Allows a customer to pay less than the full amount.
What is a Discount?
100
Receiving ownership when it reaches the shipping area.
What is FOB Shipping?
100
Setting a high selling price that will decrease over time.
What is Skimming Price?
100
__ = Selling Price - Variable Cost
What is the Contribution Margin equation?
200
Refers to the costs used to create a product.
What is Product Costs?
200
Point in which you are not making or losing money.
What is the Break Even Point?
200
Explores the relationship between Cost, Volume and Profit.
What is the CVP Model?
200
Setting a high selling price to take advantage of a temporary increase in demand.
What is Price Gouging?
200
________ _____ = Fixed Cost / Contribution Margin
What is the Break even Point Equation?
300
Receiving ownership when it reaches its destination.
What is FOB Destination?
300
Goal is to manufacture at its highest quality.
What is the Conversion Process Goal?
300
Selling Price x Quantity.
What is the Total Revenue Equation?
300
Setting a selling price that can be maintained over the life of the product.
What is the Life-Cycle?
300
Too much inventory can lead to a loss in money. Allows you to get 'Sloppy' as a business.
What are negative impacts of holding onto inventory?
400
Examples of Product Cost.
What is include direct labor, direct materials, manufacturing overhead?
400
Scheduling production, Obtaining Direct Materials, Using labor and other manufacturing resources to make products
What is the Conversion Process?
400
Break even is decreased.
What does increasing your Selling Price do?
400
Long term model which assumes that you can reduce/minimize sustaining costs.
What is JIT?
400
Goal is to manufacture at its highest quality.
What is the Conversion Process Goal?
500
Examples of Manufacturing Overhead.
What is rent, electricity, water?
500
Receive the highest quality goods and services at the lowest cost, Pay people in a timely manner, Develop good relationships with the suppliers
What is the Expenditure Process?
500
__% = CM / SP
What is Percent Contribution Margin equation?
500
Short term in it's focus and minimizes the incremental ordering and carrying costs. OR the number of units that a company should add to inventory with each order to minimize the total costs of inventory—such as holding costs, order costs, and shortage costs.
What is an EOQ?
500
Explores the relationship between Cost, Volume and Profit.