Yes it is true because those who work their hours or even want more hours are those who are a wage earner. You’ve earned it since you’ve been doing your job like a responsible person and that’s what the company likes
Answers:
Calculation of cost of goods manufactured:
Particulars Amount(in $)
Cost of direct material $15,401
Add: Direct labour $24,583
Add: Factory overhead $35,335
Add: Work In process inventory, March 1 $20,021
Less: Work in process inventory, March 31 <u>$20,681</u>
Cost of goods manufactured <u>$74,659</u>
Calculation of Cost of goods sold:
Particulars Amount(in $)
Cost of goods manufactured $74,659
Add: Finished goods inventory, March 1 $24,889
Less: Finished goods inventory, March 31 <u>$27,311 </u>
Cost of goods sold <u>$72,237</u>
The correct answer is choice A.
A business with only one owner is called a sole proprietorship. This owner has rights to all of the profits and does not have to share them with anyone.
Answer:
Allocative inefficiency.
Explanation:
Factors of production can be defined as the fundamental building blocks used by individuals or business firms for the manufacturing of finished goods and services in order to meet the unending needs and requirements of their customers.
In Economics, there are four (4) main factors of production and these are;
I. Land.
II. Labor (working).
III. Capital resources.
IV. Entrepreneurship.
When these aforementioned factors of production are combined effectively and efficiently, they can be used for the manufacturing or production of goods and services to meet the unending requirements or needs of the consumers.
Basically, there are two (2) types of inefficiency associated with the production of goods and services to meet the unending requirements or needs of consumers, these includes;
1. Technical (productive) inefficiency: it occurs when a company or business firm produce goods and services that consumers do not want. This is typically as a result of the incorrect and inefficient allocation of scarce resources by a business firm or entity.
2. Allocative inefficiency: it occurs when a company or business firm do not maximise output from the given inputs such as raw materials, capital, etc. Thus, it arises when businesses fail to increase the level of their production or productivity from a number of given inputs.
Hence, when a business do not maximise output from the given inputs, it is referred to as an allocative inefficiency.
<em>In conclusion, allocative inefficiency typically occurs when the price of a good or service isn't equal to its marginal cost i.e P ≠ MC.</em>
