Distributions of cash or other resources by a business to its stockholder are called DIVIDENDS. Dividend involves the distribution of a portion of a company's profits to a class of its shareholders. The amount to be distributed is usually decided by the board of directors.
1 - performed an illegal act (actus reus)
2-while performing the act , had the required intent or specific state of mind ( mens rea)
Answer:
a. What is the MRP? What is the MRC? Should the firm add this delivery vehicle?
marginal revenue product = marginal product of labor x marginal revenue per output unit
MRP = 1,500 packages x $0.10 per package = $150
marginal resource cost (MRC) = $100 (the cost of renting the delivery truck)
The company should add the delivery truck because MRP is higher than MRC.
b. Now suppose that the cost of renting a vehicle doubles to $200 per day. What are the MRP and MRC in this situation?
MRP = $150 (doesn't change from question a)
MRC = $200 (the cost of renting the delivery truck)
The company should not add the delivery truck because MRP is less than MRC.
c. Next suppose that the cost of renting a vehicle falls back down to $100 per day, but, due to extremely congested freeways, an additional vehicle would only be able to deliver 750 packages per day. What are the MRP and MRC in this situation? Would adding a vehicle under these circumstances increase the firm's profits?
MRP = 750 packages x $0.10 per package = $75
MRC = $100
The company should not add the delivery truck because MRP is less than MRC.
This statement is false.
Conversion and direct materials are generally both not added at the end of the production process. As a matter of fact, they are either added at the beginning, or in the middle of the process, but definitely not at the end because then it would be too late.
