<span>The most probable thing that will happen if the pie maker keeps making additional pies is this: the marginal costs will continue to rise, increasing the total cost, while the marginal revenue remains the same, decreasing the profit. This is to assume that no buyer is interested in purchasing the pies at a certain period of time. </span>
A federal agency that regulates the stock market
Answer:
a. Total revenue from the 3 products:
= $75,000 + $80,000 + $30,000
= $185,000
Total costs at the split-off point:
= $45,000 + $55,000 + $60,000
= $160,000
Gross profit currently being earned
= Total revenue - Total costs
= $185,000 - $160,000
= $25,000
b. Incremental revenue from product A:
= $116,000 - $75,000
= $41,000
Incremental costs = Rent for special equipment + Materials and labor cost
= $17,500 + $12,650
= $30,150
Incremental gross margin = Incremental revenue - Incremental costs
= $41,000 - $30,150
= $10,850
So, if product A is further processed, quarterly profits will increase by $10,850.
Answer:
The correct answer is AE = C + I + G + NX.
Explanation:
Aggregate spending (in Keynes's opinion) is the key to economic activity, that is, what families, businesses and government plan to buy determines what companies will end up producing. In the first stage of the analysis, a simplified model excludes the government, assumes that there is no foreign sector, and that the level of real income or income (and not prices) is the main determinant of aggregate expenditure
Complete Question:
Fed up with her working conditions at the call center, Lisa decides to invest in a state-of-the-art sewing machine and produce limited quantities of her own clothing designs. After a few months of operation, she decides to apply some of the forecasting techniques she mastered in school. Which of these statements about her forecasts is correct?
- Her forecasts will probably be 100% accurate.
- Her demand forecasts for a year from now will probably be more accurate than her demand forecasts for three months from now.
- Her demand forecasts for each style of skirt will be less accurate than her demand forecasts for all skirts.
- The best way for her to determine the amount of fabric she needs is to forecast it based on her customer orders for each type of skirt.
Answer:
Option 4 is the correct answer
Explanation:
Because the only best way to forecast the amount of fabric required for the is dependent upon the number of customer orders for each type of skirt she receives.
Remember that the forecasting cannot be 100% correct because we human and we cannot tell the future with 100% surety. All we can do is guessing what would happen.
With the help of past data we can better estimate the demand. As their is no past data available we can make a reliable forecast of the skirt sales.
Option 3 is also incorrect because forecasting is dependant upon the reliable source of information which helps in estimating what would happen. Estimating single or combined sales is not a reliable source of information.