<span>$1500 was invested at 11%
$2500 was invested at 8%
Assuming simple interest for each investment, we have the following expressions
0.11x = interest on 11% investment. (x = amount invested at 11%)
0.08(4000-x) = interest on 8% investment
Adding the 2 expressions together and setting the sum to 365 gives
0.11x + 0.08(4000-x) = 365
Now solve for x by first distributing the 0.08
0.11x + 320 - 0.08x = 365
Subtract 320 from both sides and combine x's
0.03x = 45
Divide both sides by 0.03
x = 1500
So $1500 was invested at 11% and (4000-1500) = 2500 was invested at 8%</span>
<span>If the overheads increase, the price of cars will go up too. If it didn't go up then the company would either be having lower revenue or they would be losing money. This way, they increase the price of the car to negate the increase of the overhead. This might however lead to the lack of demand for a more expensive car so they would certainly have to find a way to go around this.</span>
Answer:
$46,900,000
Explanation:
Calculation for the erosion cost of adding the mid-range camper
Erosion cost = [(1,100 - 850) × $140,000] + [(2,200 -2,000) × $59,500]
Erosion cost =(250×$140,000)+(200×$59,500)
Erosion cost =$35,000,000+$11,900,000
Erosion cost = $46,900,000
Therefore the erosion cost of adding the mid-range camper will be $46,900,000
Answer: Scale Economies
Explanation:
Scale Economies or Economies of scale refers to a situation whereby a company stands to save more on costs if it produces more goods and services. The more they produce, the more they save.
Riverside Ranger logo T-shirts take $15,000 to set up and that is a set cost.
After that, it will cost $5,000 to make every 1,000 units per design.
The Marginal cost = 5,000/1,000 = $5
Total Cost is the initial cost + the marginal cost per unit.
Total Cost = $15,000 + 5Q
Average Cost = 
<em>Therefore as Quantity increases, Average cost will decrease showing Scale Economies. </em>
