and other financial institutions for loans received from a country's central bank.

Present Value

The present worth of a future sum of money or series of cash flows, based on a given return rate.

Cash Today

Cash Today refers to the availability of funds or capital that can be immediately used or invested, as opposed to future earnings or receivables.

Rate of Return

The augmentation or diminution in an investment's valuation across a specified timeframe, articulated as a fraction of the initial investment expense.