The correct anwser is B. its the only one that makes since
The consumer surplus associated with the consumption of furniture increases. Wood is an input in the production of furniture therefore it constitutes the cost of production, the decrease in the price of wood would therefore mean a decrease in the production cost. A decrease in the cost of production in turn causes a decrease in the buying price of furniture and therefore, consumer surplus increases.
Answer:
ROE is 0.1571 or 15.71%
Explanation:
The ROE or return on equity is a measure of a business's profitability in relation to its equity. The Dupont equation breaks down the ROE into three components which are used to calculate the ROE. The formula fro ROE under dupont equation analysis is,
ROE = Net Profit/Sales * Sales/Total Assets * Total Assets/Total Equity
- The part of Net Profit/Sales is also known as profit margin.
- The part of Sales/Total Assets is also known as Assets Turnover
- The part of Total Assets/Total equity is also known as equity multiplier
ROE = 0.03 * 110/42 * 2
ROE = 0.1571428571 rounded off to 0.1571
Answer:
Positioning
Explanation:
Market positioning means the capability to develop a perception of a consumer. In this, the competitive advantage plays an important which enables the firm to become differentiate with that of the competitor with respect to the brand or product in which the firm is dealing. It is a motive to create an image of a brand
Therefore according to the given situation, the positioning is the right answer
