Answer:
The statement is: True.
Explanation:
Externalities are described as the effect of the actions of one party that influence directly in other individuals even if those other individuals have nothing to do in the operations of the first party. Externalities can be positive when they benefit the uninvolved individuals or negative when the externality affects them.
There are several types of externalities such as <em>technological, pecuniary, symmetric, asymmetric, transferable, depletable, non-depletable </em>and <em>transnational. </em>
Asymmetric externalities are those where the party causing the externality is not affected by its actions. It opposes symetric externalities which are those where the economic agent is directly affected by its own actions.
Answer:
The expected return that IMI can provide subject to Johnson's risk constraint is 8.5%
Explanation:
Capital Market Line (CML)
Expected return on the market portfolio, E(
) = 12 %
Standard deviation on the market portfolio, σ
= 20%
Risk-free rate,
= 5%
E(
) =
+ [ E(
) -
] × ( σ
÷ σ
)
= 0.05 + [ 0.12 - 0.05] × (0.10 ÷ 0.20)
= 8.5%
Answer:
E
Explanation:
All of these choices are correct.
Place refers to the channels of distribution either through distribution/market channels and physical distribution. It is a vital part of the total marketing mix, it ensures that products are available to the appropriate markets, at the right proportion or quantity, at the best condition, appropriate time, anytime and at all times.
Answer:
B) $1.40 per machine hour
Explanation:
Total machine hours = 29,000 + 48,000 = 77,000
Predetermined overhead allocation rate = Total estimated overhead costs / Total estimated quantity of the overhead allocation base
= $108,000 / 77,000 machine hours
= $1.40 per machine hour
Answer:
The correct answer is b. either a rise in output or a fall in the rate at which money changes hands.
Explanation:
The quantitative theory of money is an economic theory that aims to explain the causes of inflation, that is, the variations in prices and the value of money in a country.
To explain inflation, the quantitative theory of money relates the money supply to the general price level. The money supply is the amount of money that exists in the economy. It can be estimated since it is the central banks that control the liquidity of the economy.