Answer:
Option E is correct.
All of the above
Explanation:
This is an example of political risk since The current political party in Maharashtra-Shiv sena intervened and used Enron for its selfish interests. When US department of energy issued a statement that cancelling Enron could endanger other private FDI from USA, the same was again used to further its selfish interests. Finally Maharashtra renegotiated its contract with Enron.
Excise taxes tend to<span> increase prices.</span>
Explanation:
The computation is shown below:
1. For Predetermined overhead rate
Predetermined overhead rate = (Total estimated manufacturing overhead for 4 months) ÷ (Total number of units)
where,
Total estimated direct manufacturing cost is
= $166,400 × 4 months
= $665,600
And, the total number of units is
= 4,700 units + 8,700 units + 4,300 units + 7,900 units
= 25,600 units
So, the predetermined overhead rate is
= $665,600 ÷ 25,600 units
= $26 per unit
2. Now the allocated cost for each month is shown below:
For January
= 4,700 units × $26
= $122,200
For February
= 8,700 units × $26
= $226,200
For March
= 4,300 units × $26
= $111,800
For April
= 7,900 units × $26
= $205,400
c. Now the total cost per unit is
= $22 + $26
= $48 per unit
Answer:
1. Actual Price
2. Misperceptions theory.
Explanation:
In the short run, the quantity of output that firms supply can deviate from the natural level of output if the ACTUAL PRICE level in the economy deviates from the expected price level. Several theories explain how this might happen.
For example, the MISPERCEPTIONS THEORY asserts that output prices adjust more quickly to changes in the price level than wages do, in part because of long-term wage contracts. Suppose a firm signs a contract agreeing to pay its workers $15 per hour for the next year, based on an expected price level of 100 Year.
The above explanations is the reason why the aggregate supply curve slopes upward in the short run
