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1 year ago

explain the law of increasing opportunity costs using the example of economic growth and a production possibilities curve.

1 answer:

3 0

The law of increasing opportunity cost tells us that, as the economy moves along the production possibilities curve in the direction of more of one good, its opportunity cost will increase.

<h3>What is economy ?</h3>

An economy is a region where products and services are produced, distributed, traded, and consumed. It is generally understood to be a social domain that places an emphasis on the behaviors, discourses, and tangible manifestations connected to the creation, utilization, and management of finite resources.

One's culture, values, education, technological advancement, history, social organization, political structure, legal system, and natural resources are all major determinants of an economy's processes. These elements determine the parameters and conditions under which an economy operates in addition to providing background and content. In other words, the economic realm is a social domain made up of connected human behaviors and exchanges that cannot exist independently.

Individuals, companies, organizations, or governments all qualify as economic actors.

To learn more about economy from the given link:

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In the month of March, Baldwin corporation received orders of 169 units at a price of $15 for the product boat. Baldwin uses the

Igoryamba

Answer: $1,680

Explanation:

According to the Accrual method, revenue from sales is recognized when the obligations of the sale have been fulfilled. In other words, when the goods are delivered.

In March, Baldwin delivers 112 units so this is the units that will be recognized for revenue:

= 112 * 15 per unit

= $1,680

3 0

3 years ago

Economic efficiency in a free market occurs when

Diano4ka-milaya [45]

Answer: Economic efficiency in a free market occurs when C) the sum of consumer surplus and producer surplus is maximized.

Explanation: Economic efficiency happens when resources are distributed in a way that allows for the least amount of waste so that there is little inefficiency. When all items are maximized, there is little waste happening and therefor the economic has achieved economic efficiency.

6 0

3 years ago

Oriole Corp. is a fast-growing company whose management expects it to grow at a rate of 24 percent over the next two years and t

Salsk061 [2.6K]

Answer:

1.What is the dividend for the 1st year?

$2.67

2.What is the dividend for the 2nd year?

$3.31

3.What is the dividend for the 3rd year?

$3.90

4.What is the dividend for the 4th year?

$4.60

5.What is the dividend for the 5th year?

$5.43

6.Compute the present value of these dividends if the required rate of return is 14 percent.

1. $2.34

2. $2.54

3. $2.63

4. $2.73

5. $2.82

Explanation:

Last Dividend paid = $2.15

Growth rate:

First two years = 24%

Following three years = 18%

FV of Dividend = PV ( 1 + g )^n

Dividend for the 1st year = $2.15 x ( 1 + 24% )^1 = $2.15 x ( 1 + 0.24 )^1 = $2.15 x ( 1.24 )^1 = $2.67

Dividend for the 2nd year = $2.15 x ( 1 + 24% )^2 = $2.15 x ( 1 + 0.24 )^2 = $2.15 x ( 1.24 )^2 = $3.31

Dividend for the 3rd year = $3.31 x ( 1 + 18% )^1 = $3.31 x ( 1 + 0.18 )^1 = $3.31 x ( 1.18 )^1 = $3.90

Dividend for the 4th year = $3.31 x ( 1 + 18% )^2 = $3.31 x ( 1 + 0.18 )^2 = $3.31 x ( 1.18 )^2 = $4.60

Dividend for the 5th year = $3.31 x ( 1 + 18% )^3 = $3.31 x ( 1 + 0.18 )^3 = $3.31 x ( 1.18 )^3 = $5.43

6.The present value of these dividends

Present value of dividends can be calculated by following formula:

PV = FV / ( 1 + r )^n

FV = Dividend for the year

r = rate of return = 14%

n = number of years

1. PV = $2.98 / ( 1 + 0.14 )^1 = $2.98 / ( 1.14 )^1 = $2.98 / 1.14 = $2.34

2. PV = $3.31 / ( 1 + 0.14 )^2 = $3.31 / ( 1.14 )^2 = $3.31 / 1.2996 = $2.54

3. PV = $3.90 / ( 1 + 0.14 )^3 = $3.90 / ( 1.14 )^3 = $3.90 / 1.481544 = $2.63

4. PV = $4.60 / ( 1 + 0.14 )^4 = $4.60 / ( 1.14 )^4 = $4.60 / 1.68896 = $2.73

5. PV = $5.43 / ( 1 + 0.14 )^5 = $5.43 / ( 1.14 )^5 = $5.43 / 1.925416 = $2.82

5 0

2 years ago

8. Brady Inc. reported FIFO ending inventory of $114,000 and FIFO beginning inventory of $110,000 for 2018. Inventory purchases

atroni [7]

Answer:

$232,825

Explanation:

Step 1: Calculation of cost of goods sold (COGS) under First In First Out (FIFO)

Since we know that;

Ending inventory = Beginning inventory + Purchase - COGS of FIFO

Therefore, we can rearrange to make COGS the subject of the formula and substitute the values as follows:

COGS under FIFO = Beginning inventory + Purchase - Ending inventory

= $110,000 + $237,500 - $114,000 =

COGS under FIFO = $233,500

Step 2: Calculation of COGS under Last In First Out (LIFO)

COGS under LIFO = COGS under FIFO - Rise in LIFO reserve

= $233,500 - $675

COGS under LIFO = $232,825

Therefore, the value of COGS LIFO for Brady Inc. in 2018 is $232,825.

7 0

2 years ago

Returning workers confront creepy time capsules of pre-pandemic life

UkoKoshka [18]

The main idea of this article is to expose the space that workers found when returning to their workplaces after isolation from the pandemic.

The article talks about the workplaces that had particular aspects after having been alone for 18 months of isolation due to the pandemic. For example:

There was spoiled food that was left there 18 months ago.
Calendars for the first months of the year 2020.

This situation originated because the workers carried out their daily work routine and did not contemplate being forced to isolate themselves for prevention to acquire the virus of the pandemic of the year 2020.

This question is incomplete because the question is missing. The question is:

What is the main idea of the article?

Learn more in: brainly.com/question/2655465

4 0

2 years ago