Answer:
Explanation:
What is given:
The price of a new fabricating machine - 60
The price of a one-year-old machine - 51
The real interest rate is 10% per year
Marginal product of fabricating machines 165-2K (K - desired number machines)
If calculate the depreciation, (60-51)/51 = 15%
a) Find user cost of capital
User cost of capital is the sum of interest rate and depreciation cost multiplied by the price of new machine
= 60*(0.10+0.15) = 15 units
b) Determine the number of machines that will allow Missing Link to maximize its profit
165-2K=15
2K = 150
K = 75 machines
c)
Suppose that Missing Link must pay a tax equal to 40% of its gross revenue. What is the optimal number of machines for the company?
165-2K = 15/(1-0.4)
165-2K=14/0.6
165-2K=25
2K=140
K=70 macines
Answer:
True
Explanation:
Hand-over-hand steering is appropriate when the speed of steering is critical, such as with skid recovery in a rear-wheel traction loss.
Hand-to-hand steering is particularly well suited for precision maneuvers, steering through curves, intersection entry and exit, and front-wheel traction loss control (skidding).
Answer: $2.6 per unit.
Explanation:
Given that,
Tons of cement produced and sold = 225,000
Sales revenue = $1,035,000
Variable manufacturing expense = $421,000
Fixed manufacturing expense = $280,000
Variable selling and administrative expense = $29,000
Fixed selling and administrative expense = $220,000
Net operating income = $85,000
Sales price per unit:
= 
= 
= $4.6 per unit
Variable cost per unit:
= 
= 
= $2 per unit
Contribution margin = Sales price per unit - Variable cost per unit
= $4.6 - $2
= $2.6 per unit
On the far right side of the AS curve, the economy is producing above potential, and on the far left of the curve, it is producing below potential.
<h3>What is AS curve?</h3>
It should be noted that the AS curve simply means the aggregate supply curve and it's the quantity of real GDP that's supplier by the economy.
In this case, on the far right side of the AS curve, the economy is producing above potential, and on the far left of the curve, it is producing below potential.
Learn more about curve on:
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