Negative Externality
This is the cost that is suffered by a third party as the result of a transaction. One example is the sale of cigarettes. The negative externality is the negative effects of cigarette smoke on people and the environment.
Answer:
A) $16
Explanation:
According to a different source, these are the options that come with this question:
A) $16
B) $52
C) $40
D) $12
Consumer surplus refers to a measure of welfare in which we look at the ways in which people benefit from the goods and services that they are consuming. The market consumer surplus is the difference between the amount that consumers are willing to pay and the total amount that they actually do pay in the real world (this is known as the market price).
Answer:
The present value of the dividends to be paid out over the next six years if the required rate of return is 15 percent is $6.57
Explanation:
Solution:
Given that
The present value =∑ ⁿ t=1 cf/ (1 +r)t
where cf= cash flow
r =the required rate of return
t = the number of years
Now
The present value will be:
cf₁/(1+r)^1 + cf₂/(1 +)^2 + cf₃/(1+r)3 + cf₄/(1 +r)^4) + cf₅/(1 +r)^5 + cf₆/(1+r)^6
Hence,
cf₁, cf₂ cf₃ = 0 as the firm does not expect to pay dividend in the next three years
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Answer:
False
Explanation:
Ordering costs are the costs incurred when materials are requested for. These components of this cost are:- 1)Clerical and administrative costs involved in purchasing and accounting for the goods ordered.
2)Cost of transportation
3)Retooling cost: This happens when the product is manufactured internally. Retooling means change of working tools.
4)Insurance while in transit.
5)Drivers' salaries and allowances
6)Loss of materials while in transit.
7)Taxes, custom duties and import duties.
- We can create a website wherein customers may adapt autos or talk using support personnel as well as other car owners.
- Users may establish an automated e-mail service to remind automobile owners to check their cars often.
- It could include a system of information that monitors local client preferences so that vehicles that represent the requirements and wishes of local customers are provided.
- It can be a company that invests in data techniques that allow it to manufacture new products or effectiveness inside its distribution network, thereby making it a low-cost producer.
- Data system to improve communication with suppliers and optimize the supply chain for operational excellence.
- It could assist managers in communicating more effectively with workers, enable item technical development, eliminate cost warehousing or simplify delivery.
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