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3 years ago

One effect of a minimum wage in the market for low-skilled labor is a a. surplus of low-skilled labor.

Business

1 answer:

fgiga [73]3 years ago

6 0

Answer:

a a. surplus of low-skilled labor.

Explanation:

Minimum wage is a form of price floor. A price floor is the minimum price that a good or service can be bought.

Price floors (minimum wage ) is usually set above equilibrium price. This increases the supply of labour but decreases the demand for Labour. As a result , there would be a surplus of low skilled labour.

I hope my answer helps you

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Challenger Factory produces two similar products: regular widgets and deluxe widgets. The total factory overhead budget is $589,

alekssr [168]

Answer:

Challenger Factory

The total factory overhead that Challenger Factory will allocate to regular widget production if budgeted production is 75,000 units and actual production for the period is 127,500 units would be:

= $795,600.

Explanation:

a) Data and Calculations:

Total budgeted factory overhead = $589,600

Total estimated direct labor hours = 376,800

Overhead rate = $589,600/376,800 = $1.56

Direct labor hours per unit of widget = 4 hours

Budgeted production of regular widgets for the period = 75,000 units

Total direct labor hours for the period = 75,000 * 4 = 300,000 hours

Actual production of regular widgets for the period = 127,500

Total direct labor hours for regular widgets = 510,000 (127,500 *4)

Total factory overhead that Challenger Factory will allocate to regular widget production if budgeted production is 75,000 units and actual production for the period is 127,500 units would be:

= 510,000 * $1.56 = $795,600

3 0

2 years ago

1. Which design style resembles a half-moon?

masya89 [10]

The correct answer for the question that is being presented above is this one:
(1) B. Crescent
(2) C. Clustering
(3) C. are difficult to carry.
(4) B. terracing
(5) B. Ikebana
(6) A. allow designers the opportunity to work with better flowers.
(7) D. Sequencing
(8) B. grouping.
(9) D. terracing.
(10) C. rocky creek bed.

7 0

3 years ago

Read 2 more answers

Direct materials are added at the beginning of the process and conversion costs are incurred uniformly throughout the process. E

ch4aika [34]

Answer:

$4,92

Explanation:

Step 1 Calculate the Total Cost of conversion costs incurred during the process.

Total Cost of conversion costs

Cost of conversion in Beginning inventory $8,800

Add Cost of conversion for April $43,612

Total $52,412

Step 2 Calculate cost per equivalent unit for conversion costs

cost per equivalent unit = Total Cost of conversion / Total equivalent unit for conversion

= $52,412 / 10,650

= $4,92

Therefore, the cost per equivalent unit for conversion costs using the weighted average method would be $4,92.

5 0

3 years ago

Suppose that the market for computers is dominated by a single firm, like Dell, that is able to exert influence over prices and

Salsk061 [2.6K]

Answer:

many buyers and sellers

Explanation:

Based on the information provided within the question it can be said that this situation violates the perfect competition assumption of many buyers and sellers. This is a model that many buyers and sellers in a competitive market agree on a single market price, and that no individual has influence over the price. Therefore if a single company, like Dell in this scenario, is able to influence the price then it is violating this assumption.

8 0

3 years ago

Both Bond Bill and Bond Ted have 6.2 percent coupons, make semiannual payments, and are priced at par value. Bond Bill has 5 yea

iragen [17]

Answer:

a-1. Percentage change in the price of Bond Bill = -8.07%

a-2. Percentage change in the price of Bond Ted = -21.12%

b-1. Percentage change in the price of Bond Bill = 8.94%

b-1. Percentage change in the price of Bond Ted = 30.77%

c. See the attached excel file for the graph.

d. It tells us that the longer the term of a bond, the greater will be its interest rate risk.

Explanation:

The price of each bond can be calculated using the following excel function:

Bond price = -PV(YTM, NPER, PMT, FV) ........... (1)

Where;

a-1. If interest rates suddenly rise by 2 percent, what is the percentage change in the price of Bond Bill?

