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4 years ago

Which of the following is not an assumption associated with the definition of a production function?

Business

1 answer:

larisa86 [58]4 years ago

7 0

Answer: Both inputs and outputs are measured in monetary units.

Explanation: Production function according to Wikipedia is defined as the technological relation between quantities of physical inputs and quantities of output of goods.

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AMR Corporation (parent company of American Airlines) reported the following (in millions). Service Cost$366Interest on P.B.O. 7

antiseptic1488 [7]

Answer:

$677,000,000

Explanation:

The computation of pension expenses is shown below:-

Pension expenses = Service cost + Interest on PBO - Return on plan assets + Amortization of prior service cost - Amortization of net loss

= $366,000,000 + $737,000,000 - $593,000,000 + $13,000,000 - $154,000,000

= $677,000,000

Therefore for computing the pension expenses we simply applied the above formula so that the correct amount could come

5 0

4 years ago

The United States trade deficit first became a problem in the 1970s because?a. The prices of imports from Japan increased dramat

anyanavicka [17]

Answer:

The price of foreign oil was raised by OPEC.

Explanation:

By the end of 1960s the foundation of OPEC (Oil producers and exporter countries) defined the collusion of some oil producer countries to increase their power over the oil market. With the political crisis in the Arab world, the OPEC to advantage of shortage in oil world supply and increase the price of oil. Being the US a net importer of oil, the increment in oil prices turned into a trade deficit in a short time.

6 0

3 years ago

Dern Company recently sold a large order of tables to Knoll Furniture Store. Terms of the sale require Knoll to sign a nonintere

denis-greek [22]

Answer:

the journal entry made by Dern to record the sales should be:

Date, merchandise sold to Knoll Furniture Store

Dr Notes receivable 21,000

Cr Sales revenue 16,215.85

Cr Discount on notes receivable 4,784.15

the journal entry made by Knoll to record the purchase should be:

Date, merchandise purchased from Dern Company

Dr Merchandise inventory 16,215.85

Dr Discount on notes payable 4,784.15

Cr Notes payable 21,000

Explanation:

Non-interest-bearing notes must be recorded at present value, therefore, we must first determine the present value of the note = $21,000 / (1 + 9%)³ = $16,215.85

the present value of the notes receivable is equivalent to sales revenue, while the difference between the face value of the note and its present value is equal to the discount on notes receivable.

6 0

3 years ago

Paul wants to choose one of the two investment opportunities over three possible scenarios. Investment 1 will yield a return of

Viefleur [7K]

Answer:

1. $2,400

2. Investment 2

Explanation:

For computing the expected return for the investment 2, we have to apply the formula which is shown below:

= Probability for Scenario 1 × return in Scenario 1 + Probability for Scenario 2 × return in Scenario 2 + Probability for Scenario 3 × return in Scenario 3

= 0.2 × $6,000 + 0.3 × $4,000 + 0.5 × 0

= $1,200 + $1,200

= $2,400

From the calculations we use the investment 2 as Paul is uncertain about the return for investment 1

5 0

3 years ago

There are two people in the economy: Martha and Charlie. There are two goods in the economy: books and wine. Martha is endowed w

balu736 [363]

Answer:

Charlie consumes 100 books and 25 wines at pareto-optimal allocation, is the right answer.

Explanation:

According to the question, book is denoted with b whereas, wine is denoted with w.

The Utility function of Martha is- $U\left ( b,w \right )=6b+24w$

The Utility function for Charlie is- $U\left ( b,w \right )=bw$

$P_{b}$ = $1 : $P_{w}$ = $4

At pareto-optimality,

$MRS_{bw}=\frac{P_{b}}{P_{w}}\\\frac{w}{b}=\frac{1}{4}\\4w=b\\$

The budget constraint,

$1.b+4.w=m=1\left ( 20 \right )+4\left ( 45 \right )\\b+4w=20+180\\4w+4w=200\\w=\frac{200}{8}=25\\\therefore b=100$

Therefore, it may be said that Charlie must consume 100 books and 25 wine at pareto-optimal allocation.

3 0

4 years ago