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max2010maxim [7]
3 years ago
7

Economies of scale give an advantage to what type of company? (Select the best answer.)

Business
1 answer:
zalisa [80]3 years ago
6 0

Answer:

A company that makes many sales

Explanation:

Economies of Scale refer to the cost advantage , a firm experience when it increases its level of output. This advantage arises due to the inverse relationship between per-unit fixed cost and the quantity produced. The greater the quantity of output produced, the lower the per-unit fixed cost.

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Roundwell motors purchases a manufacturing plant for​ $15 million, pays​ $5 million in cash as down​ payment, and borrows the re
gregori [183]
A mortgage is the resource available to home providence to recover the loan. 

A mortgage is defined as a legal agree between a bank/creditor with a a person or business. They lend money with an interest rate in exchange for having full ownership of the persons title (house/business building) if the person does not pay. 
7 0
3 years ago
What is aggregate demand? You can gain or 100 points on this Place the following items in order of the magnitude of the effect o
kodGreya [7K]

Answer:

Aggregate demand refers to the demand for the Gross Domestic Product in a country. In other words, it is the demand for the final goods and services produced in a country within a period.

Order of effect on Aggregate Demand.

1. Development of computer-based technologies from the 1940s to now.

This will have the greatest effect on Aggregate Demand (AD) because it will lead to an increase in the long term capacity of the economy to produce goods and services thereby increasing the demand for those same goods and services.

2. State governments in the 2010s cut their budgets for teachers, infrastructure, police, and other government expenditures.

This will contribute less to AD than the one above but the effect will still be significant because government spending is a significant component of AD so reducing it will reduce AD.

3. Prices of tech stocks increase in the late 1990s as a result of a speculative bubble.

Prices of tech stocks rising will lead to more people buying these stocks thereby increasing the investment portion of AD and having a significant effect on its increase.

4. People notice prices rising and an associated decrease in purchasing power.

If people notice a decrease in purchasing power, they will begin to buy less goods and services as they cannot afford as much. This will reduce Consumption in the AD curve but will not significantly impact AD as the ones above.

5. A trade war with China in the late 2010s leads to a decrease in trade.

A trade war with China will affect the Net exports side of the AD but there will be other countries to trade with and goods will still be purchased from and sold to China in some quantity so the AD will be least affected here.

5 0
2 years ago
If a company has a capital structure of $5,000,000 common stock with a cost of 17%, $2,000,000 bonds at 4%, $1,000,000 of short
rjkz [21]

Answer:

Explanation:

Weighted Average Cost of Capital; formula is as follows;

WACC = wE*re + wP*wp + wD*rd(1-tax)

where w= weight of...

r = cost of ...

E= common equity

P = preferred stock

D = Debt

Find the weights of each source of capital;

WACC = (0.50*0.17) +(0.20*0.03) + [0.20*0.04(1-0.40)] +[0.10*0.07(1-0.40)]

WACC = 0.085 +0.006 + 0.0048 + 0.0042

WACC = 0.1 or 10%

3 0
2 years ago
Analyze how taxes or emissions standards could reduce the economic inefficiency that arises in a competitive market with a negat
OverLord2011 [107]
Let's analyze in the case of manufacturer's emission that cause polution

Usually, these pollution-producing companies are regulated to pay several amount of money in order to rehabilitate the environment that caused by their harmful material.

This is really inefficient , if they have to repair it, why allow them to destroy the environment in the first place ?

That's how emission standards could reduce the inefficiency
7 0
3 years ago
Brevard Company uses the weighted-average method in its process costing system. The Packaging Department started the month with
kipiarov [429]

Answer:

For conversion costs, the equivalent units of production are 1,610 units. The right answer is B

Explanation:

According to the given data we have the following:

begging work in progress = 280  units

units started=1450 units

Therefore, total input= 280  units + 1450 units

Total input = 1730  units

There is end work in process of 120 units

Therefore, the equivalent units of production are=Total input-end work in process

The equivalent units of production=1,730 units-120 units

The equivalent units of production=1,610 units

For conversion costs, the equivalent units of production are 1,610 units

4 0
3 years ago
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