Assuming the firm's expected sales are $264,000 in which the firm break-even sales are $197,000, the margin of safety in dollars is:$67,000.
<h3>Margin of safety in dollars</h3>
Using this formula
Margin of safety in dollars=Expected sales-Break-even sales
Where:
Expected sales=$264,000
Break-even sales=$197,000
Let plug in the formula
Margin of safety in dollars=$264,000-$197,000
Margin of safety in dollars=$67,000
Inconclusion the margin of safety in dollars is: $67,000.
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Answer:
D. Society and its individuals have unlimited wants.
Explanation:
Economics can be defined as the study of how to use scarce or limited resources to meet the unending needs and wants of the consumers.
One of the basic principles of economics is that society and its individuals have unlimited wants because humans are generally insatiable. Therefore, we are left with the option of choosing (choices) because we cannot have all that we desire or want and the resources used to meet the demands are scarce or limited.
Generally, Economics can be classified into two (2) categories, namely;
1. Macroeconomics can be defined as the study of behaviors, performance and factors that affect the entire economy. Hence, it focuses on aggregate phenomena such as price level, economic growth, Gross Domestic Product (GDP), inflation, unemployment and national income levels with respect to the central bank, demand or supply shocks, government policies, aggregate spending and savings.
2. Microeconomics can be defined as the study of the effect of price and quantity levels through interactions between individual buyers and sellers in various markets.
Hence, it is focuses on analyzing or evaluating the decisions of consumers (buyers) and those of firms (sellers) such as methods of production, pricing; and the manner in which government policies affect those decisions.
We would most likely expect to see cab drivers reduce their prices.
<h3>Why would cab drivers reduce their prices?</h3>
When Uber and Lyft join the ride-share market, there would be an increase in the supply of cab drivers. As a result, the supply curve for cab drivers would shift to the bright. This would increase equilibrium quantity and reduce equilibrium price.
Please find attached a curve that depicts an increase in supply. To learn more about supply, please check: brainly.com/question/14727864
Answer:
I like to go to learn driving everyday. I love driving car and go to mountains. I have a dream to have my own car and then go for long drives near the sea coast.
Explanation:
1. The decision to make is to buy a car to fulfill the hobby.
2. The main objective is to enjoy the favorite activity and pleased by the beauty of mountains and sea.
3. The main constraints are financial constraint. Money is required to buy a car and then fulfill the dream.
Answer:
True. A stock's market price would equal it's intrinsic value if all the investors had all the information about the stock.
Explanation:
Intrinsic value is different from market value in the sense intrinsic value is derived by subtracting all assets from all liabilities of a company.
Intrinsic value is equal to market value +/- investor's sentiments
Market price of a share is usually derived by dividing total market capitalization by no of shares/stock outstanding. It refers to the value at which a company's stock is currently trading in the stock market.
As efficient market theory holds, investor decisions are affected by the information about a stock which gets circulated. This wipes out any arbitrage possibilities.
A stock's market price would equal it's intrinsic value if all investors had all the information that is available about the stock.
Thus, the given statement is true.