This is a key idea with international trade. This involves what is known as comparative advantage.
let's say country A can produce a ton of soybeans in 4 hours and a ton of corn in 2 hours. While country B can produce a ton of soybeans in 15 hours and a ton of corn in 5 hours.
Looking at this set up you can see that country A can produce both corn and soybeans faster, so they have an absolute advantage in both!
However what trade is based on is opportunity cost. So if we think about how much corn country A has to give up to produce soybeans, they have to divert a total of 4 hours from corn to soy beans to produce one ton of soy beans. That 4 hours could be used to produce 2 tons of corn (since 2 hours for 1 ton and we're taking away 4 hours!). So opportunity cost of soybeans in country A is 2 corn.
In country B they would need a total of 15 hours to produce one extra ton of soybeans, but those 15 hours could instead be used to produce 3 tons of corn (5 hours per ton and we're stealing 15 total hours). That means country B's opportunity cost is 3 corn.
Since A has a lower opportunity cost in produce soybeans they will specialize and B will specialize in corn.
<h3><u>Answer;</u></h3>
B. both total assets and total liabilities and owner’s equity.
<h3><u>Explanation;</u> </h3>
A double-ruled line should be drawn under the amount for both total assets and total liabilities and owner’s equity.
A single ruled line should be drawn on the column line above the amount for total assets, total liabilities and total liabilities and owner' equity.
For a given date, the Balance sheet shows the; total assets, total liabilities and owner's equities. That is, the Balance sheet shows end-of-period balances in the firm's Assets, Liabilities, and Owners Equity accounts
Answer:
The effect that causes Corey's quantity demanded of a frozen dinner to increase is known as income effect
Explanation:
Income effect refers to the change in consumption pattern or in the amount of the good consumed as a result of changes in the consumer's utility and purchasing power. Income effect can be positive or negative.
Here, Corey derives some utility from consuming a frozen dinner (an inferior good). Therefore, as the price increases, the income effect will induce Corey (the consumer) to purchase more.
Answer:
The 2012 London Olympic games saw the arrival of thousands of visitors including athletes, spectators and tourists who made use of the hospitality industry such that millions of meals were served and hotel reservation bookings was significantly increased resulting in an increase in business profits
The data from the hotel bookings showed there were up to 30% booking extension which shows the interest in the visitors in extending their stay, more so that London has a lot of attractions which as a result of visiting for the games was showcased alongside which resulted catering and hospitality industry gaining new customers from all over the world.
Explanation:
Answer:
the material handling cost per wall mirror is $500
Explanation:
The computation of the material handling cost per wall mirror is as follows;
= Budgeted material-handling costs ÷ material moves × moves ÷ number of wall mirrors
= $50,000 ÷ 20 × 5 ÷ 25
= $500
Hence, the material handling cost per wall mirror is $500
The same is to be considered