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Anastasy [175]
1 year ago
5

A rational choice is ______. a. made by comparing marginal benefit and marginal cost

Business
1 answer:
mr Goodwill [35]1 year ago
5 0

A rational choice is made by comparing marginal benefit and marginal cost

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

The marginal cost in economics is the change in total cost that occurs when the amount produced is increased, or the cost of producing more quantity.

The law of declining marginal utility asserts in economics that the marginal usefulness of a good or service decreases as an individual consumes more of it. Consuming incremental amounts of a good provides less and less satisfaction to economic agents.

Marginal cost is an important concept in economic theory because a corporation seeking to maximize profits will produce until marginal cost (MC) equals marginal revenue (MR) (MR). After then, the cost of creating an additional item will outweigh the money generated.

To know more about marginal cost follow the link:

brainly.com/question/11689872

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If an investor buys enough stocks, he or she can, through diversification, eliminate all of the diversifiable risk inherent in o
dezoksy [38]

Answer:

The correct answer is False.

Explanation:

Diversification is a method to reduce the risk of our portfolio by investing in different assets. Its main objective is to improve the profitability we obtain in relation to the risk we assume. By investing in assets that react differently to possible future scenarios, we can avoid extreme situations in our portfolio.

Although diversification does not ensure that we will not lose money, it is one of the main tools we can use to improve the long-term return on risk / return

Non-diversifiable risk, also called systemic risk, is that which is associated with the market as a whole. It is a risk that does not affect any particular company or asset, but when it occurs affects all the assets of a market. Examples of this type of risk would be increases in interest rates, inflation, wars, changes in government, etc. In short, we are talking about a type of risk that the investor must assume as inherent in the activity of investing. We cannot eliminate this risk through diversification.

Diversifiable risk, also known as non-systemic risk, is the specific risk to each company or asset in which we can invest. The most common sources of this type of risk are business risk and the financial risk of bankruptcy of a specific asset. As prudent investors, we can use diversification to limit the impact that such events can have on all our investments.

7 0
3 years ago
According to economists, inflation is
Akimi4 [234]
Inflation is a sustained increase in the general price level of goods and services in an economy over a period of time.
3 0
3 years ago
Account Balances
Mashutka [201]

If a person write a check for $759 to make a payment on a loan, then the account balance would be changed as in the balance sheet of the person.

<h3>What is account balance?</h3>

An Account balance is limited as the amount of monetary system that is hold in a specific account in the bank account or in any another account.

From the given case, if a person make a payment of loan, then the account balance would be:

Assets = $36,767 ($37,526 – $759)

Liabilities = $12,086 ($12,845  -$759)

Equity = $32,500

Therefore, the balance of Equity remains unaffected by the payment of loan.

Learn more about the loan, refer to;

brainly.com/question/11794123

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6 0
2 years ago
Manuel borrowed a total of $4000 from two student loans. One loan charged 4% simple interest and the other charged 3.5% simple i
hichkok12 [17]

Answer:

the principal amount at a rate of 4% is 2000

principal amount at a rate of 3.5% is 4000-2000 =2000

Explanation:

We have given total amount borrowed = $4000

Let x amount is borrowed at a rate of 4%

So $4000-x is borrowed at rate of 3.5%

Total interest = $150

We know that simple interest =\frac{principal\ amount\times rate\times time}{100}

So \frac{x\times 4\times 1}{100}+\frac{(4000-x)\times 3.5\times 1}{100}=150

4x+14000-3.5x=15000

0.5 x=1000

x = 2000

So the principal amount at a rate of 4% is 2000

And principal amount at a rate of 3.5% is 4000-2000 =2000

7 0
4 years ago
What is professonal education?​
alexira [117]

Answer:" Professional education is a formalized approach to specialized training in a professional school through which participants acquire content knowledge and learn to apply techniques. Although content is what the participant is expected to learn by attending professional school, such an education also helps the participant acquire the competencies needed for proper practice and behavior."

Explanation:

7 0
3 years ago
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