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vesna_86 [32]
2 years ago
5

DeShawn's Detailing is a service that details cars at the customers' homes or places of work. The cost to DeShawn to perform his

basic detailing package is $40, and he charges a price of $75 for this service. For a total price of $90, DeShawn will also detail the car's engine, a service that adds an additional $20 to the total cost of the package. A. What is DeShawn's marginal benefit if he sells a basic detailing package?
B. What is the marginal cost of adding the engine detailing to the basic detailing package?
C. Should DeShawn continue to offer the engine detailing service?
Business
1 answer:
dsp732 years ago
3 0

Answer:

A. What is DeShawn's marginal benefit if he sells a basic detailing package?

  • marginal benefit = marginal revenue - marginal cost = $75 - $40 = $35

B. What is the marginal cost of adding the engine detailing to the basic detailing package?

  • $20

C. Should DeShawn continue to offer the engine detailing service?

  • Yes. From an economic point of view, a firm maximizes its accounting profit when marginal revenue = marginal cost, and since DeShawn's marginal cost is still much lower than his marginal revenue, he should continue to offer it. From a marketing point of view, this premium service (it is more expensive) may be something that a certain percent of DeShawn's clients want and if he quitted that service he might lose the clients.

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Cups of coffee of milk tea are substitutes. assume both have in elastic demand. Suppose exceptionally good weather increases the
nata0808 [166]

Answer:

In that situation, the demand of the Milk tea will fall.

Explanation:

In businesses subtitles are the type of products that serve a similar purpose but generally less favorable. You use substitutes as a second product when you somehow cannot use the first/main product.

In the example above,

Let's say that Coffee is people's favorite beverages. They like it better than milk tea. But, if they don't have enough money to buy their favorite coffee, they sometimes have to exchange it and settle with milk tea.

When weather increases the harvest of the coffee bean crop, the price of coffee will most likely fall down due to the abundance in resource.

When this happen, there will be lesser people who use the substitute product. in the end, the demand for the milk tea will fall.

8 0
3 years ago
True or false: a database transaction is recorded only when a change is written to a database.
Alina [70]
That statement is false
Some of the database transaction could be recorded as soon as the transaction happen. Some companies may adopt different financial recording policy for their operation. It's not rare to see a company that will acknowledge transaction as soon as it happen so they could create a more accurate view about their company's financial position.
4 0
3 years ago
The concept of market efficiency underpins almost all financial theory and decision models. When financial markets are efficient
OverLord2011 [107]

Answer:

Equal to

Explanation:

Financial theory assumes that financial markets are efficient and that there is no information failure in conducting financial transactions. However, this is an assumption and there could, in some instances, be asymmetric information in the form of adverse selection and moral hazards. For example, if managers of a corporation know how well or how poorly their business is doing than stockholders (as organizational performance determines the price of a security), then there would be an information failure or informational inefficency. Also, a potential investor who cannot distinguish between a firm whose security has a high potential for profit and low risks compared to that with a low potential for profit and high risk will be willing to pay a price that lies between the value of stock from bad firms and the value of stock from good firms. This will not augur well for good firms as their stock is underpriced and they will be reluctant to sell.

When the financial market is efficient, investors of stock would be able to earn supernormal returns on their investments. It is therefore neccessary that the price of a corporation's common stock should be equal to the present value estimate of the firm's expected cash flows discounted by it appropriate rate of return.

6 0
3 years ago
Margaret and Jack are working on a high-priority project with a tight deadline. When Margaret is unable to meet the deadline, Ja
matrenka [14]

Answer:

B, Fundamental attribution error.

Explanation:

Fundamental attribution error is a psychological situation in which individuals have the tendency to explain a person's behavior based on disposition/personality but not lay emphasis on the external behaviors that affect the person's behavior.

In the above question, because Jack and Margaret couldn't finish Margaret's jobs due to Margarette her clumsiness and went on to blame the supervisor as the cause of the tem not being able to finish the task .

Cheers.

3 0
3 years ago
Sherry's teacher told her that she should schedule an informational interview with the mayor of her city. Which two questions wo
tatiyna

Answer: Who else do you know in this career field that I could speak to about this career?

What experience did you obtain before being elected?

Explanation:

Informational interview is the interview which is conducted to obtain information from the celebrities, politicians, and other important people to understand and learn about the strategies and planning they are gone through with in their career.

Informational interview can also be defined as a kind of meeting in which the potential job seekers get career advice.

Here, Sherry is going to obtain the career advice from mayor. Thus she will ask question related to mayor's career.

She can ask about the prior experience of mayor in politics or any other field before he was elected. She can also ask about who else she can talk related to this career for better understanding.

8 0
3 years ago
Read 2 more answers
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