Answer:
Effect on income= $2,500 increase
Explanation:
Giving the following information:
Contribution margin= $44
The marketing manager believes that a $6,300 increase in the monthly advertising budget would result in a 200 unit increase in monthly sales.
To calculate the effect on income, we need to use the following formula:
Effect on income= increase in total contribution margin - increase in fixed costs
Effect on income= 200*44 - 6,300
Effect on income= $2,500 increase
Answer:
a. $203.125
Explanation:
Calculation to determine the net profit/loss on this option to the investor
Net profit/loss=((1.900 - 1.885) - 0.0215)(31,250)
Net profit/loss=(0.015-0.0215)*31,250
Net profit/loss=0.0065*31,250
Net profit/loss=$203.125
Therefore the net profit/loss on this option to the investor will be $203.125
A higher interest rate is one economic mechanism by which government borrowing can crowd out private investment. This is further explained below.
<h3>What is the economic mechanism?</h3>
Generally, A mechanism is a mathematical representation of the organizations that govern and coordinate economic activity.
In conclusion, Increasing the interest rate is one of the ways in which the government may stifle private sector investment. This will be detailed in further detail in the following paragraphs.
Read more about the economic mechanism
brainly.com/question/14529441
#SPJ1