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eimsori [14]
3 years ago
14

The point that each glass of lemonade consumed on a hot day brings lower and lower levels of satisfaction is known as the princi

ple of
Business
1 answer:
givi [52]3 years ago
8 0

Answer:

decreasing marginal benefit.

Explanation:

A consumer measures the amount of satisfaction gained by consuming a product in making a buying decision.

When a person comes a product his satisfaction increases up to a point, and from that point as consumption increases the satisfaction derived reduces.

Consumption after this point is known as decreasing marginal benefit to the customer.

This affects the customer's willingness to buy more of this product. Patronage of lemonade will reduce as the customer looks for another product to satisfy his needs.

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5. Many tax professionals and advisors recommend adjusting your W-4 allowances so that...
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3 years ago
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Alenkinab [10]
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5 0
3 years ago
The Mighty Music Company produces and sells a desktop speaker for $100. The company has the capacity to produce 50,000 speakers
castortr0y [4]

Answer:

$75

Explanation:

Calculation to determine what selling price will the company be indifferent between accepting and rejecting the special order

Using this formula

Selling price between accepting and rejecting the special order= ( Additional cost ÷ Units sold number) + Unit level Cost

Let plug in the formula

Selling price between accepting and rejecting the special order= ( $15,000 ÷ 500 ) + $45

Selling price between accepting and rejecting the special order= $30 + $45

Selling price between accepting and rejecting the special order= $75

Therefore The selling price that the company will be indifferent between accepting and rejecting the special order is $75

8 0
2 years ago
Suppose that consumers become more pessimistic about the future and, as a result, reduce their consumption by $10 billion. If th
iragen [17]

Answer:

Real GDP will decrease by $50 billion.

Explanation:

In order to calculate the net effect of a reduction in consumption of $10 billion, we need to identify the multiplier first.

Multiplier = 1 / marginal propensity to save

Marginal propensity = 1 - marginal propensity to consume = 1-0.8 = 0.2

Multiplier = 1 /0.2 = 5

The net change then of a reduction by 10 billion = 10 * 5 = $50 billion

Hope that helps.

4 0
3 years ago
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