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jeka57 [31]
4 years ago
10

You are an industry You are an industry analyst that specializes in an industry where the market inverse demand is P = 200 - 5Q.

The external marginal cost of producing the product is MCExternal = 10Q, and the internal cost is MCInternal = 16Q." that specializes in an industry where the market inverse demand is P = 200 - 5Q. The external marginal cost of producing the product is "
Business
1 answer:
shepuryov [24]4 years ago
7 0

Answer:

An internal marginal cost is the extra cost of producing one more unit of output.

An internal marginal cost is the extra cost to society after one more unit of output is produced. It is also known as externality.

And the social marginal cost is the sum of internal and external marginal costs.

For this question:

The external marginal cost of producing the product is $10Q, which is given by the question.

And the social marginal cost is:

MCSocial = MCexternal + MCinternal

MCSocial = 10Q + 16Q

MCSocial = 26Q

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shepuryov [24]

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3 0
4 years ago
You just inherited a trust that will pay you $100,000 per year in perpetuity. However, the first payment will not occur for exac
allsm [11]

Answer:

PV= $620,921.32

Explanation:

Giving the following information:

Cash flow (Cf)= $100,000

Interest rate (i)= 7.25%

<u>First, we need to calculate the value of the investment at the moment of the first payment (five years from now). </u>To calculate the present value we need to use the following formula:

PV= Cf / i

PV= 100,000 / 0.1

PV= $1,000,000

<u>Now, the value today:</u>

PV= FV / (1 + i)^n

PV= 1,000,000 / (1.1^5)

PV= $620,921.32

8 0
3 years ago
Nash's trading post, llc issues 2000 shares of $10 par value common stock at $11 per share. when the transaction is recorded, cr
Natasha2012 [34]

Answer:

Credit common stock by 20,000

Credit additional paid in capital by 20,000

Explanation:

The par value of the share are $10 per share the number of shares are 2000 so initially we will credit common stock by (2000*10) = 20,000

Then we will credit the additional paid in capital by (11-10)*(2,000) =2000 as it is the additional money that we are getting on the par value.

4 0
3 years ago
Net sales$688,500 $450,000 Cost of goods sold 337,364 133,200 Determine the 2016 and 2017 trend percents for net sales using 201
alisha [4.7K]

Answer:

Trend- % change in sales =  34.64%

Explanation:

<em>Trend analysis entails determining the performance of a business over time by comparing its performance data from one period to another. The aim of trend analysis is to identify the behavior of a set of ratios over a period of time by comparing them across different years.</em>

To determine the trend for a particular data, we use the formula below

% Change in variable =

(Current year figure - Previous year figure)/Previous year figure × 100

DATA

Current year figure  for sales (2017) - 450,000

Previous year figure for sale (2016) - 688,500

% change in sales =   (450,000 -688,500)/688,500 × 100 = 34.64%

% change in sales =  34.64%

This implies that the company made sales in 2017 which is 34.64% less than that made in 2016

5 0
3 years ago
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