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Kay [80]
3 years ago
8

Suppose that the U.S. Government decides to charge draft beer drinkers a tax. Before the tax, 35 million glasses of draft beer w

ere sold every year at a price of $6 per glass. After the tax, 29 million glasses of draft beer are sold every year; consumers pay $9 per glass (including the tax) and producers receive $5.50 per glass. The tax burden that falls on consumers is $ ____ per glass,
Business
1 answer:
RUDIKE [14]3 years ago
7 0

Answer:

$3 per glass

Explanation:

THe consumer are paying (9-6) per glass, so $3 higher.

Most other data in the question seems irrelevant.

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MrRa [10]

In a decision to either sell as is or process a product further, joint costs are considered irrelevant and process further costs are considered relevant.

The decision of whether to sell the product right away or wait to sell it in order to earn more money. Although we think that growing the business's income is great, we also need to make sure that the costs associated with the growth will be met. We must contrast the profit margin between selling now and selling later because additional processes will demand more resources and expenses.

Additionally, we need to make an effort to maximise the return on our investment. Additional processes might need more money spent on equipment. These factors require us to apply the sell or process further technique in order to choose the best course of action.

Typically, this scenario occurs in a joint product where one or more outputs can be generated and produce additional revenue. The joint products are produced at the same cost up until the point where they are divided and further sold or processed. Although the products can be sold at the split point, there are instances when continuing developing them is more profitable.

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6 0
1 year ago
Contractionary fiscal policy that reduces the budget deficit may _____________ business investment by _________________ interest
tankabanditka [31]
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3 years ago
Alumplus Aluminum Company has come up with a new type of metal. However, producing it would take up 75 percent of its manufactur
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Answer:

D. outsourcing

Explanation:

Outsourcing -

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8 0
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8 0
2 years ago
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nevsk [136]

Answer: Prices generally increase at the same rate across most periods of time.

Explanation:

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7 0
3 years ago
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