Answer:
free market economy
Explanation:
in a free market economy business organisation determine what profitable goods and services to produce and the market determines the price to pay for such goods and services
Answer:
B
Explanation:
We have to consider the opportunity cost of both parties
Opportunity cost is the cost of the next best option forgone when one alternative is chosen over other alternatives.
If Ana chooses to shear, she would be forgoing an income $120
If Shen chooses to shear for 6 hours, she would be forgoing an income ($15 x 6) = 90
Shen has a lower opportunity cost and should shear
Answer:
Ways in which multinational corporations are able to reduce their global exposure to tax liabilities are given below
Explanation:
There are a lot of different ways of reducing global exposure to tax liabilities a multinational corporations can opt for. Some of the ways are mentioned below.
1. Transfer pricing is an strategy for setting a transaction price between the organizations under the same ownership or control.
2. Payments for intangibles is a strategy where no taxes are paid due to the keeping of intellectual property rights.
3. Profit shifting strategy is usually used to avoid large tax rates by transferring the profits to tax haven countries or areas where the tax rate is very low.
4. Corporate debt-equity is a strategy usually used for reducing taxable profits in high tax countries.
5. The Conduit technique is used by the organization to channel their money through a country to assist favorable tax rates.
Benefits
- High transparency and efficiency in all tax-related processes.
- Transaction costs can be minimized.
Answer:
$537,000
Explanation:
Contribution margin is used to determine the profitability of a product. it is price less variable cost
Contribution margin = total sales - variable costs
$ 768,000 - $231.000 = 537,000