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4 years ago

Which of the following will not be a consequence of an import tariff?

Business

1 answer:

Sholpan [36]4 years ago

6 0

Answer:

B. Reduced competitive pressure by foreign firms on the domestic producers

Explanation:

An import tariff is a protectionist measure that enables domestic producers to keep a major share of the national market and lower the competition with imports.

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Marigold Industries incurs unit costs of $8 ($5 variable and $3 fixed) in making an assembly part for its finished product. A su

Veronika [31]

Answer:

The preparation of an incremental analysis is given below

Explanation:

The preparation of an incremental analysis is shown below:

Particulars Make Buy Net Income - Increase/(Decrease)

Variable Manufacturing Cost

(10,300 × $5) $51,500 - $51,500

Fixed Manufacturing Cost

(10,300 × $3) $30,900 $30,900 -

Purchase Price (10,300 × 6) - $61,800 $(61,800)

Total Annual Cost $82,400 $92,700 $(10,300)

By above calculation, we can interpret that the marigold should make the part as it would became cheaper but it also saves the cost of $10,300

4 0

4 years ago

What is Absolute and comparative advantage

Romashka [77]

Absolute Advantage is the ability of an individual or group to carry out a particular economic activity more efficiently than another individual or group.
Comparative Advantage is the ability of an individual or group to carry out a particular economic activity (such as making a specific product) more efficiently than another activity.
The producer that requires a smaller quantity inputs to produce a good is said to have an absolute advantage in producing that good. Comparative advantage refers to the ability of a party to produce a particular good or service at a lower opportunity cost than another

6 0

3 years ago

If planned investment plus unplanned investment (unplanned inventory changes) are __________ savings, then economic activity wil

Marta_Voda [28]

Answer:

the correct answer is greater than

Explanation:

If planned investment plus unplanned investment (unplanned inventory changes) are greater than savings, then economic activity will increase.

6 0

4 years ago

Recent medical research revealed that the presence of gluten in oats can cause celiac disease in the elderly. Since the elderly

natali 33 [55]

Answer:

The supply of oats came down drastically, with some major participants exiting the market.

Explanation:

The price of oats actually increased because, due to the research that says oats contain gluten that can cause a disease in the elderly and therefore not good for consumption, the supply of oats decreased thereby resulting to the scarcity of oats in the market.

When supply decreases, price increases.

6 0

4 years ago

Your proforma income statement shows sales of $1,033,000, cost of goods sold as $503,000, depreciation expense of $103,000, and

Gelneren [198K]

Answer:

Proforma Earnings: $

Sales 1,033,000

Cost of goods sold (503,000)

Depreciation expense (103,000)

Earnings before tax 427,000

[email protected]% (170,800)

Proforma earnings 256,200

Free Cashflow $

Proforma earnings 256,200

Add: Depreciation 103,000

Free cashflow 359,200

Explanation:

Proforma earnings equal sales minus cost of goods sold minus depreciation minus tax.

Free cashflow is proforma earnings plus depreciation. Since depreciation does not involve movement of cash, it needs to be added back to the proforma earnings in order to obtain free cashflow.

8 0

3 years ago