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3 years ago

Risks of fixed costs of a business are more for an alliance than an independent firm.

1 answer:

5 0

False. Risks of fixed costs of a business are more for an alliance than an independent firm. Businesses have risks and without any risk, comes a smaller reward. Taking a risk often yields a larger profit and room to grow/expand. Fixed costs are are costs that stay constant no matter the quantity of goods or service produced.

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If an increase in the price of a product from $1 to $2 per unit leads to a decrease in the quantity demanded from 100 to 80 unit

Ksenya-84 [330]

Answer:

-0.33

Explanation:

The calculation of the price elasticity of demand using mid point formula is shown below:

= (change in quantity demanded ÷ average of quantity demanded) ÷ (percentage change in price ÷ average of price)

where,

Change in quantity demanded is

= Q2 - Q1

= 80 units - 100 units

= -20 units

And, the average of quantity demanded would be

= (80 units + 100 units) ÷ 2

= 90 units

Change in price is

= P2 - P1

= $2 - $1

= 1

And, the average of the price is

= ($2 + $1) ÷ 2

= 1.5

So, after solving this, the price elasticity of demand is -0.33

7 0

3 years ago

What is the present role of the aicpa in the rule-making environment?

Sati [7]

AICPA: The national professional organization of practicing Certified Public Accountants (CPAs), whose various committees and boards have been an important contributor to the development of GAAP.

6 0

3 years ago

Paddy has lots of cousins. With a family reunion in the near future, Paddy decides to collect income information for himself and

Trava [24]

Answer:

37.9%, lower

Explanation:

Paddy has lots of cousins. With a family reunion in the near future, Paddy decides to collect income information for himself and all his cousins. He obtains the following data points: $52,000, $22,000, $92,000, $8,000, $118,000, $62,000, $38,000, $14,000, $132,000, $46,000, $26,000, $96,000, $54,000, $110,000, $80,000. The share of income received by the highest quintile of this income distribution is 37.9%, which is lower than that for the highest quintile of the U.S. income distribution in 2005.

8 0

3 years ago

A large U.S.-based mechanical engineering firm, wants to enter the global market. Upon careful analysis of the market, they will

ozzi

Answer:Is big business that is very competitive today,and is expected to be more important and more competitive in the future.

Explanation: The Global or international market is a multifaceted,with several players and many opportunities, competitions taking place in the world. In the years to the business will become more important and competitive as new entrance from major multinational organizations. For it to survive the management has to put in place COST SAVING APPROACHES, COMPETITIVE PRICING AND ADOPT STRATEGIC PLANNING, SUPERIOR QUALITY PRODUCT,TIMELY EXECUTION OF WORK, GOOD CUSTOMER SERVICE etc are the possible actions to ensure it COMPETES FAVORABLE in the Global business.

8 0

3 years ago

Jenny constructed a building for use as a residential rental property. The cost of the building was $180,000, and it was placed

Oksanka [162]

Answer:

$6,545.45

Explanation:

Given that,

Cost of building = $180,000

MACRS life of building = 27.5 years

Therefore, the amount of depreciation on the building is calculated by dividing the cost of building by MACRS life of building.

Amount of depreciation for the building:

= Cost of building ÷ MACRS life

= $180,000 ÷ 27.5

= $6,545.45

4 0

3 years ago