Which situation best illustrates the concept of scarcity?

The demand and supply functions for basic cable TV in the local market are given as: Calculate the consumer and producer surplus

lana [24]

Answer: Hello your question is poorly written attached below is the complete question

answer:

a) Cs = 800,000 , Ps = 1,500,000

b) Cs = 1437500, Ps = 525,000

Explanation:

Demand function ( Qd ) = 200,000 - 4000 P

supply function ( Qs ) = 20,000 + 2000 P

at equilibrium : 200,000 - 4000P = 20,000 + 2000P

therefore ; P = 180,000 / 6000 = 30

Q = 20,000 + 2000 ( 30 ) = 80,000

a) Determine consumer and producer surplus in the market

consumer surplus ( Cs ) This is the area above the price and below the demand curve = 1/2 * ( 50 - 30 ) 80,000 = 800,000

producer surplus ( Ps ) This is the area above supply and below price

= 30 * ( 80,000 ) - 1/2 (80,000 - 20,000 ) (30)

= 1,500,000

b) Determine the new levels of consumer and producer surplus with a price ceiling of $15

Pc (ceiling price ) = $15

Qd = 200,000 - 4000 ( 15 ) = 140,000

Qs = 20,000 + 2000 ( 15 ) = 50,000

∴ New consumer surplus = area ( a , Pc, b, d )

= ( 30 - 15 ) (50,000) + 1/2(50-30) (80,000) - 1/2 (80,000 - 50,000 ) (37.5 - 30)

= 1437500

New producer surplus = area ( Pc , b, e 0 )

= ( 15 ) ( 50000) - 1/2 ( 50,000 - 20,000 ) (15)

= 525,000

7 0

3 years ago

You are a bank loan officer. Carter has come into your office and applied for a loan for a car. You ran his credit report, and h

aliya0001 [1]

Answer: you would say that carter does not have a good finance in order to have the bank to give him a lown in order to get a lown you have to have a good job and good amount of money to pay it off in the future

Explanation:

3 0

3 years ago

A car dealer acquires a used car for $12,000, with terms FOB shipping point. Compute total inventory costs assigned to the used

bagirrra123 [75]

Answer:

Explanation:

The Cost of inventory = all cost of purchase; including costs of conversion and transfer.

Calculation of Inventory Cost FOB ship.

Cost of Purchase $12,000

Transportation-in $100

Shipping insurance $170

Car import duties $800

Total Cost $13,070

8 0

3 years ago

Glinda goes to the supermarket for her monthly grocery shopping. As she waits in the line at the cash register, she sees her fav

ycow [4]

Answer:

Convenience products.

Explanation:

Convenience products are those goods or services that are purchased by the consumer with high frequency without comparison criteria or high purchasing efforts. These products are widely distributed so that the consumer has the availability of purchase at any time. Examples include magazines, fast food, detergents and beverages.

Some of its features are:

Low price,
Classified as non-durable goods,
High frequency of replacement at points of sale,
Easy replacement products

7 0

3 years ago

An investment adviser representative is also a commisioned representative at a brokerage firm. the iar has developed an asset al

Zolol [24]

Answer:

The options include:

[A] cannot implement the plan

[B] can implement the plan

[C] can implement the plan only if no commissions are charged

[D] can implement the plan only if no management fee is charged

[B] can implement the plan is Correct

Explanation:

Because the client or consumer has been fully disclosed and he agrees that the Adviser / Representative will obtain a management fee and commissions the Advisor / Representative will be allowed to progress with the project.

5 0

3 years ago