Answer: Lack of control over valuable assets
Explanation: In simple words, vertical integration refers to a process under which an organisation combines two or more stages of production which were previously performed by any other company.
The vertical integration is done where the company wants to get more hold on its supply chain with the ultimate objective of having better control over valuable assets.
Hence from the above we can conclude that the correct option is C.
The worlds most largest national economy in nominal terms. Is the second largest in purchasing power parity (ppp).
representing 22 percent of nominal global gpd and 17 percent of gross world product (gwd)
Answer:
This is a recessionary gap of $60 billion.
Simple multiplier = 1/ (1-.75) = 1/.25 = 4
The government would then have to increase its spending on goods and merchandise by total gap divided my simple multiplier.
$60 billion/ 4 = $15 billionTransfer multiplier - Each dollar of a Transfer payment will increase real GDP by Transfer Payment Multiplier
= MPC / (1-MPC) = 0.75 / (1-0.75) = 0.75/0.25 = $3
The government must increase spending on transfer payments by total gap divided by transfer payment multiplier = $60 billion / $3 = $20 billion
Answer:
Net operating income is $300
Explanation:
We know that,
The net operating income = Sales - variable cost - fixed expenses
And, the contribution margin = Sales - variable cost
So, contribution margin - fixed expenses = Net operating income
Since we have to compute the net operating income for 3,500 units So, first we have to compute the contribution margin per unit which is shown below:
= Contribution margin ÷ number of units
= $48,000 ÷ 4,000 units
= $12
Now for 3,500 units, the contribution margin would be
= 3,500 units × $12
= $42,000
So, the net operating income would be
= $42,000 - $41,700
= $300
The fixed expenses would not be changes. It remains constant
