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3 years ago

In one or two sentences, explain why people will do less of an activity when the marginal costs are greater than the

Business

1 answer:

Firlakuza [10]3 years ago

7 0

Answer:

Marginal cost is defined as the additional cost incurred in adding a unit of product or service.

Marginal benefit is defined as the additional satisfaction or utility that the individual receives from consuming the added unit of product or service.

In every endeavor, we weigh the benefit and cost of a certain product, course of action or service. We aim to get the most out of every product or decision. We are driven to reach maximum profit at a minimum cost. Thus, when the marginal cost is greater than the marginal benefit, people will do less of an activity because it is not profitable.

Explanation:

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India is fast becoming a global center for which of the following? select one:

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It is becoming a global center for it, computer programming, and software.

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4 years ago

Kent and Craig, who want to start a horse-training business, spoke to an insurance agent about getting insurance to cover potent

erica [24]

Answer:

Solution: the answer in delivered in 2 stages because of the character of dualistic problems:-

Part (1)

As Kent and Craig are concerned during a professional with prospective risk and that they wish to hide their prospective accountability. the character of the industry which can be utmost applicable in corporate against the other variety of industry like individual merchant or partnership company because of the subsequent details:-

Reason I: Unrestricted accountability- just in case of insolvency or industry letdown, Kent and Craig don't seem to be obligated to trade their particular resources.

Reason II: convenience of Business- because of the Supply of additional investment compared to restricted investment in sole profession and partnership company, they're ready to manage with the qualms related to the industry.

Part (2)

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4 years ago

The company recently reported an EBITDA of $22.5 million and $5.4 million of net income. The company has $6 million interest exp

blsea [12.9K]

Answer:

Depreciation and amortization is $7.5 million

Explanation:

If the tax rate is 40%, then the net income is 60%

tax expense=net income*tax rate/60%=$5.4 million/60%*40%=$3.6 million

Depreciation and amortization=EBITDA-tax-interest-net income

EBITDA is $22.5 million

interest is $6 million

net income is $5.4 million

Depreciation and amortization=$22.5 milion-$6 million-$3.6 million-$5.4 million

Depreciation and amortization=$7.5 million

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4 years ago

Bonner Corp.'s sales last year were $415,000, and its year-end total assets were $355,000. The average firm in the industry has

koban [17]

Answer:

$182,083

Explanation:

The computation of the total assets by considering the total assets turnover is shown below:

Total assets turnover = Sales ÷ total assets

2.4 = $415,000 ÷ total assets

So, the total assets equal to

= $415,000 ÷ 2.4

= $172,917

So, the assets is reduced by

= Year-end total assets - calculated assets

= $355,000 - $172,917

= $182,083

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3 years ago

Many in the advertising industry are calling for a new way to measure a commercial’s effectiveness, _____________, an accountabi

Vsevolod [243]

ROI is the answer to this question. ROI or Return of Investment is when the capital is now gained back and the business computes the amount of profit during the time the investment was returned. Return of investment is computed by dividing the benefit of investment over the cost of investment.

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4 years ago