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lianna [129]
3 years ago
13

A jacket potato vendor charges $3.92 per potato sold. The variable cost of each potato served is $1.21. The stall has a fixed co

st of $500 per week. What is the percentage decrease in unit contribution resulting from the drop in price to $3.00?
Business
1 answer:
BigorU [14]3 years ago
5 0

Answer:

% unit contribution margin= 33.95% drop

Explanation:

Giving the following information:

Selling price= $3.92

Unitary variable cost= $1.21

New selling price= $3

<u>First, we need to calculate both unitary contribution margin:</u>

Current contribution margin= 3.92 - 1.21= $2.71

New contribution margin= 3 - 1.21= $1.79

<u>Now, the percentage change:</u>

% unit contribution margin= [ 1- (1.79/2.71)]*100

% unit contribution margin= 33.95%

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Calculate the average growth rate. (Enter your answer as a percentage, rounded to 2 decimal places, using intermediate calculati
KIM [24]

Answer:

Growth rate is 6%

Explanation:

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P  = 0.3 / (0.1 - 0.06)

P =  $75

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6 0
2 years ago
As of December 31, the Stanford company has the following information. Use this information to answer questions 1 to 3. Cash $5,
Veseljchak [2.6K]

Answer:

$10,500

Explanation:

Calculation for Stanford Company's Working Capital

Using this formula

Working capital =Current Assets- Current Liabilities

Where,

Current Assets = Cash + Accounts Receivable + Inventory + Prepaid Insurance

Current Assets = ($5,000 + $15,000 + $40,000 + $3,000) = $63,000

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Let plug in the formula

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Working capital =$10,500

Therefore the Working Capital for Stanford Company will be $10,500

5 0
3 years ago
Assume, for Vietnam, that the domestic price of textiles without international trade is higher than the world price of textiles.
nikitadnepr [17]

Answer:

a. other countries have a comparative advantage over Vietnam and Vietnam will import textiles.

Explanation:

A country has comparative advantage if it produces a good or service at a lower opportunity cost when compared to other countries.

The price of textile in Vietnam is higher when compared with other countries, this shows that Vietnam doesn't have a comparative advantage in the production of textile.

Vietnam should import textiles and use its resources to produce other goods for which it has a comparative advantage.

I hope my answer helps you.

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3 years ago
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krok68 [10]
I am going to say c is the answer
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pantera1 [17]

Answer:

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The resource market and the product market are distinct markets in the circular flow model and what they deal in is apparent in their names. The resource market deals in physical goods and commodities while the resource market deals in resource and factors of production and inputs. Both markets are complimentary.

In what way are businesses and households both sellers and buyers in this model?

The Circular flow charts show that businesses and household are both buyers and sellers and interdependence. Households, in the factor sector of the resource market, are owners of resources like land, capital and entrepreneurship which they sell to businesses ( in this case the households are the sellers and the businesses are the buyers)  and in the product markets, they buy goods and services from the businesses ( in this case the households are the buyers, and the businesses are the sellers ).

What are the flows in the circular flow model?

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3 years ago
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