Use the Information for the Question(s)below

question 91

Multiple Choice

Use the information for the question(s) below.
The Sisyphean Corporation is considering investing in a new cane manufacturing machine that has an estimated life of three years.The cost of the machine is $30,000 and the machine will be depreciated straight line over its three-year life to a residual value of $0.
The cane manufacturing machine will result in sales of 2000 canes in year 1.Sales are estimated to grow by 10% per year each year through year three.The price per cane that Sisyphean will charge its customers is $18 each and is to remain constant.The canes have a manufacturing cost of $9 each.
Installation of the machine and the resulting increase in manufacturing capacity will require an increase in various net working capital accounts.It is estimated that the Sisyphean Corporation needs to hold 2% of its annual sales in cash,4% of its annual sales in accounts receivable,9% of its annual sales in inventory,and 5% of its annual sales in accounts payable.The firm is in the 21% tax bracket,and has a cost of capital of 10%.
-The change in Net working capital from year one to year two is closest to:

• A)A decrease of $360.
• B)An increase of $360.
• C)An increase of $396.
• D)A decrease of $396.

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Understand the definition and elements of transformational leadership, including the role of effective delegation.

Grasp the key concepts and dimensions of the GLOBE model of cultural dimensions.

Identify the nature of the Leader-Member Exchange (LMX) Model and its relevance to organizational leadership.

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Definitions:

Monopoly Power

The ability of a firm to influence or control the price and production of a good or service due to the lack of viable competition.

Major League Baseball

A professional baseball organization consisting of teams that play in the American League and the National League.

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A labor union in the United States representing workers in the automotive industry as well as other sectors.

Unemployment Insurance

A government-provided financial benefit offered to workers who have lost their job without fault on their part, aimed at providing temporary financial support.