Answer:
Option 1 - the opportunity cost of leisure decreases as wages decrease.
Explanation:
The labour supply curve of any occupation will always be upward sloping because when wages, (the opportunity cost of leisure) rises, the more hours of leisure a staff will relinquish to do more work.
The opposite of this is true as seen in option 1 of the question.
Opportunity costs will reduce with a consequent reduction in average wages. When fewer people want to retain their employment due to decrease in wage rates, it would lead to a fall in demand for leisure.
Answer:
<h2>In this case,the answer would be option a. or upward-sloping and has decreasing slope.</h2>
Explanation:
- Diminishing marginal utility of wealth implies that with acquisition of each monetary unit of wealth,the overall satisfaction,happiness or utility obtained by any individual increases but at a decreasing rate.
- In other words,the additional or incremental satisfaction,happiness or utility derived by any individual from obtaining one more or additional monetary unit of wealth decreases progressively.
- Such trend in the utility level of any individual obtained from wealth acquisition or accumulation basically explains the shape of the utility function of wealth in this instance.
- Due to diminishing marginal utility of wealth,its utility function will slope upward as the total utility increases until a certain point.However,as the marginal utility obtained from acquiring one more unit of wealth decreases,its slope will be decreasing progressively and at one point it will become 0 implying that the total utility of wealth is not increasing anymore.This is the point where the utility function of wealth will reach its highest or maximum level.
Answer:
1.$25
2. Deluxe $13,000
Basic $5,500
Explanation:
1. Calculation to determine the company's cost of technical support per customer service call.
Using this formula
Cost of technical support per customer service call = Expected cost / Expected customer service call
Let plug in the formula
Cost of technical support per customer service call = $150,000 / 10,000
Cost of technical support per customer service call = $25 per customer service call
Therefore the company's cost of technical support per customer service call is $25 per customer service call
2. Calculation to Assign technical support costs to each model using activity based costing
Model Activity Rate (a) Cost driver quantity incurred (b) Allocated Cost (a*b)
Deluxe $25 *520calls = $13,000
Basic $25* 220 calls = $5,500
Therefore the technical support costs assign to each model using activity based costing (ABC) is:
Deluxe $13,000
Basic $5,500
Answer:
$16,950
Explanation:
The computation of the shrinkage that occurred during the month is shown below:
Balance inventory = Beginning Inventory + Inventory purchased - Inventory sold
= $526,000+ $59,200 - $40,250
= $544,950
Now the shrinkage inventory is
= Balance inventory - Physical count of inventory shows
= $544,950 - $528,000
= $16,950