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aleksley [76]
4 years ago
5

PureRinse Inc. is a brand reputed for its wide variants of body wash that introduced its range of shampoos and skin moisturizers

a few years ago. Since most of its products could be produced using the same resources and technology, the company's cost structure lowered, while its product portfolio widened. In this scenario, what value and cost drivers is PureRinse applying?
Business
1 answer:
klemol [59]4 years ago
6 0

Answer:

Economics of scope.

Explanation:

Economies of scope can easily described to be situations in which the long-run average and marginal cost of a company, organization, or economy decreases, due to the production of some complementary goods and services. An economy of scope means that the production of one good reduces the cost of producing another related good.

Economies of scope differ from economies of scale, in that the former means producing a variety of different products together to reduce costs while the latter means producing more of the same good in order to reduce costs by increasing efficiency.

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For a perfectly competitive​ firm, the price of its good is equal to the​ firm's marginal revenue because
puteri [66]
Because -

individual perfectly competitive firms cannot influence the market price by changing their output
8 0
4 years ago
Havermill Co. establishes a $250 petty cash fund on September 1. On September 30, the fund is replenished. The accumulated recei
Juli2301 [7.4K]

Answer:

<h2>The journal entry is shown below:</h2>

Explanation:

The journal entry for recording the establishment of the fund is as:

On September 1

Petty cash A/c.....................Dr   $250

       Cash A/c...........................Cr   $250

Being recording the petty cash in the books

As creating the fund for the petty cash in the books, the account of petty cash is debited as there is increase in the assets which is debited. And the petty cash is created against cash. Therefore, the cash account is credited.

3 0
3 years ago
Which of the following statements is FALSE?A. Across a longer time period, a single cash flow grows to a larger future valueB. F
telo118 [61]

Answer:

D. For a higher interest rate, an annuity has a smaller future value

Explanation:

If the interest rate increases, then the capitalization factor on the annuity increases making the annuity future valeu increase:

C \times \frac{(1+r)^{time} -1}{rate} = PV\\

on the capitalziation factor we got rate in both part of the division:

\frac{(1+r)^{time} -1}{rate}

on the top part is being added a unit and power to t

while in the other it doesn't change.

While it is true that a higher dividend makes the quotient decrease, the increases in the top part exceeds by far the increase in the bottom part, making increase the quotient.

8 0
4 years ago
A nation has a GDP of 685m. It has a growth rate of 4%. How long will it take the nations GDP to double?
katovenus [111]
<span>The Rule of 70 can be used to determine the length of time it would take for a variable to double. In this case, using a growth rate of 4%, we can divide 70/4 to find that it would take 17.5 years for the GDP of this nation to approximately double.</span>
7 0
3 years ago
The difference between the price an issuer receives and the offering price at which shares are sold to investors is known as:___
horsena [70]

The difference between the price an issuer receives and the offering price at which shares are sold to investors is known as The gross spreads.

Gross spread is the distinction among the underwriting fee obtained by the issuing business enterprise and the actual rate offered to the making an investment public. In different words, the gross spread is the monetary institution's reduce or benefit from the IPO listing.

The gross proceeds suggest the overall sum of money the syndicate increases from the primary traders. add the underpricing to the gross proceeds to obtain the marketplace price presented.

An underwriting unfold is the distinction among the greenback amount that underwriters, which includes investment banks, pay an issuing for its securities and the greenback quantity that underwriters obtain from promoting the securities in a public imparting. In one of the maximum common definitions, the spread is the space among the bid and the ask charges of a protection or asset, like a inventory, bond, or commodity.

Learn more about gross spreads here:-brainly.com/question/16259338

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4 0
2 years ago
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