1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
hoa [83]
2 years ago
14

The effect of a Pigovian tax on a market is: Group of answer choices increased price and quantity to the efficient level decreas

ed price and increased quantity to the efficient level decreased price and quantity to the efficient level increased price and reduced quantity to the efficient level
Business
1 answer:
Butoxors [25]2 years ago
4 0

<u>D) </u><u>Increased price and reduced quantity to the efficient level.</u>

<u />

<h3><u>How Do Pigovian Taxes Work?</u></h3>

Pigovian taxes, sometimes called Pigouvian taxes, are levied against private individuals or companies who engage in activities that have negative side effects on society. Costs associated with adverse side effects are those that are not accounted for in the product's market price. The selling of tobacco products puts a load on the public healthcare system and causes environmental pollution, among other side effects that have detrimental external impacts.

After English economist and early externality theorist Arthur Pigou, who made a substantial contribution, Pigovian taxes were given their name.

<u></u>

<h3><u>How Is a Pigovian Tax Calculated?</u></h3>

A Pigouvian tax is notoriously tricky to calculate correctly. The tax should, in theory, have a value that is exactly equal to the externality's net cost. As a result, for a particular level of production, the tax would be equal to the difference between the societal cost and the marginal private cost.

Learn more about the Pigouvian tax with the help of the given link:

brainly.com/question/13473766?referrer=searchResults

#SPJ4

You might be interested in
Spinning Wheels Co. is considering renting a new bike shop. The landlord has offered a number of alternatives for paying the ren
Vera_Pavlovna [14]

Answer:

The present value of the rent payments over the life of the lease is  $27,708

Explanation:

Year 1: $8,000

Year 2: $12,000

Year 3: $14,000

Rate of return: 10%

Option 1:

The present value of the rent payments over the life of the lease can be calculated in excel in the formula of NPV

= NPV(Rate, Cash in year 1, cash in year 2, cash in year 3) = NPV(10%,8000,12000,14000) = $27,708

Option 2:

NPV of cash in Year 1 after 3 years = $8,000/(1+10%)^1 = $7,273

NPV of cash in Year 2 after 2 years = $12,000/(1+10%)^2 = $9,917

NPV of cash in Year 3 after 1 years = $14,000/(1+10%)^3 = $10,518

So total NPV of cash in 3 years = $7,273 +$9,917+$10,518

= $27,708

4 0
3 years ago
Burnet Company had 30,000 shares of common stock outstanding on January 1, 2021. On April 1, 2021, the company issued 15,000 sha
saul85 [17]

Answer:

The options are anti dilutive

Explanation:

check the file attached for full explanation

Download docx
3 0
3 years ago
The parents of a young child decide to make annual deposits into a college savings account. The first deposit will be made on he
Gnom [1K]

Answer:

The amount of the equal, annual deposits made on birthdays 5 through 15 is $3,970.58

Explanation:

First, let's calculate the present value of the college expenses on her 17th birthday (a year before college) using NPV formula

NPV(9%, 20000...32000) = $82,839.69

Now, its value on 15th birthday should be equal to 82,839.69 / (1 + 9%)² = $69,724.51

Using the PMT formula, we can calculate the annual amount they have to invest for 11 years to get to this sum at 9% annual rate

PMT(rate = 9%, nper = 11, pv = 0, fv = 69,724.51, 0) = $3,970.58

5 0
3 years ago
Townsend Industries Inc. manufactures recreational vehicles. Townsend uses a job order cost system. The time tickets from Novemb
Sati [7]

Answer:

Part a.

Work In Process : Job 201 $64,200 (debit)

Work In Process : Job 202 $32,100 (debit)

Work In Process : Job 203 $25,350 (debit)

Work In Process : Job 204 $47,100 (debit)

Salaries Payable $168,750 (credit)

Part b.

Work In Process : Job 201 $94,160 (debit)

Work In Process : Job 202 $47,080 (debit)

Work In Process : Job 203 $37,180 (debit)

Work In Process : Job 204 $69,080 (debit)

Overheads $168,750 (credit)

Explanation:

Calculation of Labor Cost :

Job 201  = 4,280 hours × $15 = $64,200

Job 202 = 2,140 hours × $15  = $32,100

Job 203 = 1,690 hours × $15  = $25,350

Job 204 = 3,140 hours × $15  = $47,100

Application of overhead to jobs :

Job 201  = 4,280 hours × $22 = $94,160

Job 202 = 2,140 hours × $22  = $47,080

Job 203 = 1,690 hours × $22   = $37,180

Job 204 = 3,140 hours × $22 = $69,080

6 0
3 years ago
Scout Company sold $15.000 of merchandise in September with a three-month warranty. The cost to repair defects under warranty is
chubhunter [2.5K]

Answer: debit to Product Warranty Expense for $750

Explanation: 5% of $15000 =

5 ÷ 100 × $15000 is $750.

This is an expense and so will be a debit.

8 0
3 years ago
Other questions:
  • Suppose that Verizon Wireless has hired you as a consultant to determine what price it should set for calling services. Suppose
    12·1 answer
  • Which do you like better guys DELTARUNE or UNDERTALE?
    8·2 answers
  • What is it called when demand and supply are equal in price and quantity?
    13·1 answer
  • In the T-bill secondary market the ask yield will normally be less than the bid yield. True or False
    12·1 answer
  • Consider the market for pens. Suppose that a new educational study has proven that the practice of writing, erasing, and rewriti
    8·1 answer
  • Generally, ______ products require greater modification to meet local market requirements worldwide.
    6·1 answer
  • Peach Company uses a weighted-average process-costing system. Company records disclosed that the firm completed 40,000 units dur
    14·1 answer
  • Angelica (23 years old) studied dance in college and graduated a year ago. She currently works as a dance instructor at a high s
    15·1 answer
  • PLEASE HELP !!!!!!!!
    14·1 answer
  • 6. How does Windows handle incompatible applications?
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!