The decision to expand depends on the marginal cost of serving more clients and the marginal revenue he will earn from serving more clients.
<h3>What is marginal cost and marginal revenue?</h3>
Marginal revenue is the change in total revenue when output is increased by one unit. Marginal cost is the change in total cost when consumption is increased by one unit.
Economic theory suggests that output should be increased if the marginal revenue exceeds the marginal cost. If marginal cost is greater than marginal revenue, the business should not be expanded. Profit is maximised when marginal revenue is equal to marginal cost.
To learn more about marginal revenue, please check: brainly.com/question/7781429
Answer:
The correct answer is Barb will earn more interest the second year then Andy.
Explanation:
Bank interest is the money that is obtained or paid for the temporary transfer of capital. Its classification is by remunerative interest, or by default interest. And as for its operation, it is important to mention that the economic amount of interest, to be paid or collected, is given by market rules, since there is no legal limitation on them.
The interest rate will be conditioned by the market itself. For example, the interest we pay to our bank for any loan or credit operation is determined by the market interest rates taken as a reference, for example the Euribor and by the guarantees provided in our loan. A fully secured loan (mortgage for example) is much cheaper than another that has few guarantees.
Answer:
$22,200
Explanation:
Particulars Amount
Cost of Goods Sold $19,400
Ending inventory Finished Goods <u>$2,800</u>
Cost of goods available for sale <u>$22,200</u>
Answer:
the considerate.
Explanation:
The considerate -
According to english language , the meaning of considerate is being very polite , calm and caring.
Hence, from the scenario of the question,
The salespeople need to adapt considerate , i.e. tries to be calm and compose , in order to sell their product , which act as their strategy of selling the product.
Hence,
The correct term is the considerate.
Answer:
A
Explanation:
The formula for calculating future value:
FV = P (1 + r)^n
FV = Future value
P = Present value
R = interest rate
N = number of years
Security A : 11 = 1( 1 + r)^15
11^(1/15) = 1( 1 + r)
1.173 = 1 + r
r = 1.173 - 1
r = 17.33%
Security A : 16 = 1( 1 + r)^15
16^(1/15) = 1( 1 + r)
1.20 = 1 + r
r = 1.2 - 1
r = 0.2
r = 20%
Security B earned a higher average annual rate of return as 20% is greater than 17.33%
