Answer: Moral hazard
Explanation: Moral hazard can be defined as a situation in which an individual starts taking more risk, which he can avoid, knowing the fact that the potential loss of the risk taken will be bore by someone else.
For example- An Individual not making proper fire extinguishing facilities in the house knowing that the loss in case of fire will be bore by the insurance company.
Hence, above explanation concludes that answer is option B.
Work performance information and cost forecasts are the main outputs of cost control.
<h3 /><h3>What is cost control?</h3>
It is the set of practices that assist in the control and organization of financial resources, in order to establish a budget that is a useful tool for greater understanding of income and expenses and greater coordination of the correct allocation of finances to fulfill your needs and for the achievement of objectives and goals.
In a company, cost control will help in effective positioning in the short and long term, helping to correctly understand the company's financial situation in a period, in addition to helping in the forecast of costs, expectations and planning as a whole.
Therefore, cost control is a set of tools that assists in the budget control of a company or an individual, being positive for the best organization of finances.
Find out more about budgeting here:
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Answer: network
Explanation:
Network externality simply states that demand for a good or service has to do with how other people demand for that particular good or service. It means consumer's buying patterns are influenced by the purchase of others buying the product.
Therefore, a network externality exists when the number of customers who purchase a good or use it influences the quantity demanded.
Answer:
- the servers thinks demand for drinks and food is elastic
Explanation:
Demand elasticity is a microeconomic concept that aims to measure the sensitivity of demand in the face of price changes. When price goes up and demand goes down a lot, demand is said to be price elastic. When price rises and demand does not change significantly, demand is said to be inelastic to price.
In the opinion of the hosters the price of food and drink should rise. This means that in their view, demand is inelastic, that is, little sensitive to rising prices. On the contrary, severs believe that demand is elastic, very price sensitive. Thus, rising prices would decrease demand and lowering prices would increase demand and hence revenue.
<u>Answer:</u>
<em>(B) Ordinary dividend distributions require the distributing corporation to recognize gain when distributing the noncash property as a dividend. Shareholders report dividend income equal to the FMV of the property distributed when the distribution comes from earnings and profits.
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<u>Explanation
:</u>
A qualified dividend is a profit that falls under capital increases expense rates that are lower than the annual duty rates on unfit, or joint, profits. Profit expense rates for common dividends. Regular profits are delegated either qualified or normal, each with various duty suggestions that effect a speculator's net return. The expense rate on qualified profits for speculators that have customary salary exhausted at 10% or 12% is 0%.
Ordinary dividends are taxed a person's typical annual duty rate, rather than the favored rate for qualified profits as recorded previously.
