Sandi Barefoot Sells the Entire Output of Several Small Companies

question 382

Multiple Choice

Sandi Barefoot sells the entire output of several small companies based in Silicon Valley. Each of the companies designs and produces remote control devices. Sandi has almost complete control of pricing and selling-because the engineers who started the companies are mainly interested in inventing things. In addition, Sandi often provides working capital to the producers, who have very limited financial resources. Sandi is paid a substantial commission on all sales. Sandi is a:

• A) broker.
• B) selling agent.
• C) field warehouser.
• D) manufacturers' agent.
• E) factor.

Calculate and analyze the cost of various types of short-term financing.

Describe the characteristics and implications of factoring accounts receivable.

Understand and calculate changes in net working capital and their impact on free cash flow.

Analyze and interpret the relationship between sales, accounts payable, and inventory management on cash flows.

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Definitions:

Geert Hofstede

a Dutch social psychologist known for his work on cultural dimensions theory, which analyzes cross-cultural communication and behaviors.

National Cultures

The set of shared values, beliefs, customs, and practices that characterizes the people of a particular country or region.

Performance Orientation

An approach or attitude that emphasizes achieving efficiency, outcomes, and results in personal or organizational activities.

Virtual Workforce (Team)

A group of individuals who work together from various geographic locations and rely on electronic forms of communication to collaborate.