Answer
The answer and procedures of the exercise are attached in the image below.
Explanation
Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.
Payback period is the time you have to wait for your funds to recover from its initial investment through cash inflows generated by your project. This is how economists appraise their project's viability. For even cash inflows, the equation is
Payback period = Initial investment/Cash inflows
Payback period = $1675/$570 per year
Payback period = 2.94 or approximately 3 years.
The platforms that south African tourism used to market south African as a destination choice would be :
- The internet
- The physical Media
- Or International organization
These three platforms would bring a lot of tourists to south africa
Answer:
Comparative advantage.
Explanation:
Comparative advantage in economics is the ability of an individual or country to produce a specific good or service at a lower opportunity cost better than another individual or country.
The comparative advantage gives a country a stronger sales margin than their competitors as they are able to sell their specific products or render their peculiar services at a lower opportunity cost.
In 1817, David Ricardo who is an english political economist talked about the law of comparative advantage in his book “On the Principles of Political Economy and Taxation." Also, the principle of comparative advantage states that, nations (countries) can become better off than their contemporaries through the process of specializing in what they know how to produce or do best.
This simply means that, any country applying the principle of comparative advantage, would enjoy an increase in output and consequently, a boost in their Gross Domestic Products (GDP).
In general, individuals and nations should specialize in producing those goods for which they have a comparative advantage.
