Choosing to go to college over getting a job right out of high school is an example of a(n)__

The following is an extension economy of scale

ValentinkaMS [17]

The example of an extension economy of scale is Bulk buying.

Explanation:

economies of scale are the main cost whose advantages are for the enterprises that obtain due to their scale of operation, which is measured by the amount of output produced by the company with cost per unit of output resulting in decreasing with increasing scale.

Economies of scale apply to a vast variety of organizational and business situations and at multiple areas, such as a production, the plant or an entire enterprise.

Another source of scale economies is the possibility of purchasing inputs at a lower cost per unit, when they are purchased in large quantities.

Managerial economies of scale occur when large firms are able to afford specialists. They manage i an effective manner, particular areas of the company.

Economies of Scale refer to the cost advantage that us experienced by a firm when it increases its level of output.
The advantage of the huge buying arises due to the inverse relationship between per-unit fixed cost and the quantity produced. The greater the quantity of output produced, the lower the per-unit fixed cost.

8 0

3 years ago

Aluminum maker Alcoa has a beta of about 1.85, whereas Hormel Foods has a beta of 0.39. If the expected excess return of the ma

Nady [450]

Answer and Explanation:

The computation is shown below:

As we know that

According to the Capital Asset Pricing Model (CAPM) formula

Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)

And, the market rate of return - Risk-free rate of return is also known as the market risk premium

As we can see that the Alcoa contains high beta as compared to Hormel Foods so the Alcoa has a higher equity cost of capital

And, the higher rate is

= (Excess return of the market) × (Alcoa beta - Hormel foods beta)

= (3%) × (1.85 - 0.39)

= 3% × 1.46

= 4.38%

8 0

3 years ago

A seller received a rental payment of $100 in advance. At closing, the seller has "earned" only $32 of this rent. What should ap

allsm [11]

Answer:

$68 appears as the amount unearned but received (or still paid in advance) in the closing statement

Explanation:

Amount received in advance = $100

Amount earned = $32

Amount (in advance at closing) is the difference between the amount originally paid in advance and the amount earned

Amount (in advance at closing) = $100 - $32

= $68

The amount that will appear in the closing statement as rental payment still in advance is $68.

3 0

3 years ago

Trusper Company was organized on January 1, Year 1 and has had 1,000 shares of $200 par value, 10% cumulative preferred stock ou

snow_tiger [21]

Answer:

$50,000

Explanation:

Generally, preferred stockholders receive dividends earlier than common stockholders. Moreover, as the preference shareholders are cumulative, if they do not receive dividends current year, they will receive in the next year. Finally, preferred dividend is fixed until there are new issuance of preferred stock.

Preferred dividends for Year 1 = 1,000 shares × $200 × 10% = $20,000

For year 2 = $20,000

Given, total dividends in year 1 = $15,000

Therefore, company provides $15,000 to preferred dividends. No common dividends in year 1.

However, in the next year (Year 2), the company will pay $5,000 + $20,000 = $25,000 to preferences shareholders.

Therefore, remaining dividends are for common stockholders.

Year 2 common stockholders dividends = $75,000 - $25,000 = $50,000.

8 0

4 years ago

When Olga asks Sven if he wishes to sell his Harley motorcycle, he replies that he would not sell it "for less than $2,000." Olg

klemol [59]

Answer:

The correct answer is B. False

Explanation:

Sven never agreed to selling his motorcycle at the spot, he only made a statement that should he intends to sell it later, he will not sell it lesser than $2000.

6 0

3 years ago

Choosing to go to college over getting a job right out of high school is an example of a(n)___.