Answer: c. $3,960,000
Explanation:
Using the units-of-production method of depreciation, depreciation is done per unit used.
With a residual value of zero, the formula is;
= Cost x Millage used / Useful life mileage
= 55,000,000 x 36,000,000/500,000,000
= $3,960,000
Answer:
a. An increase in government spending increases interest rates, causing investment to fall.
Explanation:
Crowding out occurs when increased government spending backfires and has a negative impact in the private sector due to the increase in interest rates, which are pivotal in the decision-making process of private investments. A high intensity crowding out may even lead to a negative overall impact in the economy. Therefore, the answer is alternative a.
Answer:
A) create greater efficiency in making goods available to target markets
Explanation:
While producers usually focus on getting raw materials at efficient cost and optimize the production process in a bid to stay profitable, intermediaries such as wholesalers and distributors are usually engaged to ensure that the products are properly distributed and available in the target market of consumers.
Intermediaries usually bring the goods from the producer to the consumer through the intermediaries distribution networks.
Answer:
Inventory is an Asset.
Explanation:
Inventory is an asset because when a company buys an asset, they are investing in it, because they will sell it and make revenue/profit from it.
Answer:
b. social benefits will be greater than private benefits
Explanation:
Positive externalities can be defined as those that produce positive effects for society in relation to the consumption of a good or service.
This is because the social benefit is the sum of the private benefit plus the sum of the external benefit.
An example of positive externality pertinent to the present is the fact that vaccinating people generates greater positive effects on society, because when vaccinating an individual there is less chance of having more people infected with some disease.
So it is correct to say that the social benefits will be greater than the private ones. Letter b.
