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
Dmitry [639]
2 years ago
8

A spirits manufacturer is considering two potential production investments: Option A costs an initial $2 billion and will involv

e variable costs (labor and material) of $5 per bottle of spirits. Option B costs an initial $4 billion and will involve variable costs (labor and material) of $3 per bottle of spirits. Assuming an annual capital charge equal to 10 percent of the initial costs, what is the average fixed cost at production level of 30,000,000 bottles per year for the Option A facility
Business
1 answer:
Bingel [31]2 years ago
6 0

Answer:

$73.333

Explanation:

10% of the initial 2 billion = 200000000

getting the information from the promblem we have that...

initial cost is 2 billion. Total fixed cost 2200000000.

in this way the average fixed cost is calculated with this formula

AFC= average fixed cost

AFC = 2200000000 / 30000000

AFC= $73.333 for the option A facility

You might be interested in
Albert decided that it was time to invest his money. he was quite excited and told his friends about his new financial venture.
NemiM [27]
Financial venture. even his wife was supportive. albert liked a number of riskier company
8 0
2 years ago
What is erikson's term for the period during which toddlers (aged 18 months to 3 years) develop independence and autonomy if the
amid [387]
Autonomy vs. shame and doubt is Erikson's term for the period during which toddlers (aged 18 months to 3 years) develop independence and autonomy if they are allowed the freedom to explore, or shame and self-doubt if they are restricted and overprotected. In this stage, they develop an important virtue of “will” where their parents play a major role in molding such quality. For example, they can learn at this stage on how to go to the toilet on their own or even clothe themselves.
3 0
2 years ago
According to classical economics, a decrease in aggregate demand causes the price level to _____________ in the long run. On the
shtirl [24]

Answer: Decrease, Increase, Price flexibility.

Explanation: According to classical economics, a decrease in aggregate demand causes the price level to DECREASE in the long run. On the other hand, an increase in aggregate demand causes the price level to INCREASE in the long run. These changes occur because of PRICE FLEXIBILITY.

In a flexible market the forces of demand and supply determines the prices of commodities in the market.

As the demand Falls the prices also fall as the demand rises the prices of commodities also rises.

3 0
3 years ago
A large office supply company sells many of its consumer products over the Internet. This is
Mrac [35]

A large office supply company sells many of its consumer products over the Internet. This is known as e-commerce.

Trading the consumer products over internet is the current trend these days. This way is known as e-commerce.

What is E-commerce?

  • E-commerce, often known as electronic commerce, is the exchange of goods and services as well as the sending of money and data through an electronic network, most commonly the internet.
  • These business dealings can be either B2B (business-to-business), B2C (business-to-consumer), C2C (consumer-to-consumer), or C2B.
  • E-business and e-commerce are frequently used interchangeably. The transactional procedures that make up online retail shopping are also occasionally referred to as e-tail.
  • The widespread use of e-commerce sites like Amazon and eBay over the past 20 years has significantly boosted the growth of online retail. According to the U.S., e-commerce made up 5% of all retail sales in 2011.

To know more about E-commerce visit:

brainly.com/question/24051375

#SPJ9

6 0
2 years ago
Relevant information is information you can’t trust true or false
Damm [24]

Relevant information is information you can’t trust-This statement is False because Relevant means that is something that makes sense or is important -So the statement holds False

Explanation:

Relevant information is the information that an individual require to perform a given task.

For example in order to write a program the person needs all the relevant information related to  the program that is to written like the value of the variable,the format of the output required.

The term Relevant means "of Importance"

If a information required is very important then it can be obtained only through proper research work and hence it can be trusted

so we can say that-the statement that  relevant information is information you can’t trust-is False

5 0
3 years ago
Other questions:
  • In a message using the direct​ approach, the opening should​ _____.
    9·1 answer
  • On January 1, 2017, Huber Co. sold 12% bonds with a face value of $2,000,000. The bonds mature in five years, and interest is pa
    6·1 answer
  • Family​ Corporation, a corporation controlled by​ Buddy's family, redeems all of​ Buddy's stock. For the redemption to be treate
    10·1 answer
  • Sales mix is a measure of the percentage increase in sales from period to period.
    15·1 answer
  • According to "The US Economy: Private and Public Sectors", goods provided by government that fit the definition of a public good
    5·1 answer
  • A former advertising campaign for GEICO Insurance used the slogan "So easy, even a caveman could do it" to emphasize the ease of
    12·1 answer
  • Brooke and John formed a partnership. Brooke received a 40% interest in partnership capital and profits in exchange for contribu
    14·1 answer
  • Jim and Lisa own a dog-grooming business in Champlain, New York, called JL Groomers. There are many buyers and many sellers in t
    12·1 answer
  • The manager believes that an employee should be able to wrap a present within 30 minutes. The employee wraps 1 present every 25
    13·1 answer
  • Consider two stocks, A and B. Stock A has an expected return of 10% and a beta of 1.2. Stock B has an expected return of 14% and
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!