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Answer:
a) 17.5%
Explanation:
The computation of the simple rate of return on the investment is shown below:
Simple rate of return = Annual net income ÷ Initial investment
where,
Annual net income is
= Sales revenue - cash operating expenses - depreciation expenses
= $250,000 - $100,000 - ($400,000 ÷ 5)
= $70,000
And, the initial investment is $400,000
So, the simple rate of return is
= $70,000 ÷ $400,000
= 17.5%
Dividing the annual net income by the initial investment we can get the simple rate of return
Answer:
free rider
False
Explanation:
✓Gilberto loves watching Downton Abbey on his local public TV station, but he never sends any money to support the station during its fundraising drives. Economists would call Gilberto ?
Answer:Free rider
Free rider can be regarded as a kind of market failure, this usually take place whenever people are enjoying the public resources, as well as services expect others to pay but himself doesn't pay or there is underpay.
✓The government cannot solve the problem caused by people like Gilberto?
Answer:TRUE.
The government cannot solve the problem since, it's local public TV station. The only way government can help is to pay and sponsor the show which can be achieved by tax revenue that government is collecting from the public.
✓The private market can solve this problem by asking people to send in $1 every time they watch Downton Abbey.
Answer: FALSE
The suggested ways by which the private market can help is to add "Commercial" into the program show then make people to watch, then through that commercial money will be generated.
Answer: The money spent is worth the boost it gives to the corporate image
Explanation:
Corporate social responsibility gives companies a good image and can help a company improve its brand and revenue.
Since the restaurant chain sponsors a charity that provides support to the parents of children being treated for cancer, the use of the funds of the company will be justified when the money that's spent is worth the boost it gives to the corporate image.
An explanation for the situation when unemployment fell from 7.2 to 7.0 percent and inflation fell from 3.8 to 1.1 percent is that aggregate supply curve shifted to the right
<h3>What is an
aggregate supply?</h3>
An aggregate supply refers to the overall supply of goods and services that is produced within an economy at a price in a period of time.
In conclusion, when productivity increases or the price of key inputs falls, the the aggregate supply curve shifts to the right and makes lower inflation, higher output, lower unemployment possible.
Read more about aggregate supply
<em>brainly.com/question/24457739</em>