Answer:
The correct answer is letter "C": Diminishing returns.
Explanation:
The Law of Diminishing Marginal Returns states that as the number of new workers increases, an additional employee's marginal product at some stage would be less than the previous employee's marginal product. This is because at a certain point adding more employees implies not having enough space for the new hires to work which diminishes the marginal return of every new individual hired by the firm.
Answer:
a) Average Cost per unit = $63 / unit
b) Cost per unit below break point = $ 70 / unit
c) Marginal Cost for 650th Unit = $35 / unit
Explanation:
a) To calculate average cost per unit, we simply divide the total cost for the month $31500 by the total units shipped this month 500 units.
Average cost p.u = 31500 / 500 = $63 / unit
b) The breaking point is at 400 units. The cost for initial 400 units is twice that of the additional units after 400. So, we can say that in this case of 500 units, it takes 2x cost to test initial 400 units while x to test the later 100 units.
Thus,
- 31500 = 400 * 2x + 100 * x
So, plugging 35 in place of x,
the cost per unit below cost break = 2 * 35 = $70 / unit
c) Marginal cost of 650th unit is simply x that is $35 / unit
Answer:
Explanation:
Using a financial calculator; input the following;
Duration to maturity ; N = 3*2 = 6
Par value of the bond ; FV = 1000
Semiannual interest rate; I = 3%
Semiannual coupon payment;PMT = (7%/2)*1000 = 35
then compute the price; i.e the present value; CPT PV = 1027.09
The price after 6-months would be as follows;
Duration to maturity ; N = 2.5*2 = 5
Par value of the bond ; FV = 1000
Semiannual interest rate; I = 3%
Semiannual coupon payment;PMT = (7%/2)*1000 = 35
then compute the price; i.e the present value; CPT PV = 1022.90
Answer:
$200,000
Explanation:
DIVIDEND can be defined as the amount of cash which is been paid regularly by a company to its shareholders out of its profits or surplus.
Property dividend of 20,000 shares ×
Fair value of the P stock at $10 per share on the declaration date of the property dividend.
Therefore:
20,000 x $10 = $200,000
The amount of DIVIDEND is $200,000