List and describe three causes for shifts in the demand curve. (ECONOMICS)

Assume you are Helena Fogarty, the CEO and founder of Mi Ola, and you are engaged in an intense group decision making process wi

Annette [7]

Answer:

The correct answer is letter "B": The decisions you make are constantly changing with imperfect information available.

Explanation:

Decision-making is complicated to be made through programmed systems because there are several variables to be considered in the process. The most important is that businesses are subject to changes in the market that can happen suddenly, meaning what could work today might not tomorrow.

Besides, the information entered in the system must be perfect to obtain an accurate outcome. However, decision-making is based on data that can be precise like the information portrayed in the financial books of the firm but if there is a mistake committed, even if minimal, the programmed decision could fail.

8 0

3 years ago

A prepayment that is originally recorded as an asset will be ______.

Elena-2011 [213]

Allocated to future accounting periods equally over the periods receiving the benefit.

3 0

2 years ago

You're about to buy a new car for $10,000. The dealer offers you a one-year loan where you pay $860.66 every month for the next

WINSTONCH [101]

Answer:

The actual effective annual rate is 3.33%.

Explanation:

Effective Annual Rate (EAR) refers to an interest rate has been adjusted for compounding over specified period of time.

Effective annual rate can therefore be described as the interest rate that paid to an investor in a year after compounding has been adjusted for.

Effective annual rate can be computed using the following formula:

EAR = [(1 + (i / n))^n] - 1 .............................(1)

Where;

i = Annual interest rate claimed by the dealer = 3.28%, or 0.0328

n = Number of compounding periods or months = 12

Substituting the values into equation (1), we have:

EAR = [(1 + (0.0328 / 12))^12] - 1 = 0.0332976137123635

EAR = 0.0333, or 3.33% approximately.

Therefore, the actual effective annual rate is 3.33%.

4 0

3 years ago

Division B, another division in the company, would like to buy this part from Division A. Division B is presently purchasing the

Annette [7]

Answer:

$29

Explanation:

Calculation to determine what any sales to Division B should be priced no lower than:

First step is to calculate the Profit

Profit = [$30 - ($18 + $3) ]*50,000

Profit= $9 * 50,000

Profit= $450, 000

Second step is to calculate the new variable cost

New variable cost = $18 - $1

New variable cost= $17

Now let determine the any sales to Division B should be priced no lower than:

Let x represent what Division B should be priced no lower than

[x - ($17 + $3) ] * 50000=450000

x - 20 = 450000/50000

x - 20 = 9

x = 9 + 20

Hence:

x = $29

Therefore From the point of view of Division A, any sales to Division B should be priced no lower than:$29

6 0

3 years ago

Rhonda has hired a worker to stand on the corner and wave a sign advertising her business. It costs her $10 per hour to have thi

Effectus [21]

Answer:

When Rhonda hires the worker to wave the sign for one hour per day, the marginal cost is $10 and the marginal benefit is $35. When Rhonda hires the worker to wave the sign for two hours per day, the marginal cost of the second hour is $10 and the marginal benefit of the second hour is $20.

Explanation:

The marginal cost is a cost in economics used to measure the amount that will be incurred for making an additional unit of a product or rendering an additional unit of a service. It is generally calculated by dividing the difference in the total cost at two different levels of activity by the difference in the corresponding number of products at the two levels. That is,

$\frac{Difference in Total Cost}{Difference in levels of activity}$

Since it costs Rhonda $10 per hour the worker waves the sign, it is easy to calculate the total cost at different levels of work. This means 1 hour of waving the sign = $10 × 1 = $10, 2 hours of waving the sign = $10 × 2 = $20, and so on.

Marginal cost for every hour is therefore $10.

The concept also applies to marginal benefit. Benefit here implies revenue from business less cost incurred.

For when the worker waves the sign:

For 0 hour, revenue = $3 (average customer spending) × 50 = $150.

For 1 hour, revenue = $3 × 65 = $195

For 2 hours, revenue = $3 × 75 = $225

Marginal Revenue:

For 1 hour = $\frac {195-150}{1 hr - 0 hr}$ = $45

For 2 hours = $\frac {225-195}{2hr-1hr}$ = $30

Therefore, marginal benefit at 1 hour = $45 - $10 = $35

Marginal benefit at 2 hours = $30 - $10 = $20

3 0

4 years ago