Answer: D
Explanation:
Competing on cost is based on achieving maximum value as perceived by the customer.
Answer:
Multiplier or k = 1.428571429 rounded off to 1.43
Explanation:
A change in consumer income leading to an increased consumer spending based on the Marginal propensity to consume or MPC can have a much larger effect in the economy due to the multiplier. A multiplier is the is the amount of new income that is generated form an addition of extra income.
The marginal propensity to consume or MPC is the percentage of the additional income that will be used for consumption spending. The formula to calculate the multiplier, also denoted as k, is:
k = 1 / (1 - MPC)
k = 1 / (1 - 0.3)
k = 1.428571429 rounded off to 1.43
Answer:
$0.808
Explanation:
Given:
Number of workers hired = 6
Number of units to be produced = 90
Fixed cost of the product = $6 per unit
Variable cost = $10 per unit
Marginal product of the 7th unit of labor = 4
Now,
Total variable cost = Variable cost per unit labor × Total labor hired
or
The total variable cost = $10 × 7 = $70
Thus,
The total cost = Fixed cost + Total variable cost
or
The total cost = $6 + $70 = $76
Now,
the total units produced
= Unit produced by 6 labor + marginal product from seventh labor
or
The total units produced = 90 + 4 = 94
Hence,
the average variable cost of production when the firm hires 7 workers
= 
or
= 
= $0.808
Answer:
Expense 2022 1500
Explanation:
december 31 2021 1400
december 31 2022 1000
400
Pay additional insurance 1100
Expense 2022 1500