Answer:
4 shirts
Explanation:
Principle of Optimization at the Margin states that the individual maximises utility when consuming a prpduct as long as the marginal benefit exceeds to marginal cost. If marginal cost is greater than the benefit the consumer will find another alternative.
In this instance Maria sees the short as value of $40, while sale price is $21
So when she buys the first shirt her perceived cost is now 40- 5= $35
For the second shirt perceived cost is 35-5= $30
For the third shirt perceived cost is 30-5= 25$
For the fourth shirt it is 25-5= $20
At this stage cost is slightly higher than the benefit and she will stop buying shirts.
Answer:
Increasing inflation expectations will change the demand curve to the left and the supply curve to the right, resulting in a fall in the price of the equilibrium. therefore new equilibrium occurs at a reduced price
Since Nominal rate of interest = Real interest rate + Inflation rate.
As a result, the rise in expected inflation will boost the nominal rate of interest on both quick-term and lengthy-term bonds.
The longer the bond maturity, the greater the volatility in price. The longer the maturity of the bond, the larger / bigger the price change as a result of market interest rate changes. As a result, long-term capital losses will be more than short-term capital losses.
Answer:
The estimated overhead cost if 225 direct labor hours are expected to be used in the upcoming period is $9,882.11
Explanation:
In order to calculate the estimated overhead cost if 225 direct labor hours are expected to be used in the upcoming period we would have to make the following calculation:
Cost for 225 direct labor hours = Intercept + Slope*225
Cost for 225 direct labor hours=$596.36+ ($41.27*225)
Cost for 225 direct labor hours=$9,882.11
The estimated overhead cost if 225 direct labor hours are expected to be used in the upcoming period is $9,882.11
Answer:
The earnings per common share amounted to $1.94
Explanation:
Net Income= $400,000
Preference Dividend = 10000*100*5%= 50000
Earnings for Common stock = 400,000 - 50000= $350000
Earning per common stock = 350000/180000
= 1.94
Therefore, The earnings per common share amounted to $1.94
Answer:
<h2>Just as in any market, the price of labor, the wage rate, is determined by the intersection of supply and demand. When the supply of labor increases the equilibrium price falls, and when the demand for labor increases the equilibrium price rises.</h2>