fixed-ratio, the discount is fixed ( a free coffee) and the number of cofees is fixed 10
Answer:
d. the increases in wheat harvested will get smaller and smaller.
Explanation:
A marginal rate of technical substitution (MRTS) can be defined as an economic principle which is typically used to represent the rate at which a factor such as capital must decrease so that the same level or quantity of production is maintained when another factor such as labor is changed (increased).
An isoquant is the slope of a marginal rate of technical substitution (MRTS) which connects the two input factors provided that the level of output or production is the same.
Also, the diminishing marginal rate of technical substitution refers to the decline (fall) in marginal rate of technical substitution (MRTS) along an isoquant that produces the same quantity (level) of output.
When an isoquant has a diminishing marginal rate of technical substitution, the corresponding isoquants are convex to the origin. Thus, the marginal rate of technical substitution (MRTS) would continue to diminish as more of a factor such as capital is used.
If we add successive laborers to work a given amount of land on a wheat farm, eventually the increases in wheat harvested will get smaller and smaller.
D and A.
The reasoning is because if they are making a cake then they may use flour, and they may have to clean up their mess afterwards.
Answer:
The correct answer is A.
Explanation:
Giving the following information:
The company forecast sales:
January= $40,000
Variable and fixed selling and administrative expenses are as follows:
Variable Expenses:
Power cost (30% of sales)
Miscellaneous expenses: (5% of sales)
Fixed Expenses:
Salaries expense= $10,000 per month
Rent expense: $5,000 per month
Depreciation expense: $1,200 per month
Power cost/fixed portion: $800 per month
Miscellaneous expenses/fixed portion: $1,200 per month
Total= $18,200
For January
Total variable cost= 40,000*0.3 + 40,000*0.05= $14,000
Total fixed cost= 18,200
Total cost= $32,200
