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Cloud [144]
3 years ago
15

7. Another example of opportunity cost is a company's cost of capital. Suppose a manufacturer wants to add

Business
1 answer:
vredina [299]3 years ago
6 0

Answer:

You should invest in US bonds because you will be able to earn a higher return than if you build and sell microwaves.

Explanation:

alternative 1, build and sell microwave ovens:

initial outlay = $500,000

net cash flow per year = $225,000 - $200,000 = $25,000

alternative 2, invest in US securities:

investment = $500,000

net cash flow per year = $500,000 x 10% = $50,000

Opportunity costs are the benefits lost or extra costs resulting from choosing one activity or investment over another.

If you choose to build and sell microwaves, you will not be able to invest in bonds, and therefore, your net income will decrease by $25,000 - $50,000 = -$25,000.

Instead, if you invest in bonds and not microwaves, your net income will increase by $50,000 - $25,000 = $25,000.

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If 11 workers can produce a total of 54 units of a product and a 12th worker has a marginal product of 6 units, then the average
maria [59]

Answer:

the average product of 12 workers is 5

Explanation:

The computation of the average product of 12 workers is shown below:

= (Number of units of a product in the case of 11th workers + marginal product of units in 12th worker) ÷ number of workers

= (54 + 6) ÷ 12

= 5

Hence, the average product of 12 workers is 5

The same is to be considered

3 0
3 years ago
Each of the following is a type of homework except?
Tcecarenko [31]

Answer: concentration

Homework has this basic purposes: 1) practice 2) preparation 3) study, extend or elaborate, and integrate

Homework aims s to help students to strengthen what they learned in class and also to gather extra information beyond what is thought and integrate them into their everyday lives.

Concentration is not included to the type of homework.

6 0
2 years ago
Despite some optimism about the seeds of recovery, the Congressional Budget Office (CBO) sees joblessness rising. The CBO sees u
Xelga [282]

Answer:

The resulting rise in unemployment is mostly a rise in __cyclical____ unemployment because it is related to the state of the economy.

Explanation:

Frictional unemployment occurs as a result of workers' search for or transition to new jobs.  It is brief and does not leave a mark on the economy.  Structural unemployment comes about when the skills of workers do not match the requirements of employers.  Therefore, workers require retraining and reskilling.  Cyclical unemployment relates to the macro-economic situation that is prevailing during periods of recession.

5 0
3 years ago
One of the principles of hierarchy is a clear ______ chain of command.
Genrish500 [490]

Answer: One of the principles of hierarchy is a clear <u>vertical </u>chain of command.

Hope this helps!

4 0
2 years ago
If a family spends its entire budget in a given time frame, the family can afford either 90 cans of soup or 60 frozen dinners. A
g100num [7]

Answer:

0.67

Explanation:

Opportunity cost is the cost of the next best option forgone when one alternative is chosen over other alternatives.

If the family buys one can of soup, the opportunity cost is the frozen food forgone.

Opportunity cost of one can of soup = 60 / 90 = 0.67

I hope my answer helps you

8 0
3 years ago
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