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aleksklad [387]
3 years ago
15

Your consulting firm has been hired by the State of California to help them decide on funding for the Univer- sity of California

. Your analysis is based on the following premise: higher education has important spillover benefits for the state. When the workforce is more educated, then it is more likely that collaborations between workers with higher education will collaborate together and lead to new business and technology innovations. Education, therefore, leads to more new businesses, higher paying jobs, and increased economic growth for the state. Background. Before addressing the issue of higher education spending, you need to first explain the concept of an ezternality. You will explain an externality using the example of a surfboard factory located near the Pacific Ocean that dumps its pollution in the ocean, where ocean currents then take it downstream and harm fisheries. a. Explain how pollution is an externality. b. Using a graph, show that there is an over-production of surfboards; that is, without government intervention the private market will produce more surfboards than the socially efficient quantity

Business
1 answer:
Alla [95]3 years ago
3 0

Answer:

a) loss caused to fisheries by pollution is an externality. B) Graph is attached

Explanation:

a) Externality is the cost benefit or loss to a 3rd party due to any activity that is not under its control. An exampe is pollution. In this scenario, losses to fisheries resulting from pollution by surf factory is an externality over. The pollution created by surfboard factory is not under the control of fisheries.

b) Graph is attached. As the production increases, Marginal Private Cost increases and Marginal Social Benefit decreses. Beyond Q2, Government intervention is requried

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Sanders, Inc., paid a $4 dividend per share last year and is expected to continue to pay out 60% of its earnings as dividends fo
solong [7]

Answer:

The correct solution is "$42.94".

Explanation:

The given values are:

D0 = 4

Ks = 15%

As we know,

⇒ g = (1-Div \ payout \ ratio)\times ROE

      =(1-60 \ percent)\times 13 \ percent

      =5.20 \ percent

By using the Gordon Model, we get

⇒ P0=Do\times \frac{(1+g)}{(Ks-g)}

         =4\times \frac{ (1+5.20 \ percent)}{(15 \ percent-5.20 \ percent)}

         =42.94 ($)

6 0
2 years ago
Which of these portfolio items might assist Susan in answering an interviewer who asks, “What is something you did well in schoo
stepan [7]
A.Diploma Certificatw
7 0
2 years ago
Shady Lane's income tax payable account decreased from $14 million to $12 million during 2016. If its income tax expense was $80
maria [59]

Answer:

A cash outflow of $82 million.

Explanation:

Because during the year Shady had taxes expenses for $80 million but then Shady cancelled $2 million of the Income Tax Payable account, which decreased from $14 million to $12 million.  

3 0
3 years ago
Lee Holmes deposited $15,000 in a new savings account at 9% interest compounded semiannually. At the beginning of year 4, Lee de
zhuklara [117]

Answer:

Total sum at te end of 6 years=$ 73,138.97

Explanation:

<em>The total sum in Lee's account at the end of year would be determined as follows:</em>

FV= A × (1+r)^n

FV- Future sum?,

A- deposit amount ,

r- interest rate - 9%/2 = 4.5% per 6 months

n- number of years is 6

First deposit for  6 years

FV =  15,000× 1.045^(2×6)

 =  $25,438.22

Last 40,000 for 2 years

FV = 40,000 1.045^(2×2)

   =47,700.74403

Total sum at the end of 6 years

= $25,438.22 + $47,700.74

=$ 73,138.97

6 0
3 years ago
Following is the sales budget for Coore, Inc., for the first quarter of 2019.
gayaneshka [121]

Answer:

a. Sales for November = $192,666.67

b. Sales for December = $312,400,00

c. Total cash collections are as follows:

January = $200,580

February = $201,360

March = $191,750

Explanation:

a. Compute the sales for November.

Sales for November = (Accounts receivable balance at the end of the previous quarter - Uncollected sales from December) / Collection rate two months after the sale = ($107,000 - $78,100) / 15% = $192,666.67

b. Compute the sales for December.

Sales for December = Uncollected sales from December / (Collection rate one months after the sale + Collection rate two months after the sale) = $78,100 / (10% + 15%) = $312,400,00

c. Compute the cash collections from sales for each month from January through March.

Note: See the attached excel file for the schedule of cash collections from sales for each month from January through March.

From the attached excel file, total cash collections are as follows:

January = $200,580

February = $201,360

March = $191,750

Download xlsx
3 0
2 years ago
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