Answer:
The correct answer is option a and option b.
Explanation:
The opening of a new American-owned factory in Algeria would tend to increase Algeria's GDP more than it increases Algeria's GNP.
This is because the GDP of a nation is the value of final goods and services produced in an economy in a year by both domestic citizens as well as foreign residents.
While GNP of a nation does not include the income earned by the foreign residents within the boundaries of a nation. So it is lower than GDP.
Answer:
0.583
Explanation:
Data provided in the question;
Average dinner charges = $8.75
Initial demand = 3,000 atrons
Increase in price = $0.50
Final demand = 2,900
Thus,
change in demand = 3,000 - 2,900 = 100
Now,
The price elasticity of demand =
also,
Percentage change in demand =
=
= 3.33%
Percentage change in price =
=
= 5.714
thus,
The price elasticity of demand =
= 0.583
Answer:
The computations are shown below:
Explanation:
a. The computation of the economic order quantity is shown below:


= 229 units
The carrying cost is come from
= $2.40 × 20%
b. Time between placement of orders is
= Economic order quantity ÷Annual demand
= 229 ÷ 280
= 0.8179 years
So,
= 0.8179 × 365 days
= 298.53 days
We assume 365 days in a year
c. The average annual cost of ordering cost and carrying cost equals to
= Holding cost + ordering cost
= (Economic order quantity ÷ 2 × Holding cost) + (Annual demand ÷ Economic order quantity × ordering cost)
= (229 units ÷ 2 × $0.48) + (280 ÷ 229 units × $45)
= $54.96 + $55.02
= $109.98
d)
Now the reorder level is
= Demand × lead time + safety stock
where, Demand equal to
= Expected demand ÷ total number of weeks in a year
= 280 pounds ÷ 52 weeks
= 5.38461
So, the reorder point would be
= 5.38461 × 3 + $0
= 16.15 pounds
Answer:
Contribution margin = $16
Explanation:
Contribution is the difference between the selling price and the variable cost.
Contribution margin = (Sales - variable cost )
Variable cost = Variable manufacturing + Variable selling cost
Variable cost = 18 + (15%× 40) = 24
Contribution margin = 40 - 24 = $16
Contribution margin = $16
Well, it matters what career he wants. If it involves his family friends and coach, them he should ask them.