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nadezda [96]
3 years ago
14

Consider the following costs of owning and operating a car. A ​$15,000 Fiat 500 Pop financed over 60 months at 10 percent intere

st means a monthly payment of ​$319. Insurance costs ​$140 a month regardless of how much you drive. The car gets 25 miles per gallon and uses​ regular-grade gasoline that costs ​$2.50 per gallon.​ Finally, suppose that wear and tear on the car costs about ​$0.15 a mile.
Required:
a. Which costs are fixed, and which are variable?
b. What is the marginal cost of a mile driven?
c. In deciding whether to drive from Atlanta to Las vegas (about 2,000 miles round-trip), which costs would you consider? Why?
Business
1 answer:
Pie3 years ago
3 0

Answer:

(a) Fixed cost = Monthly payment of buying car and insurance.

Variable cost = Regular - grade gasoline cost and depreciation.

(b) $0.25

(c)  Variable cost

Explanation:

According to the scenario, computation of the given data are as follow:-

a). Fixed cost are include monthly payment of buying car and insurance and variable cost include regular - grade gasoline cost and depreciation.

b). Marginal Cost of a Mile Driven = Cost Per Gallon ÷ Mile Per Gallon + Car Cost Per Mile

= $2.50 ÷ 25 + 0.15

= $0.25

c). Whether to drive from Atlanta to Las Vegas (about 2,000 miles round trip) we will considered variable cost because its change according to the traveled distance.  

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Fremont Enterprises has an expected return of 12 % and Laurelhurst News has an expected return of 24 %. If you put 56 % of your
Savatey [412]

Answer:

     = 18.7%

Explanation:

<em>A portfolio is a collection of assets/ investment. The return on a portfolio is the weighted average of all the return of the individual assets weighted according to the percentage of total funds allocated to each assets.</em>

Expected return on portfolio:

E(R) =(  Wa*Ra) + (Wb*Rb)

  Wa   =   56%   ,   Wb = 100-56 = 44%

Ra = 12%, Rb = 24%

E(R) = (0.56*24%) + (0.44× 12%)

       = 18.7%

8 0
3 years ago
The steam requirements of a manufacturing facility are being met by a boiler whose rated heat input is 5.5 × 106 Btu/h. The comb
e-lub [12.9K]

Solution:

Given Information,

Heat input is ( Q_{in} ) = 5.5 × 10^{6} Btu/h

Combustion efficiency of the boiler (n_{furnance}) = 0.7

Combustion efficiency after turn up (n_{furnance,now}) = 0.8

Operation Hour (t) = 5200h

Unit cost (c) = \frac{23 dollar}{10^{6}Btu }

Calculate heat output from the boiler  Q_{out} = Q_{in} x n_{furnance}

                                                                      = 5.5 x 10^{6} x 0.7

                                                                      = 3.85 x 10^{6} Btu/h

Calculate the heat input to the boiler after the tune-up

(Q_{in} ){new} = Q_{out} / (n_{furnance} ){new}

               = 3.85 x 10^{6} / 0.8

               = 4.8125  x 10^{6} Btu/h

Calculate the saved energy after the tune-up

(Q_{in} ){saved} = Q_{in} - (Q_{in} ){new}

                 = 5.5 x 10^{6} - 4.8125  x 10^{6} Btu/h

                 = 0.6875  x 10^{6} Btu/h

Calculate the annual energy saving ( E_{Saving} )

E_{Saving} = (Q_{in} ){saved} x t

           = ( 0.6875  x 10^{6} Btu/h ) ( 5200 hr/yr)

           = 3575 x 10^{6} Btu/h

Calculate the annual cost saving

Annual cost saving = E_{Annual saving} x Unit cost

                                = 3575 x 10^{6} Btu/h x \frac{23 dollar}{10^{6}Btu }

                                = 82225

4 0
3 years ago
The derived demand for an input will rise when it is highly productive in ______. Multiple select question. increasing the costs
Step2247 [10]

Answer:

Tt is highly productive in reducing the costs to produce a product.

 it is highly productive in producing a highly valued commodity.

Explanation:

A product has derived demand If its demand is dependent on the demand for other products.

For example, there would be no need to demand for labour if no one demands for goods.

The derived demand for a good will increase if it reduces the price of the product and if it is important in the production of a good

4 0
3 years ago
Which economic effect does a central bank hope to achieve by buying back
yuradex [85]

Answer:

c.  It hopes to make more money available for loans

hope this helps!

add me/mark brainist<3

3 0
3 years ago
Under the FLSA, regular rate of pay does not include: A. vacation pay. B. severance pay. C. overtime pay. D. earned bonuses. E.
Galina-37 [17]

Answer:

The correct answer is A

Explanation:

FLSA stands for Fair Labor Standard Act, which is defined as the act that usually requires, the covered non- exempt employees to receive the overtime pay, at least 1 and 1/2 times of their regular pay for the time they worked in excess of the 40 hours per week of the work.

The regular rate is defined as the remuneration which involves all the employment remuneration that are subject to the exclusions mentioned in the Section 7 under sub section (e) of the FLSA.

So, the vacation pay is the one which is not involved in the regular rate as any time earned gained over 40 along with the vacation is the straight time which will not be paid.

5 0
3 years ago
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