Answer:
Vaccinations : external benefit - the invention of a vaccine benefits a lot of people. It helps to cure for diseases and reduces the death rate in the society.
The private market is likely to produce less than the socially optimal quantity. This is because the cost associated with producing vaccinations are high and the private market would be unwilling to produce it as the aim of the private market would be to maximise profit.
cigarettes : external cost
Smoking cigarettes produces smoke which is harmful to other people apart from the smoker. Those around the person smoking can inhale the smoke and this can adversely affect their health. This is known as second hand smoking.
The private market is likely to provide more than social optimal Quanitity. This is because there's little or no cost associated with smoking.
antibiotics :
External benefit - antibiotics creates external benefit. It helps to cure for diseases and reduces the death rate in the society. It also reduces the rate at which others can be infected.
The private market is likely to produce less than the socially optimal quantity. This is because the cost associated with producing antibiotics are high and the private market would be unwilling to produce it as the aim of the private market would be to maximise profit.
Explanation:
Postive externality is when the benefits of economic activities to third parties exceeds the costs.
Activities that generate positive externality are usually under produced in the economy. The government can encourage production of goods and services that generate positive externality by giving subsidies. This would reduce cost of production.
When the cost of economic activities to third parties is greater than the benefits. Activities that generate negative externality are over produced in the economy. The government can discourage activities that generates negative externality by taxation. Imposing tax increases cost and discourages such activities.
I hope my answer helps you
Answer:
Output; Is
In a(n) <u>output</u> contract, the seller guarantees to sell 100 percent of its goods to one buyer, and the buyer agrees to accept the entire quantity. In a(n) contract, the buyer agrees to purchase 100 percent of its goods from one seller. These kinds of contracts <u>is</u> enforceable under the UCC.
Answer:
Increase in total assets by $4,600
Explanation:
Faust sold goods that cost $6,600 for $11,200
Cost of goods sold A/c Dr. $4,600
To inventory $4,600
Account receivable A/c Dr. $11,200
To sales $11,200
(sale was made on account)
Net effect:
= $11,200 - $6,600
= $4,600
Therefore, there is an increase in total assets by $4,600.
Answer:
Relevant cost = $19
Explanation:
Relevant cost refers to the cost which is avoidable on the addition of any other unit, here the direct cost of material, and labor $14 and variable overhead of $5 per head is avoidable straight as is related to per unit.
Further fixed cost of $8 each allocated is already incurred and not relevant for the decision for any additional unit.
Therefore, in the given case relevant cost = $14 + $5 = $19
Since that is the only avoidable cost.
Fixed cost has already been incurred and cannot be avoided.
Relevant cost = $19
Answer:
Explanation:
the picture attached shows all the explanation needed
