Answer:
Refer explanation...
Explanation:
A negative externality occurs when the production or consumption of a good or service creatives a negative impact on a third party. Hence, the social cost is higher than the private cost.
I have provided 4 examples of negative externalities below, although the requirement is 3 :)
A. Negative externalities in production:
1. When rainforests are cut down for animal rearing, it leads to an increase in CO2 in the atmosphere which can damage the ozone layer and cause global warming.
2. Using pesticides on vegetation protects them from insects, however it leads to harmful carcinogens to enter the environment and create pollution.
B. Negative externalities in consumption:
1. Consumption of cigarettes may deteriorate the health of those around, who are vulnerable to passive smoking.
2. Alcohol consumption develops drunk drivers who increase the risk of car accidents and social disorder.
Market failure occurs when the price mechanism fails to incorporate all the costs and benefits involved in the production or consumption of a particular good or service. The market fails by not being able to supply the socially optimum level of output of a good or a service. Hence there is an over-consumption of a good that creates negative externalities or under-consumption of a good that produces positive externalities.
Answer:
The advantages of requiring both the original and final appropriated budget amounts are:
1. It enables comparison of original (static) budget with the final (flexible) budget.
2. From the comparison, management assesses performances based on actual performance versus original and final budgets respectively.
3. The significant changes based on the level of activity are easily determined.
Explanation:
The use of original and final budgets helps in the comparison with actual performance. It clearly shows the effect of the level of activity on budget performance.
Answer:
Since the preferred dividends are cumulative, any dividends not paid last year will be paid this year before any common dividends are paid.
Preferred dividends = 10,000 x $20 x 7% x 2 = $28,000
Dividends per preferred stock = $28,000 / 10,000 = $2.80
Common stocks dividends = $50,000 - $28,000 = $22,000
Dividends per common stock = $22,000 / 90,000 = $0.24
Answer:
A.Yes. They have the power to remove it if they believe it’s harmful.
Explanation:
When the government have reasons to believe that a product is potentially harmful to consumers and or buyers, they have the right to require a company to recall a product, if they believe it is harmful to consumers, because it is then the governments responsibility to protect the public.
As the market revolution progressed, the northern countryside became more and more socialized and the citizen or people living there are less alone and isolated in the area due to the innovation of marketing process and communication of various inhabitants.
