Answer:
False
Explanation:
In a perfectly competitive market the sales revenue is based on pricing also. As the pricing policy also plays an important role in the marketing technique to attract customers.
As the quality served is generally the same in the market, there is no issue in that but when the price is reduced expected sales will increase and accordingly the expected revenue also increases.
As the sales is expected to increase the revenue will also increase accordingly, even though the price is reduced, due to increase in sales quantity the expected change shall not be same as that of the change in price.
Thus, the statement is False.
Risk aversion is the behavior in someone when they are exposed to uncertainty and are unsure of something due to being uncertain about it.
In this case, reluctant for taking changes when making investment best describes risk aversion from an economics stand point. If someone isn't sure the return on investment they would get from investing or the risks associated with investing in something, they are more hesitant to do that.
Answer: It is very important because you need to be prepared to invest the time and money necessary to gain the required skills.
Explanation:
Answer:
Option (e) is correct.
Explanation:
Given that,
Weights for the periods:
w_t-4 = 0.1,
w_t-3 = 0.2,
w_t-2 = 0.3
w_t-1 = 0.4
Demand observed in the previous four periods:
A_t-4 = 380
A_t-3 = 410
A_t-2 = 390
A_t-1 = 400
Demand forecast for period t:
= (w_t-4 × A_t-4) + (w_t-3 × A_t-3) + (w_t-2 × A_t-2) + (w_t-1 × A_t-1)
= (0.1 × 380) + (0.2 × 410) + (0.3 × 390) + (0.4 × 400)
= 397
Answer:
Varga should recognize $4,000 as revenue in 2016.
Explanation:
As the cash received in advance is recorded as unearned revenue which is a liability for the Varga Tech Services because they did not provide the services yet. On December 31, Eight months have passed and services for these month has been provided. So the revenue of 8 month months of 2016 will be recognized and recorded at year end.
Serive Contract = $6,000 for 12 months
Revenue Recognized in 2016 = $6,000 x 8/12 = $4,000