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1 year ago

For a typical firm, as production continues to expand marginal cost will increase due to?

1 answer:

4 0

For a typical business firm, as production continues to expand marginal cost will increase due to the use of less productive resources.

<h3>What is law of diminishing marginal productivity?</h3>

The law of diminishing marginal productivity states that as the unit of a good produced by using more variable input units alongside a certain amount of fixed inputs increases, the total output may grow at a faster rate initially, then at a steady rate, and then starts decreasing or diminishing as the units of good produced increases.

<h3>What is marginal cost?</h3>

Marginal cost can be defined as the additional amount of money that is paid by a business firm from the production of an additional unit of a good or service.

In conclusion, as production continues to expand for a typical business firm, marginal cost will increase due to the use of less productive resources in accordance with the law of diminishing marginal productivity.

Read more on law of diminishing marginal productivity here: brainly.com/question/28149506

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The Federal Reserve purchases $8 million in U.S. Treasury bonds from a bond dealer, and the dealer's bank credits the dealer

Zinaida [17]

Answer:

The bank will be able to lend:

$42,105,263 ($8 million/ 0.19)

Explanation:

The above amount which the bank can lend from the $8 million received from the Federal Reserve for a customer is a function of $8 million deposit in a customer's account and the reserve ratio. This is called the money multiplier.

The money multiplier is the amount of money that banks generate with each dollar of reserves. Reserves is the amount of deposits that the Federal Reserve requires banks to hold and not lend. The level of Reserves and deposit liabilities determine the amount a bank can lend out.

The process by which banks create more money than the physical money is called money creation. This shows that a bank creates more money in the economy through its lending activities.

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2 years ago

Earl holds 1,000 pounds of perishable fruit in storage for fresh food corporation. fresh food does not pay for the storage. earl

Sergeeva-Olga [200]

This sale represent A MITIGATION OF DAMAGE.
The principle of the mitigation of damage states that a person who has suffered an injury or loss should take reasonable action where possible to avoid additional injury. The failure to take reasonable action to prevent further loss may result in reduction in the amount that the person can recover if the case is taken to court.

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3 years ago

Earnings per share: Select one: a. Will always be lower than the dividend paid per share b. Will always be higher than the divid

Svetlanka [38]

Answer:

b. Will always be higher than the dividend paid per share

Explanation:

A firm pays dividend to it's stockholders based upon it's earnings.

Earnings per share (EPS) is expressed as:

= $\frac{Earnings\ available\ to\ stockholders}{No.\ of\ stocks\ outstanding}$

Dividend payout ratio on the other hand is expressed as:

= EPS (1 - b)

wherein, b = retention ratio which denotes the percentage of earnings retained by a firm i.e not distributed as dividends.

Thus, a firm's earnings per share would always be higher than the dividend paid by it per share.

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2 years ago

With a pull marketing strategy,A. orders for merchandise are generated at the store level based on sales data captured at POS te

o-na [289]

Answer:

A. orders for merchandise are generated at the store level based on sales data captured at POS terminals.

Explanation:

In a pull marketing strategy, the company focuses on targeting customers to want the product under consideration specifically. For this the company focuses on targeting customers directly by providing straight discounts when bought from production houses directly.

This basically ignores the role of retailers and middle persons in the supply chin. Companies target the customer in such manner so that customers directly contact the producing houses.

Accordingly, orders are booked in store level only, through estimated sales study.

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2 years ago

Joe sells the house he has lived in for 10 years to the Smith family for $300,000. He receives $50,000 more than his original pu

jasenka [17]

Answer:

$15,000

Explanation:

Joe has sold the house he has been living in for 10 years to the Smiths family

He sold the house at $300,000

Joe receives $50,000 more than the original price bargained 10 years ago

He pays the real estate agent a commission of 5%

= 5/100

= 0.05

Therefore the increase in gross domestic product can be calculated as follows

= $300,000×0.05

= $15,000

Hence, the transaction will increase the gross domestic product by $15,000

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2 years ago