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evablogger [386]
3 years ago
7

Consider the optimal consumption bundle for a consumer who is choosing between two goods, x and z, which she considers perfectly

substitutable for one another. In particular, her utility function from a bundle with qx units of good x and qz units of good z is given by u(qx,qz)
Business
1 answer:
Dimas [21]3 years ago
7 0

Answer: Please refer to the explanation section

Explanation:

When a consumer is choosing between two goods which are considered to be perfect substitutes , the optimal bundles choice will be the number of good x and good z that will yield maximum utility is found the ratio of Marginal utility of good x and marginal utility of good z equals the ratio of the Price of good x and the price of good z or The Marginal utility of good x per dollar must be equal to the marginal utility of good z per dollar.

Marginal Utility of good x = MUx

Marginal Utility of Good z = MUz

Utility function = U(qx,qz)

qx and qz maximises U(qx,qz) when

\frac{MUx}{MUz} = \frac{Px}{Pz}   or  \frac{MUx}{Px}  = \frac{MUz}{Pz}

When she receives the same marginal utility per dollar in good x and good y, utility is maximized

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4. Alex, Becky, and Cindy form a limited liability company. Alex contributes 60% of the capital, and Becky and Cindy each contri
romanna [79]

Answer:

Explanation:

<u>fact of the case</u>

three people formed a limited liability company with contributions as follows:

  • Alex - 60 percent
  • Becky - 20 percent
  • Cindy - 20 per cent

They dispute over the division of  profits.

<u>profit division</u>

In a limited liability cooperation whose profit division has not been stated in the operation agreement under the UNIFORM LIMITED LIABILITY COMPANY ACT( ULLCA) , then state law will determine the division of profits. Usually in the absense of  an agreement state have divided profits equally among the members.

<u>operating agreement</u>

An operating agreement for an LLC spells out the details of how a business will be managed and operated. Additionally, the term for settling profits and losses may be specified.

<u>opinion</u>

The court may decide that partners will receive an equal division of profits. courts rely usually on the principles of partnership law. in order to avoid the tension of discord between the partners  it is best spelt out  how the company will be managed as well as profit and loss division in an operating agreement.

7 0
3 years ago
Nathan is determining next year’s advertising budget by establishing specific marketing objectives, assessing the communication
Sedbober [7]

Answer:

Objective Task Method

Explanation:

According to my research on different business strategies, I can say that based on the information provided within the question Nathan is using an Objective Task Method. This is a financial business strategy in which a company/business sets aside a specific set amount of money to use as it's marketing budget based on the objectives they are trying to accomplish. Which is exactly what Nathan is doing in this scenario.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

3 0
3 years ago
When real GDP grows more slowly than potential GDP, labor productivity falls. the unemployment rate rises. nominal GDP rises. th
valentina_108 [34]

Answer:

the unemployment rate rises.

Explanation:

Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year

GDP calculated using the expenditure approach = Consumption spending by households + Investment spending by businesses + Government spending + Net export

Potential GDP is the GDP of an economy when labour and capital are employed at their sustainable rate.

Real GDP has been adjusted for inflation. It reflects the value of goods and services produced in an economy.

When the real GDP of an economy grows more slowly than potential GDP, it means that the resources in the economy, labour and capital are not employed at their sustainable rate. This is referred to as output gap. As a result of the output gap, the unemployment level rises

3 0
3 years ago
The expense recognition (matching) principle requires that expenses (expenses/assets/liabilities) be recorded in the same accoun
Tju [1.3M]

Answer:

Expenses ; revenues ; adjusting

Explanation:

According to the expense recognition or matching principle, the expenses that are incurred in a particular period should be matched with the revenues that are earned in that particular period.

This principle major part is of the adjustments so that the adjustment entries are passed so that the financial statements represents the true and fair view to the users of the accounting information

8 0
3 years ago
Portfolio AB was created by investing in a combination of Stocks A and B. Stock A has a beta of 1.2 and a standard deviation of
deff fn [24]

Answer:

C. Portfolio AB has more money invested in Stock A than in Stock B.

Explanation:

Beta coefficient is used to measure the systemic risk of an investment, while standard deviation is employed to measure the total risk of an investment.

Under a portfolio investment decision making, beta coefficient is the relevant measure of risk to consider because its only aim is to put the undiversifiable risk into consideration.

Therefore, Portfolio AB has more money invested in Stock A because it has lower beta of 1.2 than in Stock B has a higher beta of 1.4.

6 0
3 years ago
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