Not sure how to graph

Suppose Congress passes legislation that offers subsidies to orange farmers. The impact on the market for orange juice will be a

Dmitrij [34]

Answer:

<u>the supply curve</u>

Explanation:

Remember the supply curve shows the relationship between the amount of a commodity that a producer (or orange farmer) is <em>willing </em>to offer and at a particular price at any given time.

Because of the subsidies to orange farmers we expect the price of orange to become lesser in the future. Therefore the rightward shift occurs in supply curve for oranges due to favorable changes such as the new legislation which may lead to:

Reduction in tax,
Reduction in cost of factor of production,
Expectation of fall in price in future,

3 0

3 years ago

ournalize the entries to record the following: June 1 Established a petty cash fund of $200. 30 The amount of cash in the petty

Keith_Richards [23]

Answer:

The journal entries are as follows:

(i) On June 1,

Petty cash A/c Dr. $200

To cash $200

(To record petty cash established)

(ii) On June 30,

Postage A/c Dr. $25

Entertainment A/c Dr. $100

Miscellaneous A/c Dr. $20

To cash short and over A/c $2

To cash ($200 - $57) $143

(To record cash replenishment)

8 0

3 years ago

Howrley-David, Inc., manufactures two models of motorcycles: the Fatboy and the Screamer. Both models are assembled in the same

Arte-miy333 [17]

Answer:

Fatboy Screamer Total

Direct labor . $ 2,000,000 $ 4,000,000 $ 6,000,000

Indirect materials . $600,000 $1,200,000 $1,800,000

Other overhead . $1,400,000 $2,800,000 $4,200,000

Materials cost . $4,000,000 $12,000,000 $16,000,000

Total cost . $8,000,000 $20,000,000 $28,000,000

Number of units . 2,000 4,000 6,000

Unit cost . $4,000 $5,000 $4,667

Explanation:

Assign the Material Cost to the Products appropriately. The conversion costs musts be allocated based on the number of units assembled. Conversion costs is the sum of Direct Labor and Manufacturing Overheads (Indirect Costs).

7 0

3 years ago

What is Philip's curve long and short ones?

Veronika [31]

In the Philip's curve the long run usually refers to the vertical line and the rate of unemployment the short run Philips curve denotes inflation and is in L shaped and the relationships indicates the trade-off between the inflation and the unemployment

Explanation:

This curve in general shows the relationship between the rate of increase in the nominal wages and the rate of unemployment and usually lower the rate of inflation higher will be the wages allotted and it will be the vice versa

There will be a shift in the Philips curve when there is a hike in the oil prices abroad and this will cause the curve to shift leftwards so in the long run it will indicate the unemployment rate and in the short run it will indicate the inflation rate

3 0

3 years ago

A firm sells a product in a purely competitive market. The marginal cost of the product at the current output of 200 units is $4

posledela

Answer:

D. Should Shut Down

Explanation:

A perfect competition firm is at profit maximising equilibrium where : Marginal Revenue [Price] = Marginal Cost .

If MR > MC : Firm's additional production is profitable, it tends to increase production. If MR < MC : Firm's additional production is loss making, it tends to decrease production.

However, If firm's Price i.e MR < Average Variable Cost : The firm's per unit price is even unable to cover it's per unit average variable cost. This situation is referred to as 'Shut Down' point & firm should close down its production in the case.

Given : MR = P = 3 ; MC = 4 ; AVC = 3.5 . The firm's price P (3) is not only lesser by its Marginal Cost MC (4), to decrease production ; but also lesser than its Average Variable Cost AVC (3.5) . So, the firm should shut down.

7 0

4 years ago