1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Fantom [35]
2 years ago
10

A consumer values a car at $20000 and it costs a producer $15000 to make the same car. If the transaction is completed at $18000

, the transaction will generate:
Business
1 answer:
solniwko [45]2 years ago
8 0

Answer:

The transaction will generate a buyer surplus of $2,000 and a sellers surplus of $3,000

Explanation:

A consumer values a car at $20,000

It costs a producer $15,000 to generate that same car

The transaction is complete at $18,000

The first step is to calculate the buyer's surplus

= $20,000-$18,000

= $3,000

The seller's surplus can be calculated as follows

= $18,000-$15,000

= $3,000

Hence the transaction will generate a buyer surplus of $2,000 and a sellers surplus of $3,000

You might be interested in
Which one of the following terms is defined as a loan wherein the regular payments, including both interest and principal amount
Harrizon [31]

Answer:

C. Balloon loan

Explanation:

Balloon loans are loans that can not fully amortize over its term. They are loans that are paid of with a large single final payments. A lump sum amount. It involves the borrower paying back a lower monthly percentage in exchange for paying a large one time payments at the end of the loan term. Either fixed or flexible interest rate structure can be used on it. Ballon loans are usually reserved for conditions when a business has to wait until a specific period before receiving payment from a client for its product or services.

4 0
3 years ago
Read 2 more answers
2. Why do many employers fail to adequately socialize or orient their new hires to the organization?
frez [133]

Many employers fail to adequately socialize or orient their new hires to the organization because they are usually busy with and it takes lot of effort to do.

<h3>Who is an employer?</h3>

It should be noted that an employer simply means an individual who pulls resources together to achieve a goal. He's the owner of the business.

In this case, many employers fail to adequately socialize or orient their new hires to the organization because they are usually busy with and it takes lot of effort to do.

Learn more about employers on:

brainly.com/question/26463698

3 0
1 year ago
After a product recall triggered by salmonella contamination and repeated violation citations by the health department, Mc Burge
Julli [10]

Answer:

McBurger Inc.

Introduction of Healthylicious-n-Safe

I think that McBurger should launch this new product.  If McBurger can capture more than 28% of the meatless burger market, it can break-even in 12 months and start earning huge profits in 18 months when there will be nil promotion costs.

Explanation:

Annual projected market sales of meatless burger = 1,250,000 boxes

Content of each box of Healthylicious-n-Safe = 8 burgers

Fixed cost per month = $35,000

Total annual fixed cost = $420,000 ($35,000 * 12)

Estimated variable cost of making one burger = $0.875

Estimated variable cost of a box of 8 burgers = $7 ($0.875 * 8)

Cost of promotional campaign in the first 12 months = $275,000

Total annual fixed cost including promotions = $695,000

Expected selling price per box of Healthylicious-n-Safe = $9

Estimated variable cost per box of Healthylicious-n-Safe    7

Contribution margin per box of Healthylicious-n-Safe =   $2

Sales units required to break-even = Total fixed costs/Contribution margin per box

= $695,000/$2 = 347,500 boxes

This sales units break-even point represents 27.8% of the meatless burger market (347,500/1,250,000 * 100)

4 0
2 years ago
True or false: if the sales comparison approach cannot be developed because of a lack of sales data, the cost approach cannot be
vfiekz [6]

This is very true, no explanation

3 0
1 year ago
What amount would the insurance company pay for vandalism that does $425 of damage to a home if the insured homeowner has a $500
iren [92.7K]

ZERO amount would the insurance company pay for vandalism that does $425 of damage to a home if the insured homeowner has a $500 deductible.

( Because the deductible exceeds the loss or the damage. The loss is $425 and the deductible is $ 500, so here the deductible exceeds the loss hence the insurance company will not pay anything).

People like you pay premiums to insurance companies to cover potential losses related to their property. Insurance companies receive these premiums and aggregate them into money pools. These funds are available to cover losses incurred by pool members.

When you report a car accident to the insurance company, the insurance company will send an adjuster to assess the damage. The expert's first task is to decide whether to classify the vehicle as a total loss. Assuming the vehicle is a total loss, the expert performs a valuation and assigns a value to the vehicle.

Learn more about vandalism at

brainly.com/question/13646632

#SPJ4

5 0
1 year ago
Other questions:
  • Merchandise inventory at the end of the year was understated. which of the following statements correctly states the effect of t
    6·1 answer
  • Lakeland Inc. employees get 40 hours paid leave each year to pursue volunteer projects. The company runs a service day that host
    7·1 answer
  • What is the discount yield, bond equivalent yield, and effective annual return on a $2 million commercial paper issue that curre
    6·1 answer
  • The December 31, 2021, adjusted trial balance for Fightin' Blue Hens Corporation is presented below. Accounts Debit Credit Cash
    8·1 answer
  • The return of merchandise was recorded as a debit to accounts payable and a credit to purchases. This error would cause
    7·1 answer
  • "K has a $10,000 traditional whole life policy with a loan outstanding" of $1,000 and a 5% interest charge. At the end of the fi
    6·1 answer
  • Over its history, suppose that France has borrowed more from the rest of the world than it has lent to the rest of the world. Th
    5·1 answer
  • how would you describe in three sentences the posible product or service you will propose for need in your community.​
    7·1 answer
  • Nedra uses her debit card on a daily basis. The last time she used it was the evening before at a restaurant. This morning, she
    10·1 answer
  • A homeowner from State A hired a contractor from State B to build a vacation home for her in State C. The parties signe
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!