Answer:
The correct answer is (B)
Explanation:
Determining the budget is important before starting a project. In planning a feasibility analysis, the most important factor is to carefully design the budget as it is a critical part of the planning and implementing a project. The budget helps to overcome all the problems related to the overall cost estimation of the project and it also helps to measure the overall performance of a project.
Answer:
Diminishing returns
Explanation:
A firm producing widgets (term for a generic good) has two factors of production.
The factory and labour. The capacity of the factory is fixed, and the marginal cost
(MC) of labour is the same (i.e. each new worker will cost the same).
There are two stages to how MC is affected.
1. Increasing returns (MC goes down)
As output begins to increase, the large manufacturing processes/equipment still not fully utilised means and the additional labour can be productive as they can always use the equipment to its full potential due to which the MC is relatively low.
2. Constant returns (MC goes sideward)
At this point, labour is producing its optimal output per unit. The marginal cost is therefore at its lowest.
3. Diminishing returns (MC goes up)
The more labour that is employed, the less marginal output it is able to produce. This could be a result of too many people to efficiently operate/ rotate use of machinery. The cost increases more and more to generate an extra unit of output, because of labour exhibiting diminishing returns in the short run.
In this question, the 10th worker has added 22 units which is 3 units less than the number of units added by the 9th worker, thus the company is producing less marginal output for each worker. so based on the above discussion it can be concluded that the company has Diminishing returns.
Answer:
b. Cognitive Dissonance.
Explanation:
Cognitive dissonance can be defined as the discomfort which is caused by the post-purchase conflict. When consumers buy something, they feel satisfied with their purchase, however, every purchase involves some trade-off and compromises. Customers certainly feel unhappy on acquiring the drawbacks of the bought product and losing the benefits of the products not purchased. Consequently, consumers feel some discomfort and post-purchase dissonance for almost every purchase they make. The same phenomenon can be observed in this scenario where Sheri has enrolled in the MBA program at Macatawa State University and feeling cognitive dissonance afterwards.
Answer:
The correct answer is option d.
Explanation:
Fiscal policy is a tool to affect economic activities and GDP through changes in government spending and tax revenue. Contractionary fiscal policy is used to reduce economic activities. It is adopted in case of inflationary pressure.
Contractionary fiscal policy may involve a reduction in government spending which will eventually reduce aggregate demand. Or the government could increase the tax rates. This will cause the disposable income of the consumers to reduce.
As the purchasing power decreases with the decline in disposable income, consumer spending will get reduced as well. This will further cause the aggregate demand to decline.
The government can use either of them or both at the same time.
