Based on the international trade concept, comparative advantage is the ability to produce goods at a cheaper cost than competitors, and it is important in international trade because it enhances resource allocation.
<h3>What is Comparative Advantage?</h3>
Comparative advantage is a term that is used to describe the country's capacity to manufacture a specific good or service at a lower opportunity cost than its trading partners.
Usually, Comparative advantage is utilized to explain why companies, countries, or individuals can profit from the trade.
<h3>Importance of International trade</h3>
- It helps countries to allocate resources for more gains
- It helps countries to produce goods at a cheaper cost
- It helps the country to specialize in production sectors they have more advantages.
- It helps countries to improve their exportation income.
Hence, in this case, it is concluded that comparative advantage is beneficial to countries when it comes to production in international trade.
Learn more about Comparative Advantage here: brainly.com/question/12291750
#SPJ1
In economics, marginal cost is the additional expenditure or cost you incur when you buy another more quantity of the product. When Allison bought the <span>1minus−color application, she spent a total of $130.
$35 + $95 = $130
When she upgraded to 3minus-color application, her cost now increased to
$175 + $40 = $215
Now, as mentioned, marginal cost is the additional cost incurred when buying one more quantity of the same product. Therefore, marginal cost = </span>Δcost/Δquantity. Thus,
Marginal Cost = ($215-$130)/(3-1)
Marginal Cost = $42.5
The marginal cost is $42.5 per color application.
Answer:
$2,255
Explanation:
The computation of the cost of good sold using the LIFO method is shown below:
Data given in the question
On October 1 = 8 units at $200 each
On October 2 = 20 units at $205 each
And, 11 units are sold on October 4
So using the LIFO method, the cost of goods sold for 11 units is
= Number of units sold × price of each units
= 11 units × $205
= $2,255
The amount of lottery winnings that should be included in Emil's Year 8 taxable income is: $5,000.
<h3>What is taxable income?</h3>
Taxable income can be defined as the income that are reduce by tax or other deduction.
Since we were told that the amount of $5,000 was won in the state lottery, which means that the amount of lottery winnings that should be included in Year 8 taxable income is will be the total or the whole amount of the gambling winnings which is $5,000.
Learn more about Taxable income here:brainly.com/question/26316390
#SPJ1
Answer:
see below
Explanation:
Elastic demand describes a scenario where a small change in price results in a significant difference in the quantity demanded. The term 'elastic ' suggests a moving or a stretching demand. Goods that have many substitutes have an elastic demand.
A product or service will have an elastic demand when a small price change greatly affects consumption. Customers will still seek alternative cheaper options if the price increases, which causes demand to drop significantly. The demand for cooldrink is price elastic if a small change in price results in demand changing considerably.
