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wolverine [178]
3 years ago
7

Asarta Inc. is polluting into a nearby fishing stream; doing so benefits them $40,000 a year. The fishermen are unhappy as their

trout are dying off. Typically, the fishermen can catch trout and sell it to a local market where they can earn about $8,000 a year. Currently, Asarta Inc. has the rights to use the stream as they see fit. Which of the following is an optimal solution according to the Coase Theorem?
a. Asarta Inc. could pay the fishermen $8,500 and keep polluting
b. Asarta Inc. could pay the fishermen $7,000 and keep polluting
c. There is no optimal solution given the current property rights
d. The fishermen cout The fishermen could pay Asarta Inc. $4,000 to stop them
Business
1 answer:
IceJOKER [234]3 years ago
4 0

Answer:

a. Asarta Inc. could pay the fishermen $8,500 and keep polluting  

Explanation:

The fishermen sell the fish for $8,000 a year at local market.

Due to pollution emitted by company into stream, their catch is dwindling and also their income.

The company benefits from usage of stream to the tune of $4,000 a year.  In such scenario, if company compensates the fishermen for any amount between $8,000 and $40,000 then, in that case, optimal solution to the problem can be achieved in absence of any other transaction cost as per the Coase Theorem.

Therefore, The Asarta Inc. could pay the fishermen $8,500 and keep polluting.

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Rick is considering the following alternatives for investing in D Industries, which is now selling for $44 per share:
Darina [25.2K]

Answer:

Check the explanation

Explanation:

To calculate or compute the annual percentage growth rate over a particular year period, minus the opening value from the ending value, after which you’ll divide by the opening value. Then multiply the result you got by 100 to get your growth rate that is demonstrated as a percentage.

The step by step calculation can be seen below:

a)if reaches 50 then per share gain

=final-initial-call premium

=50-45-3.25=1.75

gain(%)=gaim/initial)*100

=(1.75/45)*100

=3.89%

b)gain=50-44=6

gain(%)=(6/44)*100

=13.654%

5 0
3 years ago
Pet care salons, skin clinics, and day care centers are all examples of businesses operating in the?
Elodia [21]

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The industries based on service are an important part of society for a variety of reasons, including- delivering essential services to the public. Pet care salons, skin clinics, and day care centers are all examples of businesses operating in the service industry. These services too generate income.

Hence, service industry play an important role in society.

To learn more about Service industry here:

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6 0
2 years ago
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xxTIMURxx [149]

Answer:

True

Explanation:

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6 0
3 years ago
Knowing how to report injuries/illnesses, seeing the annual summary, and what else are all worker rights related to injury and i
GREYUIT [131]
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7 0
3 years ago
The Southern Corporation manufactures a single product and has the following cost structure: Variable costs per unit: Production
Illusion [34]

Answer:

See below

Explanation:

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= $20 × 100 units

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7 0
3 years ago
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