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s344n2d4d5 [400]
2 years ago
10

Pierce Which of the following statements is therefore necessarily true for Pierce? has a concave utility of wealth function, u(x

). Pierce prefers prospect X to prospect Y.
a. CE(X) > CE(Y).
b. U(EV(X)) > U(EV(Y))
c. EU(X) < EU(Y)
d. Y is a mean preserving spread of X.
Business
1 answer:
Inessa [10]2 years ago
7 0

Answer:

A)  CE(X) > CE(Y) is the correct answer.

Explanation:

Solution:

Correct Answer is A) CE(X) > CE(Y)

Because:

1. First of all, we are given that Pierce has a concave utility of wealth function u(x) which means Pierce is a kind of person who does not prefer taking risk.

2. Secondly, we are given that he prefers prospect X to Prospect Y.

3. Thirdly, Pierce will always make sure that Certainty Equivalent should be higher than others as Pierce does not want to take risks.

4. Lastly, he prefers X to Y so, he will make sure CE(X) must be greater than CE(Y) .

Hence,

A)  CE(X) > CE(Y) is the correct answer.

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Tamarisk, Inc. just began business and made the following four inventory purchases in June: June 1 162 units $972 June 10 216 un
Marta_Voda [28]

Answer:

Inventory= $1,890

Explanation:

Giving the following information:

Tamarisk, Inc. just began business and made the following four inventory purchases in June:

June 1: 162 units $972

June 10: 216 units  $1512

June 15: 216 units $1728 (1728/216=8)

June 28: 162 units $1458 (1458/162=9)

A physical count of merchandise inventory on June 30 reveals that there are 216 units on hand.

FIFO (first-in, first-out)

Inventory= 162*9 + 54*8= $1,890

4 0
3 years ago
How many times does 6 go into 138
lana [24]
IT GOES IN 23 TIMES...
3 0
3 years ago
Expansionary monetary policy Group of answer choices 1. lowers interest rates, causing aggregate demand to shift to the right. 2
masha68 [24]

Answer:

2. raises interest rates, causing aggregate demand to shift to the right.

Explanation:

Expansionary Fiscal Policies try to increase Aggregate demand by :-

  • Decrease in taxes by government ; or / and
  • Increase in government spending

The government injecting more money in public : by reduced taxes & increased govt spending - increases the aggregate demand .

The government finances this increased public spending with same or  decreased taxes - through borrowings.

The government borrowing funds reduces the loanable funds in capital market, this loans' excess demand in capital markets increase their price i.e Interest.

4 0
3 years ago
Rebotar Inc, makes basketballs. Their fixed costs are $3450 Variable costs are $12 per basketball, If the basketball is priced a
worty [1.4K]

Answer:

Break-even points = 265.38

Explanation:

Given:

Fixed cost = $3,450

Variable costs = $12

Selling price = $25

Number of balls sold = 300

Find:

Break even costs

Computation:

Contribution per unit = Sales - Variable costs

Contribution per unit = $25- $12

Contribution per unit = $13

Break-even points = Fixed cost / Contribution per unit

Break-even points = $3,450 /$13

Break-even points = 265.38

6 0
3 years ago
Complete each statement with the term that correctly defines.
Mashcka [7]

Answer:

a. Outperform.

b. Gatekeepers.

c. Leveraging.

d. Value creation.

e. Producer.

Explanation:

A platform can be defined as a type of business model that creates value or focuses on assisting participants by facilitating exchanges and interactions between two or more interdependent groups of participants, who are mostly consumers and producers of finished goods and services.

This simply means that, a platform usually creates an effective and efficient market or community network with needed resources, for better interaction and transaction among various participants. Some examples of a platform business are brainly, airbnb, apple, microsoft, uber etc.

The notable characteristics and advantages of a platform business are;

a. Platform businesses tend to frequently outperform pipeline businesses.

b. Platforms scale more efficiently than pipelines by eliminating gatekeepers.

c. Platform businesses leveraging digital technology can grow much faster.

d. Platforms unlock new sources of value creation and supply.

e. Feedback loops from consumers to the producers allow platforms to fine-tune their offerings and to benefit from big data analytics.

5 0
2 years ago
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