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3 years ago

The market for factors of production connects spending by firms to household income.

Business

1 answer:

Semmy [17]3 years ago

5 0

The given statement " The market for factors of production connects spending by firms to household income " is TRUE

Explanation:

When goods and services markets were the only businesses open, corporations would ultimately have everything they wanted in a single business, consumers would have all the finished products and industry would end.

The word "factors of production" refers to everything a manufacturer uses to make a final product.

Types of production factors are labour (work was carried out by people), equipment (machinery for the processing of products), land and so on.

Job markets are the most widely contested type of a factor market, but it should be noted that output factors can take many forms.

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Kim Inc. is considering the replacement of a piece of equipment with a newer model. The following data has been collected: Old E

Ulleksa [173]

Answer:

Kim Inc.

The net advantage (disadvantage) of replacing the old equipment with the new equipment is:

= $7,500.

Explanation:

a) Data and Calculations:

Old Equipment New Equipment

Purchase price $262,500 $450,000

Accumulated depreciation 95,000 0

Annual operating costs 300,000 245,000

Total operating costs for 10 years 3,000,000 2,450,000

Salvage 92,500 0

Total incremental cost $2,907,500 $2,900,000

b) The net advantage obtained by Kim for replacing the old equipment with the new equipment is $7,500 ($2,907,500 - $2,900,000). Note that the purchase price of the old equipment with its accumulated depreciation are not relevant costs. This case is worked out without taking into account the time value of money. Assuming that the present value of the cash flows was computed, a different result and conclusion would be reached.

4 0

3 years ago

Lance Whittingham IV specializes in buying deep discount bonds. These represent bonds that are trading at well below par value.

Marianna [84]

Answer:

$508.63

Explanation:

For this question, we use the Present value formula that is reflected in the attached spreadsheet. Kindly find it below:

Provided that

Given that,

Future value = $1,000

Rate of interest = 14%

NPER = 15 years

PMT = $1,000 × 6% = $60

The formula is shown below:

= -PV(Rate;NPER;PMT;FV;type)

So, after solving this, the present value is $508.63

3 0

2 years ago

Consider a corrupt provincial government in which each housing inspector examines two newly built structures each week. All the

Anarel [89]

Answer:

a) If bribes cost $1,000 each, how much will a housing inspector make each year in bribes?

So, if the corrupt inspector approves two newly built structures each week, ti means that he is bribed twice per week. There are 52 weeks in a year, so he gets a total of 104 bribes (52 x 2). If each bribe costs $1,000, then he makes a total of: $1,000 x 104 = $104,000 in bribes per year.

c) Corrupt officials may have an incentive to reduce the provision of government services to help line their own pockets.

This statement is true. Corrupt officials will want to have private companies they can obtain bribes from provide government services. It increases the probability of them making money from bribes.

d) What if reducing the number of inspectors from 20 to 10 only increased the equilibrium bribe from $1,000 to $1,500?

Reducing the number of inspectors in hafl means that each inspector now gets twice the bribes. Because the equilibrium price did not double as did the quantity of bribes, each inspector will make less money than expected, but they will still the incentive to collect all the four bribes per week.

7 0

3 years ago

If you know the unit prices of two different brands of an item, you are better able to:

erastovalidia [21]

Answer:

Explanation:

Compare the prices. You can tell which item cost less per unit and is the best deal.

8 0

3 years ago

What is the principle of quality? What is the principle of quantity? Give an example in which a physical activity professional w

QveST [7]

Answer:

The principle of quality states that the experiences that engage us in the most critical components of an activity are most likely to increase our capacity to perform that activity. Critical components are the elements of an activity that are most important for performing it at a high level. To be really good at an activity, you must focus on what factor you need most and improve that area.The principle of quantity states that when all other factors are equal, increasing the frequency of our engagement with the critical components of an activity usually

results in the largest performance improvement in that activity. Generally, the performer whose experiences have engaged her most often in the critical components of an activity usually becomes the most competent in that activity.A physical activity professional asked to create a plan to decrease the time in a marathoner’s performance would begin by conducting a analysis. The critical components in this activity relate to physical performance capacity more than skill.

Explanation:

4 0

3 years ago