It helps us to understand the relationship between the usage of money and the value of returns it provides from a particular venture or avenue based on the time it would take for providing the return and the future value of the return. Opportunity cost is economic decisions based on a limited resources i.e time or money. Opportunity cost is defined as the next best choice available for a person. Opportunity costs are not restricted to monetary costs only. Trade-off is the form of either buying less or a lesser quality item in order to purchase more or a greater quality item.
By designing computer systems that can be added on to with new technology can be initially more expensive than the traditional design way of building a system that will be obsolete because it does not have room and provisions for future new technology hardware and or new technology hardware compatibility issues. The new design approach may be more expensive when first created, but because this new system can be upgraded and evolve, will save the company money in the long run as it will have a longer projected life cycle. The other challenge the IT department will have is at the software level such as, operating systems and computer system applications compatibility issues. Because not all company’s and businesses IT Systems are the same or have not been upgraded at the same time. Operating systems in some cases such as Microsoft Windows XP, VISTA, and Windows 7 are still in use are an area of concern.
1) I think one of the mistakes Livingston made was to assume the source of the company's problem was the old computer financial reporting system. The old financial reporting system is only part of there was no collaboration to determine if the MCCS was the core problem of the company. Livingston made the determination that the MCCS was the root cause of losing contracts without other input. I would have gathered my team and perform an impact analysis to determine if there was any hidden problems with the current system that could be fixed in a faster cheaper way. Another issue is earlier on the meeting the MIS manager stated that he guessed the feasibility study would be the first step in the design, development and implementation of the new MCCS.
Some people think that the court system should have people who work directly for the government and are just stationed at each courthouse as part of their job. This would allow people to work at multiple courthouses. This would cut down on costs. To properly solve this issue to improve the courts system and improve the overall court administration each individual courthouse needs to find what works for them to save them money. For example, what may work for a big cit courthouse may not work for a small town courthouse?
(How much does a computer cost now compared to 15 years ago?) That mindset works as long the entrepreneur doesn't come up with a new idea, and if that happens, you would expect the good to cost more money -- because there are no substitutes for it. This creates a new MARKET, which arguably is even more important. This provides OTHER ENTREPRENEURS with job opportunities. 2nd part of your question: Entrepreneurs usually must start a business with other people's money.
Lease Versus Purchase Paper FIN/370 April 06,2015 Jessica Sexton Lease Versus Purchase Companies have two ways that they can acquire assets, lease or purchase, but sometimes it is hard to determine which of the two is better. In comparing the benefits of the two we can tell which one will be the best decision for the firm, and which one will not hurt them in the long-term. Factors Involving Lease Versus Purchase Businesses must decide whether it would be financially cost effective to purchase or lease any materials needed. It must look at the amount of money available. If there is not enough capital then a company may choose to lease.
While our company holds the patent-pending on this product, a similar process could be developed over time. There are 13 other companies who are in a position to follow our lead in this area. There is a small amount of safety in the fact that it will take them some time to research, develop, produce and market a doable product. However, once they catch up to our level, our profitability will surely go down. Consumers could decide the purchase separate appliances instead of choosing the all-in-one.
This added flexibility will give the firm more control over its ability to meet demand. From a financial standpoint, the ball mill also makes sense. The payback period for the machine should be less than a year if demand is strong enough to support the increase in production. The company has already completed the appropriate due diligence and established that the quality of the chocolate would not be jeopardized by shaving a significant amount of time off the production process with the more efficient ball mill. The only concern with this decision is if the new equipment will be enough to meet the potential three-fold increase in long-term demand that the marketing manager is forecasting.
Mainly affecting my generation, jobs that should be given to college graduates are not even open yet because senior employees are staying in companies when normally they would have retired. Social Security also poses an issues because younger generations are paying into the “baby boomers” social security. The main scare is that it will run out and those that paid into it might not even be able to receive it when needed. This is causing drastic changes in the world affecting all ages and all kinds of people. Unfortunately this issue really cant be addressed and the world will just have to adapt to the fact that people are living longer lives.
One disadvantage to increasing the minimum wage is the possibility of a continued shortage of jobs. As the minimum wage increases, more people would want to find a job more than ever. This could cause a shortage in jobs because their still wouldn’t be enough work but the demand will be higher. The graph below shows the minimum wages from 1938 to 2007, in comparison to the poverty levels. Even though this problem wouldn’t change by the increase in minimum wage, I believe that this disadvantage isn’t that important at the current moment because it takes a while to rebuild an economy.