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Kaylis [27]
3 years ago
9

In making rational choices, which of the following is true? We respond to marginal benefits and marginal costs. We do not have t

o account for changes in marginal cost. We do not have to account for changes in marginal benefits. We have to consider both marginal costs and sunk costs. Incentives do not matter.
Business
1 answer:
Marat540 [252]3 years ago
8 0

Answer:

The correct answer is letter "A": We respond to marginal benefits and marginal costs.

Explanation:

Economists make assumptions about markets based on the belief individuals take rational choices. This implies people take prudent and logical decisions that yield the most benefits. In other words, it is implicit that individuals always analyze the marginal benefit and cost of a decision before they take it.

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Becky Knauer recently resigned from her position as controller for Shamalay Automotive, a small, struggling foreign car dealer i
andre [41]

Answer:

1. The ethical issue here is that Becky Knauer's new boss usually bribes the sales manager of a car dealership to get more quota of cars. He is doing this because the car is in high demand. The higher his quota, the higher the number of cars. The higher the number of cars, the more of them he can sell. The more he can sell, the higher the profits.

Here is the dilemma.  

First, the action of Becky's boss is wrong, but it is also helping to keep the business afloat thus translating to securing her job and probably sustaining the pay she is receiving. We know this because Becky's former employer who receives just 25 cars a month is not very profitable.  

Becky as the Controller, however, is in charge of Compliance. The actions of her boss are unethical. She has to flag such issues and report to him.

Franz is the owner of the dealership and is on the top of the 'food chain'. There is no one else within the organisational structure to report the matter to. He is supposed to lead by example. He, as the owner of the organisation, however, is leading with a bad example because other sales personnel know about these shady transactions.

2.  Becky's options are as follows:

A. If she is too scared to confront her boss, she can decide to resign. She would have lost her job. There is no guarantee she will get another and the unethical practices will continue.

B. She can raise the issue with her boss and point out the dangers of continuing in such practice. By doing this, she is ruling out the possibility that he somehow is unaware of the dangers of his actions. In raising the matter with her boss, she must do this in black and white.

The above decision can go either left or right.  

Right means that her boss comes to understand the import of his actions and makes amends. Left means, he gets jittery and fires her.

3. As stated above, Franz may fire Becky if she flags his actions.

If this happens, she can take the matter to the State of New Jersy Motor Commission and possibly sue Franz for wrongful dismissal.      

Cheers!

3 0
3 years ago
Why does mercedes oil change cost so much?
shusha [124]
Because the engine is so luxury it takes a lot of oil
8 0
3 years ago
When the Central government cut taxes and increases spending to stimulate the economy during a period of recession, such actions
Mkey [24]

Answer:

The correct answer to the following question is C) counter cyclical fiscal policy.

Explanation:

Counter cyclical fiscal policy can be defined as a strategy implemented by the government to counter boom or recession in the economy through the fiscal measures. This opposite approach which government uses, like if there is recession in the economy, where demand is low and growth rate is also low, then government here would employ counter cyclical policy where they will reduce taxes and increase the expenditure, which will lead to increase in demand and growth rate, and thus would help in stabilizing economy.

3 0
3 years ago
Employees often work with managers to develop a(n) __________ that outlines the fundamental purposes of their organization.a. or
Levart [38]

Answer: (C) Mission statement

Explanation:

 Mission statement is one of the type of organization statement that is developed by the manager for the various types of fundamental purpose in an organization.

The primary objective of the mission statement in an organization is that it deals with the strategic planning by achieving long term goals.

According to the question, the employees worked with the manager in an organization for developing the mission statement that helps in outline the various types of fundamental process.    

 Therefore, Option (C) is correct.

4 0
3 years ago
After Mario completes his monthly report, his boss reviews it to see if the standards were met. If there are errors, Mario is to
iren [92.7K]

Answer: Active management by exception

Explanation:

Active management-by-exception is an active transactional leadership behavior whereby the leader looks out for what has been done wrong by his or her subordinates.

Such leaders monitors the work performance and look out for the mistakes and then corrects the situation by taking a particular action.

Since Mario'd boss reviews his monthly reports to see if the standards were met and that if there are errors, Mario is told he has to work an extra hour each day for the next two weeks. It is an example of Active management by exception

5 0
3 years ago
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