Answer:
True (Dead-weight loss )
Explanation:
When the market is not allowed to adjust towards the equilibrium the economics efficiency is lost. When the supply is excessive compared to demand some part of supply remains intact, which means that small of amount of supply does not contribute to economics and allocation efficiency and considered as a dead-weight loss. The supply is forgone because the market is not allowed to stabilise.
Answer:
The net benefit is -$26,000
Explanation:
Given the above information,
The total cost of manufacturing 12,000 circuit boards
= 12,000 × $34
= $408,000
Total purchase price
= 12,000 × $34
= $408,000
Fixed overhead cost applied
= 12,000 × $6
= $72,000
The rental income = $46,000
Outsourcing cost
= Total purchase price + Fixed overhead cost applied - Rental income
= $408,000 + $72,000 - $46,000
= $434,000
Therefore, Net benefit
= Total cost of manufacturing - Outsourcing cost
=$408,000 - $434,000
= -$26,000
Explanation:
The computation of the activity rate for each activity is shown below:
As we know that
Activity Rate = Expected rate ÷ Activity Driver
For Handling material = $650,000 ÷ 100,000 = $6.50 per part
For Inspecting product = $925,000 ÷ 1,500 parts = $616.67 per batch
For Processing purchase orders = $130,000 ÷ 700 = $185.72 per orders
Paying supplies = $200,000 ÷ 500 = 400 per invoices
Insuring the factory = $325,000 ÷ $40,000 = $8.125 per square foot
Designing packaging = $100,000 ÷ 2 models = 50,000 per models
Answer:
A)Capital
Explanation:
Cpatial is one of the factors of production. Capital includes all man made resocurces used in the production process. They include money, equipment and resocurces.
Other factors of production mentioned in the question are :
Henry- the entrepreneur
Building- land
I hope my answer helps you
