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3 years ago

Why does the law of increasing opportunity cost occur?

Business

1 answer:

Elena L [17]3 years ago

8 0

Answer:

The correct answer is A and B

Explanation:

Law of increasing the opportunity cost is the principle or the concept which is defined as the company continue to increase the production of one good, the opportunity cost of producing the next unit will increase.

It is as to reallocate the resources in order to produce that one good which was better or best suited to produce the original good.

The law of opportunity cost occur when some of the resources are best suited for some tasks or products instead of others and it will lead to increase in production with increase in the opportunity cost too.

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kondaur [170]

Answer:

can you like explain itmore like you understand

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2 years ago

Sonic Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, p

Sonbull [250]

Answer:

Sonic Inc.

a) Sales Budget:

Rumble Thunder

Total units sold 8,550 7,450

Unit sales price $135 $210

Sales value $1,154,250 $1,564,500

b) Production Budget:

Rumble Thunder

Total units sold 8,550 7,450

Desired inventory (units), June 30 299 56

Estimated inventory (units), June 1 260 64

Units to be produced 8,589 7,442

Explanation:

a) Data and Calculations:

Rumble Thunder

Total units sold 8,550 7,450

Desired inventory (units), June 30 299 56

Estimated inventory (units), June 1 260 64

Units Produced 8,589 7,442

Rumble Thunder

Expected sales volume (units):

Midwest Region 3,650 3,200

South Region 4,900 4,250

Total units sold 8,550 7,450

Unit sales price $135 $210

a) The Sonic Inc.'s sales budget determines the production budget. When the quantity to be sold is obtained, then production planning can take place based on meeting customers' demand for goods or services.

b) The Production budget is a bye-product of the sales budget, though, it is critical in the whole value chain. It is the production budget that guides production planning, including the type, design, and other features of the product.

6 0

3 years ago

Joan sells new cars at a local dealership. she receives a 25% commission on the profit each car is sold for. last month she sold

Usimov [2.4K]

Okay. So Joan receives 25% commission on the profits of the cars she sells. She got $8,870 on the profit last month. To find the commission, let’s multiply the amount of profit by the percentage. 8,870 * 0.25 is 2,217.5. There. Joan earned $2,217.50 in commission last month.

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3 years ago

When zappos began, it focused primarily on word of mouth (wom) to get its message to people. word of mouth is which of the pro

diamong [38]

The promotion mix element that is facilitated by words of mouth is ADVERTISING.
Word of mouth advertising is a form of unpaid spread of positive marketing information which move from one person to another. The method involves passing information across to other people by meaning of oral communication.

5 0

3 years ago

Velco purchased a delivery truck at the beginning of Year 1 at a cost of $60,000. The truck is estimated to have a useful life t

Alenkinab [10]

Answer:

$10,000

Explanation:

Depreciation of an asset is the systematic allocation of estimated cost to an asset over time. It is added over the years to get the accumulated depreciation that is netted off the cost to get the net book value.

It is given as

Depreciation = (Cost - Salvage value)/Estimated useful life

Depreciation expense for Year 1 (the first year of the asset's life) under the straight-line method would be

= ( $60,000 - $10,000 ) / 5

= $50,000/5

= $10,000

5 0

3 years ago