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2 years ago

The law of diminishing marginal utility

Business

1 answer:

Verizon [17]2 years ago

8 0

Answer:

The correct answer is option 2.

Explanation:

The law of diminishing marginal utility states that keeping other things constant, as more and more units of a commodity are consumed, it will lead to a decrease in the marginal utility derived from the consumption of each additional unit.

In other words, if a consumer goes on consuming more and more of a commodity, the additional satisfaction derived from the consumption of each unit will decrease.

The total utility will be maximized when the marginal utility from the consumption becomes zero.

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Select a topic and develop a curriculum targeted to 6th-grade students.

BartSMP [9]

Explanation:

Provide an outline of the material and how it will be presented.

is the correct answer .

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2 years ago

The following information is available for Windsor, Inc. for the year ended December 31, 2017. Beginning cash balance $ 45,720 A

Diano4ka-milaya [45]

Answer:

Cash generated for the year: 348,793‬

ending cash: 394,513

Explanation:

Operating Activities:

Net Income 288,646

depreciation 164,592

adjusted 453,238

change in Working capital:

AP decrease 3,759

Tax Payable 4,775

AR increase (8,331)

Inventory increase (11,176)

total change (10,973)

cash generated from operating activities 442.265

Investing Activities

proceed from land 35,560

purchase of building (293,624)

cash used from investing activities 258,064‬

Financing Activities

issuance of shares 203,200

TS purchase (26,416)

dividends paid (12,192)

cash generated from financing activities 164,592

Cash generated for the year: 348,793‬

beginning cash 45,720

ending cash 394,513

3 0

3 years ago

Exercise 21-15 Direct materials and direct labor variances LO P2 The following information describes production activities of Me

Molodets [167]

Answer:

Instructions are below.

Explanation:

Giving the following information:

Actual direct materials used 16,000 lbs. at $4.05 per lb.

Actual units produced 30,000

Budgeted standards for each unit produced are 0.50 pounds of direct material at $4.00 per pound.

To calculate the direct material price and quantity variance, we need to use the following formulas:

Direct material price variance= (standard price - actual price)*actual quantity

Direct material price variance= (4 - 4.05)*16,000

Direct material price variance= $800 unfavorable

Direct material quantity variance= (standard quantity - actual quantity)*standard price

Standard quantity= 30,000*0.5= 15,000

Direct material quantity variance= (15,000 - 16,000)*4

Direct material quantity variance= $4,000 unfavorable

6 0

3 years ago

Read 2 more answers

A consumer has a choice of spending $20,000 on a Honda or $14,000 on a Kia. She was observed buying a Kia during the weekend. Do

max2010maxim [7]

Answer: Not necessarily

Explanation:

Consumer purchase decisions are dependent on multiple factors such as price, income and preference. It could be that the customer purchased the Kia because the price was less than that of the Honda and so she wanted to save and costs and bought the less expensive choice.

It could also mean that the Kia was all she could afford based on her income so she bought that. It could however also mean that the Kia is her preference as compared to the Honda so she chose that instead.

It is therefore not a foregone conclusion that she bought the Kia simply because she preferred it. More information would be needed to reach that conclusion definitively.

7 0

3 years ago

arget Profit Refer again to the income statements for Cover-to-Cover Company and Biblio Files Company on their respective Income

Darya [45]

Answer: $489,000

Explanation:

Amount of sales required = (Fixed cost + Desired operating income ) / Contribution margin ratio

Contribution margin ratio for Cover-to-Cover Company:

= Contribution margin / sales

= 77,800/ 389,000

= 20%

Desired operating income = Current income + income increase

= 58,350 + 20,000

= $78,350

Amount of sales required:

= (19,450 + 78,350) / 20%

= $489,000

3 0

3 years ago