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liubo4ka [24]
3 years ago
11

Suppose Paul has chosen a combination of two goods, A and B, such that the marginal utility per dollar spent for good A (MU A/P

A) is .6 and the marginal utility per dollar spent for good B (MU B/P B) is 1. To increase utility with the same amount of money, Paul should:
Business
1 answer:
Makovka662 [10]3 years ago
5 0

Answer: Increase the number of B consumed and decrease the number of A consumed.

Explanation: The utility maximization rule basically states that if the marginal utility gained from product A is greater than the marginal utility gained from product B, then more of product A should be consumed and less of product B should be consumed in order to maximize the utility per unit of money spent.

Therefore, in order for Paul to increase utility with the same amount of money, he should increase spending on the product that offers the higher marginal utility, meaning that he should spend more on the product that offers more satisfaction.

The product that offers more satisfaction in the scenario above is product B, because its marginal utility per dollar is 1, which is greater then the marginal utility of product a of 0.6 marginal utility per dollar.

Hence, Paul should increase consumption of product B and decrease consumption of product A.

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Which of the following statements about income taxes is not correct?
Anastaziya [24]

The correct statement regarding the income tax is Deductible temporary differences give rise to deferred tax liabilities, meaning that more tax is payable in the future. hence option C is correct

<h3>What is income tax?</h3>

A tax placed on people or organizations in relation to their income or profits is known as an income tax. Tax rates multiplied by taxable income are typically used to calculate income taxes. Tax rates might change depending on the taxpayer's attributes and source of income.

The complete part of the question is below:

A) Review Later Income tax expense includes both the amount of tax payable in the current period and the amount of tax due in future periods.

B)Income taxes are based on taxable income and not accounting income.

C)Deductible temporary differences give rise to deferred tax liabilities, meaning that more tax is payable in the future.

D)Deferred taxes arise because of temporary differences between the tax base and the carrying amount of assets and liabilities on the balance sheet.

Hence option C is correct.

Learn more about income tax:

brainly.com/question/17075354

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7 0
2 years ago
What should be considered when developing a sample design
Fudgin [204]
Such considerations include understanding of:
the reasons for and objectives of sampling.
the relationship between accuracy and precision.
the reliability of estimates with varying sample size.
the determination of safe sample sizes for surveys.
the variability of data.

4 0
2 years ago
Carter Company reported the following financial numbers for one of its divisions for the year; average total assets of $4,110,00
Ksivusya [100]

Answer:

$1,83,000

Explanation:

Sales = 4,535,000

Cost of goods sold = $2,560,000

Operating expenses  =  $1,382,000

Average total assets = $4,110,000

Net Income =  Sales - Cost of goods sold -  Operating expenses

= $4,535,000 - $2,560,000 -  $1,382,000

=  $5,93,000

Target income = 10%  of Average total assets

= 0.10 × $4,110,000

= $410,000

Thus,

Residual income = Net income - Target income

= $5,93,000 - $410,000

= $1,83,000

7 0
2 years ago
In a production process new raw materials are considered_____ whereas the finished products are considered______
loris [4]

Answer:

In a production process new raw materials are considered_____ whereas the finished products are considered______

WIP (Work IN Process)

Units for Sale/ Raw Material for other Processes

Explanation:

WIP (Work IN Process)

The raw material in WIP is converted to useful material for other processes.

Work in process consists of materials labor factory overhead or collectively called as conversion costs. In Work in Process these are completed fully or to a certain limit and send to other processes for further work.

Units For sale

Finished goods are ready for sale and send to desired stores or ware houses for storage and further dispatching to retail stores.

Sometimes these units further need servicing or processes in other departments to make a complex unit . In these situations they are considered raw material for other processes.

3 0
2 years ago
Egrane, Inc.'s monthly bank statement showed the ending balance of cash of $14,800. The bank reconciliation for the period showe
emmasim [6.3K]

Answer: The correct answer is "(A) Debit Accounts Receivable and credit Cash for $560".

Explanation: The non-existent 560 must be adjusted in the cash account, and the 560 receivable must be added to the third party that issued the check in the "accounts receivable" account.

The entry would be:

--------------------------------- . ------------------------------------------

Accounts Receivable                   560

                   Cash                                      560

--------------------------------- . --------------------------------------------

6 0
3 years ago
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