A Manufacturer of Breakfast Cereals Has the Opportunity to Purchase

question 17

Multiple Choice

A manufacturer of breakfast cereals has the opportunity to purchase barley at $3.00 a bushel for 10,000 bushels, if it also buys 5,000 bushels of wheat at $16.00 per bushel. However, the manufacturer does not use any barley in its products, and currently needs 20,000 bushels of wheat. If the current market price of barley is $3.80 per bushel and that of wheat is $15.80 per bushel, should this opportunity be taken, and why?

• A) Because the company has no need of barley, the opportunity should not be taken.
• B) Because the opportunity does not meet the company's need for wheat, the opportunity should not be taken.
• C) Because the value of the opportunity is positive, the opportunity should be taken.
• D) Because the value of the opportunity is negative, the opportunity should not be taken.

Gain knowledge of the processes involved in organizational diagnosis.

Understand the difference between emotions and moods and their triggers.

Grasp the concept and factors of Emotional Intelligence (EI).

Identify the impact of well-managed rewards on individual satisfaction and work performance.

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Definitions:

Unit Investment Trusts

A type of investment fund offering a fixed portfolio of securities for a specific period, known for its relatively low management expenses.

Portfolio

A collection of investments held by an individual or institutional investor.

Common Stocks

Shares of ownership in a corporation, giving holders voting rights and a share in the company's profits through dividends.

Total Assets

The sum of all assets owned by a person or entity, including cash, investments, property, and other forms of financial and physical assets.