When frank sells a pie to jean instead of sarah, the economic value created in society is lower because of the difference in consumer surplus.
What is consumer surplus?
Consumer surplus occurs when a consumer pays a price that is lesser for a goods than the actual price they are willing to pay for a product.
Difference in consumer surplus occurs because Frank now has more customers and he can now sell at a price lower than the consumer would pay.
Therefore, Frank sells a pie to jean instead of sarah,when the economic value created in society is lower because of the difference in consumer surplus.
Learn more on consumer surplus here,
brainly.com/question/3209988
Answer: $406,000
Explanation:
The following can be deduced from the question:
Total sales = $1,000,000
Variable cost = $300,000
Contribution = Sales - Variable cost
= $1,000,000 - $300,000
= $700,000
Contribution ratio = $7000,00/$1,000,000 × 100 = 70%
Fixed cost = $580,000 × 70%
= $580,000 × 0.7
= $406,000
Answer:
The amount that the lighting plant be charged from the payroll department for its services is $25,000
Explanation:
Provided data from the question:
Payroll budget = $100,000
number of checks issued per week = 4000
number of employees = 1000
Since, the service department charge rate is calculated as the total service department expense divided by total service department usage, the amount that should be charged from the payroll department for its services;
= $100,000 ÷ 4,000
= $25 × 1,000
= $25,000.
Answer:
The money multiplier of the economy is 20
Explanation:
Money multiplier is the term of economics which is defined as the maximum amount, the money supply could rise grounded on the increase in the reserve in the system of banking.
The formula used for computing the money multiplier is as:
Money Multiplier = 1 / r
where
r is the reserve ratio that is 5%
So, putting the same value above:
Money Multiplier = 1 / 5%
Money Multiplier = 20
Answer:
Here's ur answer
Explanation:
option ( a ) Above // Below
If it's useful mark me as brainlist
