Answer:
248 UTILS
Explanation:
Total Utility is the total satisfaction from consumption of all units of a good.
Marginal Utility is the additional satisfaction from consuming an additional unit of a good.
TU = ΣMU ; MU = TUn - TUn-1
Law of Diminishing Marginal Utility states : A good's units of consumption increase makes it additional satisfaction i.e MU to rise lesser in the successive unit than in the preceding one. Eg - A thirsty person will get higher satisfaction from the 1st glass of water than the 2nd glass.
If the case gIven follows Law of DMU : (Given- [email protected] unit < [email protected] unit) i.e (56<63) ; Following must would have been the case :
[email protected] unit > [email protected] unit > [email protected] unit - First two MUs would at least be 65, 64 (least possible whole no. integer values > 63).
So , Minimum TU (1..4) = ΣMU = 65 + 64 + 63 + 56 = 248 utils
Answer:
$0 in March; 2.07 mil in May
Explanation:
At the end of March, Baldwin corporation would have accounted the entire sales as they follow accrual system of accounting. Since the company offers 30 day credit period, its assumed all sales are on credit. The consolidated entry would be
Debtors accounts Debit $ 2,070,000
Sales account credit $ 2,070,000
As per the information provided, the company has received $2.07 million by the end of may. Since there is a credit period of 30 days, its assumed that no payment has been received in March and hence nothing should be shown in March. Its a post balance sheet event that does not have any impact as on March.
By the end of may, the company received the entire payment and hence in the income statement of May, the entire $2.07 million should be shown. Collection entry should be passed which will remove the debtors , however will not impact the profit / loss.
Answer:
The insurance company will pay $350 to get the car repaired.
Explanation:
Insurance is as a business arrangement between the insured and the insurer, whereby the insurer, usually a company or the state, agrees to provide some guaranteed compensations for some specific losses upon the payment of some specified premiums by the insured. The insured is the person taking up the insurance policy, while the insurer is the company guaranteeing the compensation for the insured risk. It offers protection to the insured to restore the person to the former position before the occurrence of the risk.
Answer / Explanation:
First, we need to understand what variance analysis is. Variance analysis is the qualitative and quantitative measure of the difference between actual financial value and the budgeted financial value.
This helps us to properly monitor our rate of spending against our profit or loss margin. it also assist in proper fund management.
Now talking about how the company will utilize variance analysis, the company will utilize variance analysis in the aspect of fixed over head spending. In the sense that it will be used to measure manpower productivity against overhead spending. This will help us to proper affirm if the rate of manpower productivity equal fixed overhead spending. In the case where fixed overhead spending is more than man hour productivity ratio, then the company will be running at a loss. This is basically a way of measuring productivity performance of man power and also assets.
