Answer:
Yes, there is no need to change the eatings habits
Explanation:
Ari will maximize utility until
MU / P for both is equal in order to be at equilibrium
So, in this case,
For Hot dogs
= MU / P
where
MU is marginal utils, which is 20
P is Price, which is $2
So,
= 20 / $2
= 10
For Hamburgers
= MU / P
where
MU is marginal utils, which is 25
P is Price, which is $2.5
So,
= 25 / $2.5
= 10
Therefore, MU / P for hot dog = MU / P for Hamburger
Hence, there is not need to change the eatings habits.
Answer:
False because the interest rate depends upon the economic conditions of the country and also on the risk associated with the company, its capital structure and credit risk. Yes it does depend on the finance required to fund the projects and investments but it does not relates to the interest rate. Because provision of large amounts of funds is riskier for the lenders, plus there are many other factors like duration of loan, profitability, etc that measures the creditworthiness of the client which tells us whether or not the client is able to payback the loan along with its interest or not. So the statement is false.
Answer:
the depreciable cost' of the machine is $480,000
Explanation:
The computation of the 'depreciable cost' of the machine is shown below:
Depreciable cost = Asset cost- Salvage value
= $500,000 - $20,000
= $480,000
Hence, the depreciable cost' of the machine is $480,000
We simply deduct the salvage value from the asset cost so that the depreciable cost could come
Answer:
374
Explanation:
Data provided in the question:
Market shares of top six firms
10%, 8%, 8%, 5%, 5%, and 4%
Market shares of 20 firms = 2%
Now,
Herfindahl index = ∑[(Market share percentage of each of firms)² ]
or
Herfindahl index
= ∑[(Market share of each of top six firms)² ] + [20 × (market share of each remaining firm)²]
Herfindahl index = (10)² + (8)² + (8)² + (5)² + (5)² + (4)² + [20 × (2)²]
or
Herfindahl index = 100 + 64 + 64 + 25 + 25 + 16 + 80
or
Herfindahl index = 374
The herfindahl index for this industry is 374.