Being a convicted felon...

Paul consumes only books and DVDs. At his current consumption bundle, his marginal utility from DVDs is 23 and from books is 5.

Paul [167]

Answer:

Paul is not maximizing his utility because MUd/Pd is greater than MUb/Pb

Explanation:

Marginal utility is the extra satisfaction derived from spending an additional unit of money on consuming a particular product or service.

In order to determine if he is maximizing his utility, we must calculate his utility per dollar, and this is done by dividing his Marginal Utility by the price.

Marginal Utility per dollar of DVDs is:

MUd/Pd = 23/11 = 2.09

Marginal Utility per dollar of books is:

MUb/Pb = 5/3 = 1.67

Utility is maximized when MUd/Pd is equal to MUb/Pb and Paul has exhausted his budget.

4 0

4 years ago

Determine the amount of consumer surplus generated in the following situation. After soccer practice, Stacey is willing to pay $

Oliga [24]

Answer:

The answer is: There was no consumer surplus in this situation.

Explanation:

consumer surplus refers to the difference between the maximum amount a consumer is willing to pay for a good or service and the actual price of the good or service.

In this case there was no consumer surplus, since Stacey was willing to pay only $2 for a bottle of mineral water and its price was $2.25, so she didn't buy it.

6 0

3 years ago

Jacques has plans to go to a play and already has a $50 nonrefundable, nonexchangeable, and nontransferable ticket. Now Kyoko, w

77julia77 [94]

Answer:

Explanation:

Rightly ignored a sunk cost since he cannot recover the money back and it really does not have any effect on the decision in the future

3 0

3 years ago

In NIMS, resource inventorying refers to preparedness activities conducted _________ (of) incident response.

liubo4ka [24]

Answer:

The correct answer is a) outside

Explanation:

The Incident Resource Inventory System (IRIS) emphasizes the ability to check resources and share resource information with other agencies. The users can choose specific resources for mutual aid purposes based on specific requirements.

In NIMS, resource inventorying refers to preparedness activities conducted outside of the incident response.

4 0

3 years ago

Philadelphia Company has the following information for March: Sales $486,599 Variable cost of goods sold 205,621 Fixed manufactu

egoroff_w [7]

Answer:

Manufacturing margin is $203,253

Contribution margin is $230,357

Net income $118,547

Explanation:

Manufacturing margin is the sales revenue minus manufacturing costs

Sales revenue $486,599

Cost of goods sold ($205,621)

fixed manufacturing cost ($77,725)

manufacturing margin $203,253

Contribution margin is sales revenue minus variable costs:

Sales revenue $486,599

Cost of goods sold ($205,621)

variable selling & admin ($50,621)

contribution margin $230,357

Income is the sales revenue minus all costs incurred:

Sales revenue $486,599

Cost of goods sold ($205,621)

fixed manufacturing cost ($77,725)

Variable selling & admin ($50,621)

Fixed selling & admin ($34,085)

Net income $118,547

6 0

3 years ago