Answer:
$348,000
Explanation:
Opportunity cost = Market value of land + Market value of the equipment
= $209,500 + $139,000
= $348,000
Therefore, the opportunity cost to be incurred in the initial cost is $348,000. Note: $7,500 is idea for this project, so it is not an opportunity cost
Answer: $12000
Explanation:
The amount of depreciation expense that Nick should record for the first year will be:
The depreciation will be:
= 1/no. of years
= 1/10
= 10%
Then, the rate of depreciation for double-declining will be:
= 10% × 2
= 20%
Then, the depreciation for the first year will be:
= $60000 × 20%
= $60000 × 0.2
= $12000
Therefore, the amount of depreciation expense that Nick should record for the first year is $12000.
Depreciation expense should Nick record for the first year is $12000
Answer:
c. is an institution that brings together buyers and sellers.
Explanation:
A market: is an institution that brings together buyers and sellers.
In mainstream economics, the concept of a market is any <u>structure that allows buyers and sellers to exchange any type of goods, services and information. </u>The exchange of goods or services, with or without money, is a transaction.
Furthermore it can be said to be any place where sellers of particular goods or services can meet with buyers of those goods and services by creating the potential for a transaction to take place.
Answer:
The nominal interest rate that would have been earned on the money
Explanation:
Opportunity cost or implicit cost is the cost of the option forgone when one alternative is chosen over other alternatives.
If i lend a friend money, i would be forgoing earning interest on my money. This is my opportunity cost. Interest earned is nominal interest
Nominal Interest = Real interest rate + inflation rate
<span>The commercial fishing equipments like the Waterman industries deep-water reel, produced in the US is not bought by a typical consumer from the US.
The GDP deflator is an indicator of all the prices of the products that have been produced domestically.
Since the commercial fishing equipment is not purchased usually by a US consumer, there will not be any GDP deflator price change which might affect the CPI (consumer price index).
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