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faltersainse [42]
3 years ago
14

Over a five-year span, the ABC Co. reduced the amount of labor it hired. At the same time, the marginal productivity of labor in

creased. Which of the following COULD explain this observation? (a)the law of diminishing marginal returns (b)labor saving technical change (c)organizational innovation (d)All of the above.
Business
1 answer:
tankabanditka [31]3 years ago
5 0

Answer: D. All of the above

Explanation: The three options listed could explain why the productivity of labor increased with a reduction in the quantity of labor hired. The law of diminishing returns states that as more and more inputs of production are added, a time comes in when additional inputs causes no corresponding increase in productivity. At points like this a reduction in the input added would restore productivity.

Reducing the amount of labor obviously is a labour saving technical change. Changes in organizational innovation can also result in changes in productivity.

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3 years ago
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A stock currently sells for $25 per share and pays $0.24 per year in dividends. What is an investor's valuation of this stock if
Kisachek [45]

Answer:

B) $26.30

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4 0
3 years ago
If the supply of a product increases, then we would expect equilibrium pricea.to increase and equilibrium quantity to decrease.
azamat

Answer:

The correct answer is option d.

Explanation:

An increase in the supply of a product will cause the supply curve to shift to the right. This rightward shift will cause the demand curve and supply curve to intersect at a lower price.

This will cause the quantity demanded of the product to increase and the price of the product to decrease.

A decrease in the supply will cause the quantity demanded to decrease and price to increase.

The effect of supply increase is indicated through the given figure.

5 0
4 years ago
Craigmont Company's direct materials costs are $4,200,000, its direct labor costs total $8,080,000, and its factory overhead cos
USPshnik [31]

Answer:

$12,280,000.

Explanation:

All the direct costs involved in the manufacturing of a product except fixed cost is called prime cost e.g direct material, direct labor etc.

Direct Material = $4,200,000

Direct labor = $8,080,000

Total Prime cost = Direct material + Direct labor = $4,200,000 + $8,080,000 = $12,280,000

Overhead costs are not classified as the prime cost because these are indirect costs.

4 0
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