Answer:
5300
Explanation:
assets=equitys +liabilities
Answer:
1a. $500
1b. $250
2. The market for sunscreen is efficient because total surplus is maximum.
<em>Diagram in question attached</em>
Explanation:
1a. Consumer surplus is the difference between the maximum price that consumers are willing to pay and the price actually paid. This is the triangular area above the market equilibrium. In the market for sunscreen, consumers are willing to pay $20 for sunscreen but are actually only paying $10 (equilibrium price).
The formula for consumer surplus = 1/2 x (Qd at equilibrium) x (price willing to pay - price at equilibrium)
<em>Note that consumer surplus is a triangle and the area of it is being found, hence the 1/2 :)</em>
Consumer surplus = 1/2 x 100 x ($20 - $10)
1/2 x 100 x $10 = $500
1b. Producer surplus is the difference between the price producers receive and the minimum price they are willing to accept. This is the triangular area below the market equilibrium. In the market for sunscreen, suppliers are willing to produce at $5 but are actually receiving $10 (equilibrium price).
The formula for producer surplus = 1/2 x (Qs at equilibrium) x (price at equilibrium - price willing to receive)
Producer surplus = 1/2 x 100 x ($10 - $5)
1/2 x 100 x $5 = $250
2. The market for sunscreen is efficient because total surplus is maximum. Total surplus is maximized when the market is producing at the equilibrium price as in the current sunscreen market. At any other price, consumer or producer surplus would be reduced and a dead weight loss would be incurred.
Answer:
The correct answer is A. Microsoft sells Software to British companies
Answer:
The correct answer is: cigarettes; fiat.
Explanation:
Money performs a number of functions such as medium of exchange, store of value etc. Before the introduction of money, goods and services were used as a medium of exchange. This system was called barter system.
The difference between cigarettes and dollars is that cigarettes have an intrinsic value. Dollars do not have any intrinsic value, but it has high face value.
Fiat money is the physical money in notes and coins which are not backed by any other commodity. These are made legal tender by the government and have no intrinsic value of their own.
Answer:
Difference= $10,895.32 in favor of option 2.
Explanation:
Giving the following information:
Option 1:
Annual interest rate of 4.6 percent until you retire in 35 years.
Initial investment= $14,000
Option 2:
Annual interest rate of 5.2 percent until you retire in 34 years.
Initial investment= $14,000
<u>To calculate the future value, we need to use the following formula:</u>
FV= PV*(1+i)^n
Option 1:
FV= 14,000*1.046^35= $67,567.37
Option 2:
FV= 14,000*1.052^34= $78,462.69
Difference= 78,462.69 - 67,567.37= $10,895.32 in favor of option 2.