281 Section 10.3 Place Copyright Goodheart-Willcox Co., Inc. Large companies, such as Neiman-Marcus and Ford, have their own storage facilities. Smaller companies often either lease a storage facility or use wholesalers to store products until they are needed. Some warehouse facilities provide delivery to the end user. By using this type of warehousing service, a business can reduce inventory- storage costs and losses due to damage or theft. Managing inventory is discussed in chapter 15. Utility Costs Utility is the attribute that makes a product capable of satisfying a need or want. There are four types of utility that add perceived value— place, time, possession, and form. All of these utilities are associated with the distribution of goods or services from the creators to the end users. Based on the specific good or service, some utility costs will be necessary and directly affect place strategies others will not apply. Place Utility Place utility means placing products where they are needed and are useful. For example, if you sell sunscreen lotion, it makes sense to have it available at the beach where people who need it can buy it. Time Utility Time utility is getting a product delivered to the end user when it is needed. Timing is everything. If the product is late, the business could lose a customer and goodwill is damaged. You Do the Math Algebraic Reasoning The order of operations is a set of rules stating which operations in an equation are performed first. The order of operations is often stated using the acronym PEMDAS. PEMDAS stands for parentheses, exponents, multiplication and division, and addition and subtraction. This means anything inside parentheses is computed first. Exponents are computed next. Then, any multiplication and division operations are computed. Finally, any addition and subtraction operations are computed to find the answer to the problem. The equation is solved from left to right by applying PEMDAS. Find the solution to these equations. 1. 8 – (4 ∙ 3) + 23 ÷ 2 = 2. 112 + (45 × 2) =