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3 years ago

When does allocative efficiency occur?

Business

1 answer:

kobusy [5.1K]3 years ago

3 0

Answer:

D. Allocative efficiency occurs when production is in accordance with consumer preferences.

Explanation:

Allocative efficiency occurs where price equals marginal cost. Price equals the amount consumers willingly pay for a product, so allocative efficiency occurs where marginal utility = marginal cost

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Judd Company has a beginning inventory in year one of $1,400,000 and an ending inventory of $1,694,000. The price level has incr

kotykmax [81]

Answer:

The ending inventory under the dollar-value LIFO method is $1,554,000.

Explanation:

The dollar-value LIFO method can be described as a variation on the last in, first out (LIFO) method which focuses on the estimation of a conversion price index that can be employed to compare the year-end inventory to the base year cost.

The ending inventory under the dollar-value LIFO method can be calculated as follows:

Beginning inventory at begining price level = $1,400,000

Ending inventory at ending price level = $1,694,000

Beginning price level = 100

Ending price level = 110

Beginning price index = Beginning price level / Beginning price level = 100 / 100 = 1.0

Ending price index = Ending price level / Beginning price level = 110 / 100 = 1.1

Ending inventory at base year prices = Ending inventory at ending price level / Ending price index = $1,694,000 / 1.1 = $1,540,000

Real-dollar quantity increase in inventory = Ending inventory at base year prices - Beginning inventory = $1,540,000 - $1,400,000 = $140,000

Value of real dollar quantity increase in inventory = Real dollar quantity increase in inventory * Ending price index = $140,000 * 1.1 = $154,000

Dollar value LIFO Ending inventory = Beginning inventory at begining price level + Value of real dollar quantity increase in inventory = $1,400,000 + $154,000 = $1,554,000

Therefore, the ending inventory under the dollar-value LIFO method is $1,554,000.

5 0

3 years ago

Although it does not explicitly endorse traditional gender roles, which sociological perspective implies that dividing tasks bet

Licemer1 [7]

The functionalist perspective is the sociological perspective that implies that dividing tasks between spouses is beneficial for the family unit even though it does not explicitly endorse traditional gender roles.

<h3>What is a functionalist perspective?</h3>

This refers to the social view that our society is a relatively stable and orderly system composed of interdependent and interrelated parts

The key points about functionalist perspective are:

It view social change as a strain on the system
It attempts to explain social stability.

Hence, because the Functionalists believe that society is held together by social consensus where members of the society agree upon and work together to achieve, then, it is the sociological perspective that implies that dividing tasks between spouses is beneficial for the family unit even though it does not explicitly endorse traditional gender roles.

Read more about functionalist perspective

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2 years ago

He theoretic perspectives of priming, agenda setting, and framing are all similar, yet scholars say they are not exactly the sam

Tasya [4]

I was stuck on the same thing in my class test. I ended up failing but if I get the answers to it I’ll totally send them to you!!!

3 0

4 years ago

A company has two divisions and evaluates management using return on investment. Division 1 currently makes a part that it sells

Anton [14]

Answer:

c. Division 1 should continue to do business with Division 2 because Division 1's variable cost per part is only $18.

Explanation:

Since the variable cost per part is only $18 and Division 1 sells to Division 2 at $25, it is in the company's overall interest that business should continue between the two divisions.

The cost of getting the part from outside is $26. This will incur more cost to the company and create excess capacity for Division 1.

Fixed costs are not relevant in making a decision of this nature. The costs would be incurred irrespective of the decision made. They are therefore irrelevant. The relevant cost is the variable cost of $18 per unit. It should be the focus of the decision, including the possibility of excess capacity for Division 1.

7 0

3 years ago

Understand and explain the process of idea generation and validation

natita [175]

Answer:

Idea generation is the creative process or procedure that a company uses in order to figure out solutions to any number of difficult challenges. It involves coming up with many ideas in a group discussion, selecting the best idea or ideas, working to create a plan to implement the idea, and then actually taking that idea and putting it into practice. The idea can be tangible, something you can touch or see, or intangible, something symbolic or cultural.

Idea validation is the process of testing and validating your idea prior to launching your business name, tagline, product, service or website. This is like the research and development process big companies use to test product ideas before they’re released to the general public.

Idea validation can involve anything from information-gathering interviews to special landing pages on the web. The entire purpose is to expose the idea to your target audience before you build and release the final product.

4 0

3 years ago

When does allocative efficiency​ occur?

When does allocative efficiency occur?