Answer:
b. it can be traced to a division in a cost effective manner.
Explanation:
Direct costs are those costs which can be directly attributable to a product, activity or a department. For example, direct material or direct labor are direct costs.
These refer to those costs which are incurred specifically for a product, service or incurred for a particular department. Usually such costs are variable i.e they usually vary with the level of production.
Direct costs can be specifically traced so they need not be allocated to any product or a department.
Producers
<span>hope this helps!!!</span>
Answer:
Option (2) is correct.
$20; 800
400;400
Explanation:
Given that,
Demand for apples in the U.S. : Qus = 800 - 20P
Foreign Demand for apples: Qf = 1200 - 40P
World Demand for apples, Qwd
= Demand for apples in the U.S. + Foreign Demand for apples
= Qus + Qf
= 800 - 20P + 1200 - 40P
= 2,000 - 60P
Equilibrium price for apples is at a point where the world supply is equal to the world demand for apples:
Qwd = Qws
2,000 - 60P = 200 + 30P
1,800 = 90P
P = 20 ⇒ world equilibrium price for apples
Therefore,
world supply of apples is Qs = 200 + 30P
= 200 + 30(20)
= 200 + 600
= 800
At equilibrium Pw = $20
Demand for apples in the U.S. : Qus = 800 - 20P
= 800 - 20(20)
= 800 - 400
= 400
Answer:
D
Explanation:
Penetration pricing strategy is setting an initial low price in other to gain market share and switch consumers from competitors. As a new entrant into the market with Low cost production, penetration pricing strategy should be introduced.
Answer:
A) Eight
Explanation:
Since Brenda is a price taker, she will be able to hire bricklayers as long as her marginal revenue product (MRP) is higher than her marginal cost of hiring another bricklayer.
A bricklayer's wage per hour is $18.00:
- the first seven bricklayers provide a MRP of $22.25 which is larger than $18.00
- the eighth bricklayer provides a MRP of $18.50 which is still larger than $18.00
- but the ninth bricklayer provides a MRP of $17.75 which is lower than $18.00, so she shouldn't hire the ninth bricklayer.
