Answer:
Please kindly check explaination for the details.
Explanation:
a.
Decision variables:
Let
X1 = no of units of product X1
X2 = no of units of product X2
X3 = no of units of product X3
Objective function is to maximize profits
Max Z = 20X1 + 6X2 + 8X3
Constraints:
8X1 + 2X2 + 3X3 <= 800
4X1 + 3X2 <= 480
2X1 + X3 <= 320
X1, X2, X3>=0
b.
please see attachment for the excel solutions.
c.
X1 = 0
X2 = 160
X3 = 160
Z = 2240
Answer: $200,000 and its economic profits were zero.
Explanation:
First and foremost, we should note that when calculating accounting profit, the implicit cost isn't taken into consideration.
Therefore, the accounting profit will be:
= Revenue - Explicit Cost
= (4000 × 300) - Explicit cost
= 1,200,000 - 1,000,000
= 200,000
Then, Economic Profit will be:
= Accounting profit - Implicit cost
= 200,000 - 200,000
=0
Therefore, its its accounting profits were $200,000 and its economic profits were zero.
Answer:
c. 10%
Explanation:
Law Imposes additional 10% tax on early distribution of 401 (k) retirement plan. This law is to discourage the use of retirement fund for other purposes than the retirement plan. Evie want early distribution of her funds so she must pay 10% additional tax on these funds. So option c. 10% is correct for 401(k) retirement plan.
