We can actually deduce here that based on the change in demand in the apple market, price and quantity will change in such a way that the price and quantity will increase.
<h3>What is change in demand?</h3>
Change in demand actually refers to the way that the demand on goods and services change as result of price increment or decrease or other factors.
We see that if the demand for apples increase as a result of the additional health benefits, the price and quantity will also increase.
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Answer:
$93,500
Explanation:
Given that,
Purchased new equipment for cash = $80,000
Transportation costs = $2,000
Sales tax paid = $7,000
Installation cost = $4,500
Cost of equipment:
= Cash purchase price + Transportation cost + Sales tax paid + Installation cost
= $80,000 + $2,000 + $7,000 + $4,500
= $93,500
Therefore, the cost recorded for the equipment was $93,500.
Answer:
The value produced by doing your own laundry
The costs of overfishing and other overly intensive uses of resources
The leisure time enjoyed by households
Explanation:
Gross domestic product is the sum of all final goods and services produced in an economy within a given period which is usually a year.
GDP calculated using the income approach sums up all the income earned by factors of production.
GDP calculated using the expenditure approach = Consumption spending + Investment spending + Government Spending + Net Export
Government spending on building is measured in the calculation of GDP as part of government spending.
Services rendered to ones self is not included in the calculation of GDP. So, the value produced by doing your own laundry is not included in GDP.
The effects of externality and pollution aren't included in the calculation luation of GDP. So, the costs of overfishing and other overly intensive uses of resources.
Enjoyment isn't added in the calculation of GDP.
Other items and activties not included in the calculation of GDP include:
A. Illegal activities
B. Transfer payment by government
C. Intermediate goods
I hope my answer helps you
Answer:
Cost of equity = 13.6%
Explanation:
<em>We will work out the cost of equity, using the the dividend valuation model. The model states that the value of a stock is the present value of the future divided discounted at the cost of equity.</em>
The model is given below:
P = D× (1+g)/(r-g)
P- price of stock, D- dividend payable now, g- growth rate in dividend, r- cost of equity
<em>So we substitute </em>
14.65 = 1.48× (1+r)/(r-0.021)
<em>cross multiplying</em>
(r-0.021)× 14.65 = 1.48 × (1+r)
14.65r - 0.30765
= 1.48 + 1.48r
<em>collecting like terms</em>
14.65r - 1.48r = 1.48 + 0.30765
13.17
r = 1.78765
<em>Divide both sides by 13.17
</em>
r =1.78
/13.17= 0.135
r=0.135× 100= 13.6
Cost of equity = 13.6%
=0.135736522
