Define incentive. Provide an example of a financial and non financial incentive....

] A firm is producing 1,000 units at a total cost of $5,000. If it were to increase production to 1,001 units, its total cost wo

valina [46]

Answer:

The question is not complete, below is an example of the completely stated question:

A firm is producing 1,000 units at a total cost of $5,000. If it were to increase production to 1,001 units, its total cost would rise to $5,008. What does this information tell you about the firm?

a. Marginal cost is $5, and average variable cost is $8.

b. Marginal cost is $8, and average variable cost is $5.

c. Marginal cost is $5, and average total cost is $8.

d. Marginal cost is $8, and average total cost is $5.

Answer:

d. Marginal cost is $8, and average total cost is $5.

Explanation:

Marginal cost of production is the change in cost, arising from the production of an additional unit of output. it is the cost of manufacturing one more unit of product. Mathematically, marginal cost is represented as:

$Marginal\ cost = \frac{change\ in\ cost}{change\ in\ quantity\ produced} \\$

change in cost (ΔC) = C₂ - C₁ = 5,008 - 5,000 = 8

change in quantity produced = Q₂ - Q₁ = 1,001 - 1,000 = 1

$Marginal\ cost = \frac{8}{1} = \$8$

∴Marginal Cost = $8

Average Total Cost (ATC) or average cost or unit cost is the total cost divided by the number of units produced. It is represented as

$ATC =\frac{TC}{Q} \\where\\ATC = Average\ total\ cost\\\TC = Total\ cost\ = \$5,000\\Q = units\ of\ goods\ produced = 1,000\\$

∴ ATC = 5,000 ÷ 1,000 = $5

4 0

3 years ago

Matching Exercise: Match the type of bond to its definition. a)The Catastrophe Bond: b)A Warrant Bond: c)An Income bond: d)A Con

RUDIKE [14]

Answer:

Match the type of bond to its definition.

a)The Catastrophe Bond:

This bond is security emitted by a company to raise funds in the form of debt because it suffered a natural disaster and needs liquidity.

b)A Warrant Bond:

This type of bond is emitted by a company to favor the holder for the right to buy a stock at a price that will be decided by the company at the moment of the warrant bond expedition. This price is not linked to the market stock price at the moment of execution.

c)An Income bond:

This security is a bond that compromises the company to pay the established amount if the company makes enough earnings to issue the fraction established of the debt,

d)A Convertible bond:

This type of security provides a stable payment for the holder as payment for the lending of a certain amount of money. However, it has a special right to be converted in stock if the holder wants it.

e)A Put bond:

This type of security compromises the issuer to buy a certain stock from the holder at a certain price with a certain duration.

Explanation:

The reasons to back this answer are:

a)The Catastrophe Bond:

This bond is security emitted by a company to raise funds in the form of debt because it suffered a natural disaster and needs liquidity. This is a very effective bond to issue debt in any unexpected event.

b)A Warrant Bond:

This type of bond is emitted by a company to favor the holder for the right to buy a stock at a price that will be decided by the company at the moment of the warrant bond expedition. This price is not linked to the market stock price at the moment of execution. This is a very good bond to reward management for good results.

c)An Income bond:

This security is a bond that compromises the company to pay the established amount if the company makes enough earnings to issue the fraction established of the debt, This is a very good bond to not compromise to use a payment of a debt, and keeping it outside a bad scenario for the company.

d)A Convertible bond:

This type of security provides a stable payment for the holder as payment for the lending of a certain amount of money. However, it has a special right to be converted into stock if the holder wants it. This bond is very good to increase the stocks in the market and reduce the sare price to pump it.

e)A Put bond:

This type of security compromises the issuer to buy a certain stock from the holder at a certain price with a certain duration. This type of bond is very good to sell short the position of a company with bad performance.

3 0

4 years ago

Universal Containers (UC) uses a legacy Employee portal for their employees to collaborate. Employees access the portal from the

kaheart [24]

Answer:

It's an independent system, because Salesforce is not part of the SSO setup.

Explanation:

A service provider is a website that hosts apps. You can enable Salesforce as an identity provider and define one or more service providers. Your users can then access other apps directly from Salesforce using SSO.

5 0

3 years ago

If you see someone moving furtively around your home what should you do

7nadin3 [17]

In this situation, i will probably call 911 and directly report the situation to the police as soon as possible. That person may be there for some innocent resorts, but his/her behavior is really suspicious and it is better to take precaution rather than have to deal with potential unwanted consequences

3 0

4 years ago

bases its manufacturing overhead budget on budgeted direct labor-hours. The direct labor budget indicates that 5,600 direct labo

Savatey [412]

Answer:

$84,000

Explanation:

The computation of August cash disbursement for manufacturing overhead is seen below;

Direct labor hour

5,600

Variable overhead per hour

$5.4

Variable manufacturing overhead

$30,240

Fixed manufacturing overhead

$69,440

Total manufacturing overhead

$99,680

Less: Depreciation

$15,680

Cash disbursement for manufacturing overhead

$84,000

8 0

3 years ago