YTM = (6.2% + 2%) / Number of semiannuals in a year = 8.2% / 2 = 4.1%

NPER = Number of semiannuals to maturity = 5 * 2 = 10

PMT = Payment = Coupon rate * Face value = (6.2% / Number of semiannuals in a year) * 1000 = (6.2% / 2) * 1000 = $31

FV = Face value = Initial price of Bond Bill = $1,000

Substituting all the values into equation (1), we have:

New price of Bond Bill = -PV(4.1%, 10, 31, 1000)

Inputting =-PV(4.1%, 10, 31, 1000) in a cell in an excel file (Note: As done in the attached excel file), we have:

New price of Bond Bill = $919.29

Percentage change in the price of Bond Bill = ((New price of Bond Bill - Initial price of Bond Bill) / Initial price of Bond Bill) * 100 = (($919.29 - $1,000) / $1,000) * 100 = -8.07%

a-2. If interest rates suddenly rise by 2 percent, what is the percentage change in the price of Bond Ted?

YTM = (6.2% + 2%) / Number of semiannuals in a year = 8.2% / 2 = 4.1%

NPER = Number of semiannuals to maturity = 25 * 2 = 50

PMT = Payment = Coupon rate * Face value = (6.2% / Number of semiannuals in a year) * 1000 = (6.2% / 2) * 1000 = $31

FV = Face value = Initial price of Bond Ted = $1,000

Substituting all the values into equation (1), we have:

New price of Bond Ted = -PV(4.1%, 50, 31, 1000)

Inputting =-PV(4.1%, 50, 31, 1000) in a cell in an excel file (Note: As done in the attached excel file), we have:

New price of Bond Ted = $788.81

Percentage change in the price of Bond Ted = ((New price of Bond Ted - Initial price of Bond Bill Ted) / Initial price of Bond Ted) * 100 = (($788.81 - $1,000) / $1,000) * 100 = -21.12%

b-1. If rates were to suddenly fall by 2 percent instead, what would the percentage change in the price of Bond Bill be then?

YTM = (6.2% - 2%) / Number of semiannuals in a year = 4.2% / 2 = 2.1%

NPER = Number of semiannuals to maturity = 5 * 2 = 10

PMT = Payment = Coupon rate * Face value = (6.2% / Number of semiannuals in a year) * 1000 = (6.2% / 2) * 1000 = $31

FV = Face value = Initial price of Bond Bill = $1,000

Substituting all the values into equation (1), we have:

New price of Bond Bill = -PV(2.1%, 10, 31, 1000)

Inputting =-PV(2.1%, 10, 31, 1000) in a cell in an excel file (Note: As done in the attached excel file), we have:

New price of Bond Bill = $1,089.36

Percentage change in the price of Bond Bill = ((New price of Bond Bill - Initial price of Bond Bill) / Initial price of Bond Bill) * 100 = (($1,089.36 - $1,000) / $1,000) * 100 = 8.94%

b-2. If rates were to suddenly fall by 2 percent instead, what would the percentage change in the price of Bond Ted be then?

rate = new YTM = (6.2% - 2%) / Number of semiannuals in a year = 4.2% / 2 = 2.1%

NPER = Number of semiannuals to maturity = 25 * 2 = 50

PMT = Payment = Coupon rate * Face value = (6.2% / Number of semiannuals in a year) * 1000 = (6.2% / 2) * 1000 = $31

FV = Face value = Initial price of Bond Ted = $1,000

Substituting all the values into equation (1), we have:

New price of Bond Ted = -PV(2.1%, 50, 31, 1000)

Inputting =-PV(2.1%, 50, 31, 1000) in a cell in an excel file (Note: As done in the attached excel file), we have:

New price of Bond Ted = $1,307.73

Percentage change in the price of Bond Ted = ((New price of Bond Ted - Initial price of Bond Bill Ted) / Initial price of Bond Ted) * 100 = (($1,307.73 - $1,000) / $1,000) * 100 = 30.77%

c. Illustrate your answers by graphing bond prices versus YTM.

Note: See the attached excel file for the graph.

d. What does this problem tell you about the interest rate risk of longer-term bonds?

It tells us that the longer the term of a bond, the greater will be its interest rate risk.

Download xlsx

6 0

3 years ago