Answer:
her expected gain is $45,000.
Explanation:
If she wins
She will make = $400,000
Probability of winning = 0.3
Expected income = $400,000 x 0.3 = $120,000
Cost on the cash = $75,000
Expected gain = Expected income - Cost = $120,000 - $75,000 = $45,000
If she loses the case she has to bear the cost incurred to prepare the case. So, the probability on the cost side is 1 but probability on the income side is 0.3 so we calculated the 0.3 probable income which is $120,000 after deducting the cost the lawyer will have expected gain of $45,000 only.
Answer:
(a)
Mathematical Equation for break-even
F = QP - QV
Where
F = fixed cost
Q = Break-even quantity
P = Selling price
V = Variable cost
F = Q ( P - V )
Q = F / ( P - V )
Q = $327,030 / ( $630 - $300 )
Q = $327,030 / $330
Q = 991 units
(b)
Contribution Margin = Price per unit - Variable cost per unit
Contribution Margin = $630 - $300 = $330
Break-even Point in Units = Fixed Cost / Contribution margin per unit
Break-even Point in Units = $327,030 / $330 = 991 units
Explanation:
Mathematical equation use the the break-even equation which represent the behavior of each element towards the break-even point.
Contribution per unit method use the contribution of each unit to calculate the break-even point.
Answer:
Starting at equilibrium point D, if the cost of inputs rises, the short-run equilibrium will move to the point B, and thus real output will Decrease and the price level will Increase.
Explanation:
This means it will go down but the price is gunna increase.
-<em>Hope This Helps!</em>
<em>-Justin:)</em>
Answer:
the compensatory time that would be received is 13.5 hours
Explanation:
The computation of the compensatory time that would be received is as follows:
Actual hours worked 95
Less: Regular working hours 86 (43 hours × 2)
Overtime hours worked 9
Now
Compensatory time 13.5 (9 hours × 1.5)
Hence, the compensatory time that would be received is 13.5 hours
Answer:
This means that Kimberlei's GDP is <em><u> less sensitive than </u></em> Clarkistan's GDP to fluctuations in the components of total spending.
Clarkistan's economy is <em><u>more </u></em>sensitive to fluctuations in GDP than Kimberlei's economy. This is because the personal income tax has <em><u> reduced </u></em> Kimerlei's multiplier.
Explanation:
As Kimberlei multiplier is lower, the government spending fluctuation will have a lower impact than in Clarkistan as the goverment spending multiplier in the latter is higher thus, a fluctuation increases or decrease the GDP in a higher proportion.
Clarkistan Economy is more sensitive as their government has a higher multiplier when it decreases for recessions it will increase by a higher amount
while Kimberlei as the income tax decreases th effect of the multiplier It is lower. thus the change in GDP is also lower
