Answer:
A. irrelevant to the decision.
Explanation:
There are primarily two types of costs, i.e. variable costs and the fixed costs. The variable cost is the cost that changes when the level of production changes, whereas the fixed cost is the cost that remains unchanged whether the level of production changes or not. Thus, the variable cost contains indirect material, indirect labor, and factory supplies.
And, the fixed cost contains rent expense, supervision, taxes ,and depreciation expense.
Therefore, it is not relevant at the time of decisions
To solve for the consumer surplus, the formula is;
Consumer surplus = total value – actual value
If jena is willing to pay for $75 then = $75 – $65 = $10
If Jane on the other hand is willing to pay for $85 then =
$85 - $65 = $20
To combine the amount of Jena and Jane to be able to get
both of their consumer surplus,
= $10 + $20 = $30
The combined amount of consumer surplus of Jena and Jane is
$30.
Answer:
10%
Explanation:
if you do 10% off of 90$ you get 81$
Answer: Gwen should report a $3,000 long-term capital gain in her income tax return.
In this question the price paid by Gwen’s mother for the shares is irrelevant because of her death.
The stock’s fair market value ($20) when Gwen inherited the shares (21st October 2015) is Gwen stepped up value.
Gwen’s gain from selling the shares is:
Gwen inherited the shares on (21st October 2015) and held the shares until (3rd july 2017), so she held the shares for more than one year after inheriting it. So, she will report a long-term capital gain on her income tax return.