When answering the questions, the work that you submit for grading must be your work. Any plagiarism will result in a grade of zero for the exam. If you have questions, please consult with the instructor. The evaluation of the work, especially the qualitative questions depends on the organization of the material and the depth of the answers. The quantitative questions should show the computations/process not just an answer.
You may have to write to show work. I will rewrite in my own writing.
1. In the context of this course, you will be asked to address the issues/questions below for Costco Wholesale Corporation (COST).When addressing the issues/questions, be sure to do so in the context of this course and Costco. You have been appointed as the special assistant to the Chief Executive Officer, W. Craig Jelinek who has asked you to address the following two situations:
(3 pts) a) Costco currently buys most of its store equipment from a manufacturer in China. A representative from a company in Vietnam is offering to sell the equipment for 25% less than cost from the manufacturer in China. Discuss the issues that you would consider in deciding whether to accept this offer.
(9 pts) b) Mr. Jelinek wishes to develop an incentive plan for the retail store managers.
Before the plan is implemented, he wishes you to make sure that budgeting
for the stores is done correctly. He has asked you to submit a document, which
discusses the key points related to budgeting that you have learned in MBA 640. Be as thorough as possible.