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gogolik [260]
3 years ago
9

Yekutia has the resources to manufacture 320 motorcycles or 570 lawn-mowers per year. The country of Bezanitia, has the capabili

ty of producing 230 motorcycles or 410 lawn-mowers per year. Which country has the largest opportunity cost to produce one more motorcycle and what is the opportunity cost to that country?
Business
1 answer:
kodGreya [7K]3 years ago
8 0

Answer:

Bezanitia,

1.782609

Explanation:

Opportunity cost is the cost of the next best option forgone hen one alternative is chosen over another alternative.

By choosing to produce one  more motorcycle, the countries would be giving up the opportunity to produce one more unit of lawn mowers

Yekutia's opportunity cost in the production of motor cycle = 570 / 320 = 1.781250

Bezanitia's opportunity cost in the production of motor cycle = 410 / 230 = 1.782609

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Martin Enterprises needs someone to supply it with 118,000 cartons of machine screws per year to support its manufacturing needs
Bezzdna [24]

Answer:

$15.66 per carton

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118,000 cartons of machine screws

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variable costs per carton = $10.05 x 118,000 = $1,185,900

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tax rate 24%

discount rate 12%

price per carton?

initial investment = -$853,000

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CF₂ = [(R - $1,600,000 - $157,000) x 0.76] + $157,000 = 0.76R - $1,178,320

CF₃ = [(R - $1,600,000 - $157,000) x 0.76] + $157,000 = 0.76R - $1,178,320

CF₄ = [(R - $1,600,000 - $157,000) x 0.76] + $157,000 = 0.76R - $1,178,320

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revenue per carton = $1,847,682.18 / 118,000 = $15.6583 = $15.66

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