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Katena32 [7]
3 years ago
14

Assume the world market for oil is competitive and that the marginal cost of producing​ (extracting and bringing to​ market) ano

ther barrel of oil is ​$81.80 and the marginal benefit is ​$80.00. If one more barrel of oil is produced and​ consumed, how will economic surplus​ change? Economic surplus will
a. Increase by ​$161.80.
b. Decrease by ​$81.80.
c. Decrease by ​$1.80.
d. Not change.
e. Increase by ​$1.80
Business
1 answer:
jenyasd209 [6]3 years ago
4 0

Answer: c). decreases by $1.80

Explanation: Economic surplus is the sum of consumer surplus and producer surplus. When the marginal benefit is less than marginal cost, producing one more unit will lower the economic surplus by and amount equal to the difference between marginal benefit and marginal cost.

Economic surplus = Marginal benefit - Marginal cost  = $80.00 - $81.80  = - $1.80

Therefore, economic surplus decreases by $1.80, which is option c.

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Depreciation on factory equipment would be reported in the statement of cash flows prepared by the indirect method in.
ohaa [14]

Depreciation on factory equipment would be reported in the statement of cash flows prepared by the indirect method in the cash flows from investing activities section.

What is depreciation?

Depreciation is an accounting technique that distributes an asset's cost throughout its anticipated useful life. Depreciation is a recurring expense that businesses report on their income statement. Assets degrade with time, losing value.

Which activities are reported on the statement of cash flows?

Transactions must be divided into the three categories of operating, investing, and financing activities that are shown on the statement of cash flows.

Learn more about cash flow statement: brainly.com/question/15278261

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8 0
2 years ago
The following information for the past year for the Blaine Corporation has been provided:Fixed costs:Manufacturing$ 125, 000$125
natima [27]

Answer:

D. 76.6 %

Explanation:

Contribution Margin Ratio = Contribution / Sales × 100

<em>First Calculate the Contribution</em>

Contribution = Sales - Variable Costs

                     = (60,000 units × $ 12.40) -  ($110,000+$30,000+$34,000)

                     = $744,000 - $174,000

                     = $570,000

<em>Then Calculate Contribution Margin Ratio</em>

Contribution Margin Ratio = $570,000 / $744,000 × 100

                                           = 76.61290

                                           = 76.6 % ( 1 decimal)

5 0
3 years ago
Potential investors, in analyzing the profit potential for a distressed property, generally consider a financial framework inclu
Misha Larkins [42]

Answer:

It is True that potential investors, in analyzing the profit potential for a distressed property, generally consider a financial framework including the acquisition phase, the holding period phase and the disposition phase

Explanation:

Acquisition is the process of gaining ownership or control of a real estate. It is usually sold by brokers to investors.

In the case of distressed property, there is always a holding period

Holding periods are usually targeted at 2-5 years, during which the asset that has been acquired is renovated.

The end of the holding period transitions to the beginning of the disposition phase.

During the disposition phase, the real estate which could be a distressed building is being disposed or handed over to the owners. At this phase, complete documentation is done and handed to both parties to endorse.

A comprehensive financial framework detailing all the expenditure across the acquisition phase, holding period and the disposition phase must be in place in order to get an accurate calculation of expenditure data to used in analyzing the profit potential of a property.

3 0
3 years ago
Researchers have discovered that "cyber-ostracism" by strangers elicits increased activity in the
Allisa [31]
<span>Researchers have discovered that "cyber-ostracism" by strangers elicits increased activity in the anterior cingulate cortex. If a stranger experience cyber-ostracism that means that they have been excluded or have excluded someone which could create emotions of bitterness or loneliness, superiority. The anterior cingulate cortex controls human emotions, so it would be responsible for the making the stranger experience any feelings that occurs during cyber-ostracism.</span>
4 0
3 years ago
A company is offering perpetual preferred stock (its dividend payments last forever) with a fixed annual dividend of $100. If yo
sukhopar [10]

Answer:

833.33

Explanation:

The fixed annual dividend is $100

The required rate of return on this investment is 12%

Therefore the value for each share can be calculated as follows

= 100/(12/100)

= 100/0.12

= 833.33

Hence the value for each share is 833.33

8 0
3 years ago
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