Answer:
a. the buyer’s consumer surplus for that good is maximized.
Explanation:
The consumer will purchase up to the moment at whose preference price matches the market price.
Because of the diminished return theory, the following unit (k+1) will have a lower benefit to the consumer thus, it will have purchased only if the price is lower. Therefore, it will not purchase as the market price is the same as the previous unit but the consumer benefit is lower.
Answer: The correct answer is "C. An activity-based approach refines a costing system by focusing on individual activities as the fundamental cost objects. It uses the cost of these activities as the basis for assigning costs to other cost objects such as products or services.".
Explanation: The ABC costing model is a model that is based on the grouping into cost centers that make up a sequence of value of the products and services of the company's productive activity. It focuses its efforts on managerial reasoning in an adequate way the activities that cause costs and that are related through its consumption with the cost of the products. The most important thing is to know the generation of costs to obtain the greatest possible benefit from them, minimizing all the factors that do not add value.
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Answer:
increased measured GDP by the full value of the restaurant meals.
Explanation:
Gross domestic product is the sum of all final goods and services produced in an economy within a given period which is usually a year.
GDP calculated using the expenditure approach = Consumption spending + Investment spending + Government Spending + Net Export
Some items are not included in the calculation of GDP. Some of these items are :
1. Services rendered to ones self
2. Intermediate goods
3. Illegal activities
4. Transfer payment by government.
Households cooking at home is an example of services rendered to ones self and it is not included in the calculation of GDP.
While services rendered by resturants are included in the GDP through consumption spending by households.
So if families decide to eat more at resturants, GDP is increased by the full value of resutrant meals.
I hope my answer helps you
Answer:
$8,125,000
Explanation:
Break-even point is the level of sales on which business has no profit no loss situation. The business only covers the variable and fixed cost at this point.
Total Contribution ratio = (65% x 30%) + (35% x 50%) = 19.5% + 17.5% = 37%
Fixed cost = $4,625,000
Break-even point = Fixed cost / Contribution margin ratio = $4,625,000 / 37% = $12,500,000
Break-even Sales for Sports Division = $12,500,000 x 65% = $8,125,000
