Answer: C) total surplus is maximized.
Explanation:
Total surplus refers to the sum of both the producer and the consumer surplus.
When allocation of resources is efficient, it means that the total surplus is maximised because the price that is being charged is the same as the equilibrium price that is required.
At this point, all participants in the market will be better off which means both producers and consumers will be better off.
D. many families are left below the poverty line. The government issues new poverty guidelines each year as a guideline and simplification of the poverty threshold for administrative use. this can be used to determine financial eligibility for some federal programs.
Answer:
Accepted
Explanation:
In this question, we have to compare the make or buy options which are shown below:
Particulars Make Buy
Direct materials (5,000 units × $1) $5,000
Direct labor (5,000 units × $10) $50,000
Variable manufacturing overhead
(5,000 units × $5) $25,000
Fixed manufacturing overhead $60,000 $110,000 (5,000 units × $22)
Total $140,000 $110,000
Since in buy decision, the cost is minimum. So, the company should accept this offer
Answer:
Customer landscape: customers' habits, values and preferences related to rugged men. Market landscape: apparel alternatives available in the Chinese market; share market distribution; competitors brand positioning.
Explanation:
The marketing message is the result of marketing strategy based on situational conditions of the company in the US, that market is different from the Chinese market so that the strategic analysis could find as a result a different message more appealing for rugged men in China.
<u>Solution and Explanation:</u>
1. Yes, Dr. Chen's website is not making an express warranty as he is not promising any refund or guarantee a replacement in case the saffron extract is not giving the desired results. He is just claiming the benefits of using the saffron extract which will aid in weight loss.
2. No the implied warranty of merchantability will not apply to the pure saffron extract as it was sold as a weight loss supplement which is not guaranteed by saffron as a product. The inherent quality of saffron does not aid weight loss and the properties of saffron are not aiding weight loss. Hence the implied warranty of merchantability does not apply for saffron extracts. Saffron is good and fit for the ordinary purpose for which saffron is normally used.
3. Yes the Dr. Chens sale of saffron extract has breached the implied warranty for fitness for the saffron extract aiding weight loss because:
• Dr. Chen was aware of the purpose for the saffron extract was being bought i.e to aid weight loss.
• Milan was depending on the advice and skills of Dr. Chen when she bought the saffron extract which was to aid weight loss. Milan had bought the saffron extract because of the judgment of the seller here Dr. Chen who stated it would aid weight loss.
