Answer:
Gross premium = $100
Monthly Net premium = $70
Therefore 70 x 12 x 3 = 2,520
= 20% of 2, 520
2,520/100 x 20/1
GMP (Gross Monthly Premium) = $540
Explanation:
1. percentage of a consumer's budget
Answer:
$6000
Explanation:
Economic profit = accounting profit - implicit cost
Implicit cost is the cost of the next best option forgone when one alternative is chosen over other alternatives
accounting profit = 15,000
Implicit cost = 9000
15,000 - 9000 = $6000
Answer:
The correct option is;
Remain constant in total regardless of changes in activity
Explanation:
In the field of Economics, fixed costs are costs that remain the same or does not undergo change when the quantity of produced goods or rendered service increases or decreases. Fixed cost are not dependent on the fluctuations in the level of produced goods and/or service.
Fixed cost are cost that are charged based on the duration of use of the facility, such as the rent paid for the factory premises.
Therefore, we have; within the relevant range, fixed costs <u>remain constant in total regardless of changes in activity</u>
