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3 years ago

What is the difference between classical economics and behavioral economics?

Business

1 answer:

Nostrana [21]3 years ago

7 0

3. Classical economics assumes people are rational and logical while behavioral economics adds psychology to the mix.

A major theory in classical economics is that human beings are rational and, given the necessary information they will make rational decisions and act rationally, however, Behavioral economics assumes that people are irrational players.

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A disadvantage of feedback is that: Group of answer choices it makes the control process inefficient. most people are too sensit

julsineya [31]

Answer: It always comes after the fact.

Explanation:

Feedback is very important for a company. It helps them know where they need to improve on so that they can offer better services ti customers. It also fosters good relations with customers as they will feel their input is taken into account.

Unfortunately though the whole premise of Feedback is that it's based on information of an event that has already happened and SOMETIMES CANNOT BE CHANGED. This is a very huge drawback but one that is implicit in the process itself.

6 0

3 years ago

Muy Bueno Bakery Company sells three different products. Currently they are not able to meet all of their customers' demand. Usi

cestrela7 [59]

Answer:

c. Pie

Explanation:

In order to determine which product is the most profitable, we must calculate the contribution margin per hour:

Cake Pie Cookies

contribution margin $18 $11 $3

production time 3 1 .30

contribution margin p/hour $6 $11 $10

Pie is the most profitable product, followed by cookies, and cakes are the less profitable products.

4 0

3 years ago

A lender is willing to provide a loan equal to 80% of a property worth $360,000. If such a loan carries an interest rate of 7.5%

lukranit [14]

Answer:

B) $11,750

Explanation:

annual mortgage payment = net operating income - (outstanding loan balance x loan payment factor)

outstanding loan balance = property value x loan percentage

annual mortgage payment = $40,000 - [($360,000 x 80%) x 0.09809] = $40,000 - ($288,000 x 0.09809) = $40,000 - $28,250 = $11,750

5 0

3 years ago

Tubby Toys estimates that its new line of rubber ducks will generate sales of $7 million, operating costs of $4 million, and a d

Pavlova-9 [17]

Answer:

$2,300,000

Explanation:

The formula to compute the operating cash flow is shown below:

= EBIT + Depreciation - Income tax expense

where,

EBIT = Sales - operating expenses - depreciation expense

= $7,000,000 - $4,000,000 - $1,000,000

= $2,000,000

And, the income tax expense is

= $2,000,000 × 0.35

= $700,000

So, the value would equal to

= $2,000,000 + $1,000,000 - $700,000

= $2,300,000

We simply applied the above formula

7 0

3 years ago

In a proceeds transaction: I. a customer directs that a position be sold; and the funds generated from the sale be used to buy a

Serggg [28]

Answer:

I and IV

Explanation:

A proceed transaction is a type of transaction in securities where a broker uses the proceeds of the sales of a security to buy another security , still constituting a transaction. (option 1)

A proceed transaction is subjected to a combined mark - up or commission , where the mark up earned on the disposed security is added to the mark up earned on the new security bought in replacement , which must be reasonable and fair. (option iv)

6 0

3 years ago