Answer:
The firm should shut down the production.
Explanation:
The given marginal costs = $25
Fixed cost of the production = $5000
The price of producing the 50 units of meals = $10
The new price of the meal when demand goes up = $20
Since it can be seen that the price of the meal is lower than the average cost or even it is less than the marginal cost. So, when the prices are lower than average cost then a firm should shut down the production because after shutting down the production the loss will be equal to the fixed cost only.
So, the firm should shut down the production.
Answer:
If output doubles when inputs double, the production function will be characterized by a <u>constant returns to scale</u>.
Explanation:
In economics, returns to scale refers to a long run situation that reveals to the proportionate change in output when capital and labor inputs become variable or change.
The three possible types of returns to scale are as follows:
1. Increasing returns to scale: This occurs when the proportionate change in output is greater than the proportionate change in capital and labor inputs.
2. Decreasing returns to scale: This occurs when the proportionate change in output is less than the proportionate change in capital and labor inputs.
3. Constant returns to scale: This occurs when the proportionate change in output is the same as the proportionate change in capital and labor inputs.
Based on the above explanation therefore, if output doubles when inputs double, the production function will be characterized by a <u>constant returns to scale</u>. This is because the the proportionate change (double) in output is the sames as the proportionate change (double) in inputs.
Answer:
Price of the bond is $940.
Explanation:
Price of bond is the present value of future cash flows. This Includes the present value of coupon payment and cash flow on maturity of the bond.
As per Given Data
As the payment are made semiannually, so all value are calculated on semiannual basis.
Coupon payment = 1000 x 11% = $110 annually = $55 semiannually
Number of Payments = n = 11 years x 2 = 22 periods
Yield to maturity = 12% annually = 6% semiannually
To calculate Price of the bond use following formula of Present value of annuity.
Price of the Bond = C x [ ( 1 - ( 1 + r )^-n ) / r ] + [ F / ( 1 + r )^n ]
Price of the Bond =$55 x [ ( 1 - ( 1 + 6% )^-22 ) / 6% ] + [ $1,000 / ( 1 + 6% )^22 ]
Price of the Bond = $55 x [ ( 1 - ( 1.06 )^-22 ) / 0.06 ] + [ $1,000 / ( 1.06 )^22 ]
Price of the Bond = $662.29 + $277.5
Price of the Bond = $939.79 = $940
Answer:
Yes, it was a marketing exchange
The payment made of the tuition was exchanged for the knowledge that led Marissa to the new paid and satisfactory job.
Explanation:
Given that changing means taking one thing for another, in the context of marketing, we understand by exchange relationship an act of communication where the parts involved (two or more) make the offer and reciprocally deliver something of value ( comparison with other objects) and useful (measure of the satisfaction obtained when receiving something of value) that passes to the other part.
Answer: C - Crowdfunding
Explanation: Investors, loans, and selling products and services would not gain them enough financial support, whereas crowdfunding will in an efficient way.
