The amount of money needed now to begin the perpetual payments is
P = A/I =15,000÷0.05=300,000
The amount that would need to have been deposited 25 years ago is
P=A÷(1+r)^t
P=300,000÷(1+0.05)^(25)
P=88,590.83
Answer:
a.) the economic surplus is greater at the equilibrium quantity.
Explanation:
This is correct because at lower production levels a dead weight is created of the potential surplus that is not obtained either for producer nor consumers. At equilibrium, the maximum surplus is achieved and is allocated among producers and consumers
This is true. Hope I could help!
Answer:
c. profit center
Explanation:
Based on the information provided within the question it can be said that the segment is most probably accounted for as a profit center. This is a specialty department formed inside an organization that deals with generating revenues and profits or losses. These departments are completely monitored and controlled since they are the main driving force of the company brand.
Answer:
Avoidable costs= $60,000
Explanation:
Giving the following formula:
Raw materials 50,000
Direct labor 10,000
Facility-level costs allocated to products 30,000
<u>We were not provided with information regarding the fixed allocated costs. If none of the fixed allocated costs are avoidable, only the variable cost will not be incurred if the product is eliminated.</u>
Avoidable costs= $60,000
