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3 years ago

What is the difference between ordinal utility and cardinalutility?

Business

1 answer:

Andrews [41]3 years ago

8 0

Answer:

E. a ranking of market baskets in order of most to least preferred, while cardinal utility indicates how much one market basket is preferred to another.

Explanation:

Ordinal utility can be defined as an economic concept in which the consumer chooses a product or service from the market based on preferences in relation to another at a comparative level, but not exactly quantified.

In cardinal utility, on the other hand, the consumer is able to quantify the benefits perceived in a product or service with specific values, and this measure is beneficial to specify, for example, a choice based on price and utility for the consumer, which helps in the purchase decision process .

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Acquisition costs; journal entries

Aleks [24]

Answer:

Journal entries for the transactions are given below

Explanation:

1. Development of new product

DEBIT CREDIT

Research and development $24,000

Cash $24,000

2. Paid the plaintiff for losing patent

DEBIT CREDIT

Legal fee (expense) $8,000

Cash $8,000

3. Bought Equipment and signed non-interest bearing note

DEBIT CREDIT

Equipment Cash price $37,000

Discount on note payable $5,000

Cash paid $18,000

Note payable $24,000

4. Installed sprinkler system

DEBIT CREDIT

Sprinkler system $40,000

Cash $40,000

5. Plaintiff paid for successful infringement suit on its patent

DEBIT CREDIT

Patent $24,000

Cash $24,000

6. Bought New equipment and traded old one

DEBIT CREDIT

New Equipment $13,600

Accumulated depreciation $6,800

Loss on sale $3,400

Old Equipment $13,400

Cash $10,400

Working:

Accumulated depreciation = Original Cost - book value

Accumulated depreciation = $13,400 - $6,600

Accumulated depreciation = $6,800

7 0

3 years ago

Two managers in the research and development department of a company disagree on whether their organization should outsource dev

Allushta [10]

Answer:

Intragroup.

Explanation:

A manager can be defined as an individual who is saddled with the responsibility of providing guidance, support, supervision, administrative control, as well as acting as a role model or example to the employees working in an organization by being morally upright.

Generally, managers are typically involved in taking up leadership roles and as such are expected to be build a strong relationship between their employees or subordinates by creating a fair ground for effective communication and sharing of resources and information. Also, they are required to engage their staff members (entire workforce) in the most efficient and effective manner.

A functional (departmental) organizational structure is a type of structure used to organize staffs by dividing them into various departments based on their skill set, roles or functions and knowledge.

These departments which are vertically structured may include, finance, IT, sales and marketing, research and development, customer service etc. Also, the various departments are headed by a functional manager who are saddled with the responsibility of overseeing, managing and reporting to the executive management.

In this scenario, two managers in the same department of a company disagree on whether to outsource the development of a new product or staff it internally. Thus, this is an example of intragroup conflict because its happening within the same department of an organization having common goals and interests.

An intragroup conflict can be defined as a type of conflict that arises between individuals belonging to the same team or group.

5 0

2 years ago

Which statement best summarizes the law of demand ?

Verizon [17]

Answer:

The answer is D

Explanation:

6 0

2 years ago

Williams company computed its cost per equivalent unit for direct materials to be $2.60 and its cost per equivalent unit for con

Zanzabum

(2.60X250,000)+(3.75X250,000)=1,587,500

8 0

2 years ago

Read 2 more answers

The following information is available for Blossom Company:

Aleonysh [2.5K]

Answer:

Total Assets = $124,510

Total Liabilities = $38,320

Total Stockholders' equity = $86,190

Explanation:

Blossom Company

Balance sheet

As at December 31, 2022

Assets

Current assets

Cash $6,390

Accounts receivable 2,100

Supplies 3,800

Inventory 2,920

Total current asset $15,210

Non-current asset

Equipment (net) 109,300

Total assets 124,510

Liabilities and Stockholders' Equity

Current liabilities

Accounts payable $4,500

Interest payable 670

Unearned service revenue 820

Salaries and wages payable 830

Total current liabilities $6,820

Long-term liabilities

Notes payable 31,500

Total liabilities $38,320

Stockholders' equity

Common stock 58,900

Retained earnings (Balancing amount) 27,290

Total stockholders' equity $86190

Total liabilities and stockholders' equity $124,510

8 0

2 years ago

What is the difference between ordinal utility and cardinal​utility?

What is the difference between ordinal utility and cardinalutility?