Answer:
$6,020
Explanation:
Calculation for the incremental cash inflow
Using this formula
Incremental cash flow=(Average price per units-Variable cost per unit)*Additional units
Let plug in the formula
Incremental cash flow = ($98 - $55)*140 units
Incremental cash flow=$43*140 units
Incremental cash flow= $6,020
Therefore the incremental cash inflow will be $6,020
Answer:
4,513 approx.
Explanation:
The computation of the minimum number of jars of silver polish is shown below:-
Sales revenue for one jar of silver polish $5.60
Sales revenue for 1/4 pound of Grit 337 0.85
($3.40 × 1 ÷ 4)
Incremental revenue from
further processing $4.75
($5.60 - 0.85)
Incremental costs of further processing:
Processing costs $2.40
Selling costs $0.40 $2.80
Incremental contribution
margin from further
processing into silver polish
per jar $1.95
($4.75 - $2.80)
Point of indifference denotes the point where all options are equally profitable. But after that we will see that more processing is profitable. This is due to the fixed costs involved in further production.
Thus Minimum number of jars needed to produce to justify the further processing = Avoidable Fixed cost ÷ Incremental contribution
= $8,800 ÷ $1.95
= 4,513 approx.
Answer:
1. positive externalities
2. educational credit for the market failure
3. redistribution
4. failure to maximize the family utility
Explanation:
There are generally four rationales or logical thinking for the public provisions for education. They are the positive externalities, failure to maximize the family utility, educational credit for the market failure, redistribution.
Now each rationales provides reasons that educations is more likely to be underprovided without any intervention from the government. But many of them does not provide any reasons for the mandate of education.
Like suppose the government can support and solve any educational credit market failure by just offering some loan guarantees for the students while letting them chose to receive education or not.
Similarly government can also address positive externalities that are associated with productivity gains or just letting a person educated without any mandating it.
And finally, government redistributes the poor families through the progressive taxation or the offerings of free education without any mandating them.
0 thousands of the people would be unemployed at a $6 minimum wage. It is because at a wage of $6 per hour which is the minimum wage per hour <span>the quantity demanded of workers is higher than the quantity supplied of workers. The quantity demanded of the workers will be high than the quantity supplied of the workers.</span>
