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1 year ago

Because the slope of the production function becomes flatter as more capital is added, the marginal product of capital is

1 answer:

7 0

As the slope of the production function becomes flatter as more capital is added, the marginal product of capital is "decreasing".

<h3>What is marginal product of capital?</h3>

The extra output that emerges from adding one unit of capital typically cash is known as the marginal product of capital.

This statistic frequently applies to start-up businesses that depend on private financing to get off the ground. The increased output brought on by adding a worker is known as the marginal product of labour.

Diminishing marginal returns, the marginal product that starts to decline, is an indicator of this phenomenon.
The value that these additional units offer to the organisation, in terms of output generated, starts to diminish because there aren't enough workers to operate with the extra equipment.

To know more about the importance of marginal product, here

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What is a negative externality

ICE Princess25 [194]

Answer:

exists when a production or consumption of a product results in a coast of third party

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1 year ago

Just one more time :)

Black_prince [1.1K]

Answer:

for what?

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2 years ago

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ExxonMobil has historically had a very low debt-to-equity ratio within the oil industry, but it recently issued $12 billion in n

Galina-37 [17]

Answer:

The WACC before bond issuance is 3.9% and the WACC after bond issuance is 3.71%

Explanation:

In order to calculate the WACC before bond issuance , we would have to calculate first the cost of equity using capital asset pricing model .

So Using CAPM we have Rf + Beta x Market risk premium

= 0.5% + 0.85 * 4%

= 3.9% . cost of equity

Therefore WACC before bond issuance = (Cost of equity x weight of equity + cost of debt (1-tax) x weight of debt)

= 3.9% . WACC before bond issuance will be equal to cost of equity in this case as there is no debt issue.

In order to calculate the WACC after bond issuance we make the following calculation:

WACC after bond issuance = (Cost of equity x weight of equity + cost of debt (1-tax) x weight of debt)

= (3.9% x 0.9) + (2% x 0.1)

= 3.51% + 0.2%

= 3.71%

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2 years ago

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Statutes prohibit police officers from demanding money for investigating and apprehending criminals and prohibit firefighters fr

irakobra [83]

Answer:

The citizen, however, does not have to pay because the police officer has a pre existing duty.

Explanation:

"Preexisting duty rule is a common-law rule of contract. It says that the rule that performance of an act by which a party is already contractually bound to perform does not constitute valid consideration for a new promise. In other words, a party's offer of a performance already required under an existing contract is an insufficient consideration for modification of the contract."

Then, the citizen doesn't have to pay because the police officer has an existing contract, and it's considered an insufficient consideration for modification of that contract.

Reference: US Legal, Inc, 2019. “Preexisting Duty Rule Law and Legal Definition.” Preexisting Duty Rule Law and Legal Definition | USLegal, Inc., 2019

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2 years ago

Cost of Goods Manufactured, using Variable Costing and Absorption Costing On March 31, the end of the first month of operations,

scoundrel [369]

Answer:

(a)unit cost of goods manufactured is $108.00

(b)unit cost of goods manufactured is $122.00

Explanation:

Varibale Product Costing = Direct Material + Direct Labor + Variable Overheads

Absorption Product Costing = Direct Material + Direct Labor + Variable Overheads + Fixed Overheads

<u>(a) the unit cost of goods manufactured- the variable costing concept</u>

Variable cost of goods manufactured ($1,620,000/15,000 units) = $108.00

unit cost of goods manufactured = $108.00

<u>(b) the unit cost of goods manufactured - the absorption costing concept</u>

Variable cost of goods manufactured ($1,620,000/15,000 units) = $108.00

Fixed manufacturing costs ($210,000/ 15,000 units) = $14.00

unit cost of goods manufactured = $122.00

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3 years ago