Answer:
$120
Explanation:
.4 x 300 = $120
the MPC (Marginal propensity to consume) is essentially the same as saying this is how much of your additional income to spend. In this case, you spend .4 of your additional income. Multiplying .4 by $300 in additional income results in $120
Answer:
Variable cost per unit= $1.92 per car wash
Explanation:
Giving the following information:
$5,400, occurred in July when 2,700 cars were washed and the lowest bill, $3,100, occurred in February when 1,500 cars were washed.
To determine the variable cost, we need to use the high-low method:
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (5,400 - 3,100) / (2,700 - 1,500)= $1.92 per car wash
Answer:
The correct answers are letters "A", "B", and "C": straight-line depreciation, manager's salary, store rent.
Explanation:
Fixed Costs are business expenses that do not change as the level of production goes up or down. They are one of two types of business expenses the other being variable cost. Variable costs do change as the volume of production changes. Examples of fixed costs are high-executive salaries, rent, depreciation, and insurance. Examples of variables costs are commissions, raw materials, and transportation fees.
Answer:
d. $28,700.
Explanation:
The computation of the budgeted selling cost for the given month is shown below:
= Fixed selling cost + variable selling cost
= $20,000 + $290,000 × 3%
= $20,000 $+ $8,700
= $28,700
We simply applied the above formula so that the correct value could come
And, the same is to be considered
Hence, the correct option is d. $28,700
Answer:
Mark's individual consumer surplus is $10.
Explanation:
Mark and Rasheed are at the bookstore buying new calculators for the semester.
Mark is willing to pay $75 and Rasheed is willing to pay $100 for a graphing calculator.
The price for a calculator at the bookstore is $65.
The consumer surplus is the difference between the maximum price that a consumer is willing to pay and the price he actually has to pay.
Mark's individual consumer surplus
= Price mark was willing to pay - Price he actually has to pay
= $75 - $65
= $10
