Answer:
The correct answer is option B.
Explanation:
Amortization is a technique used in accounting. It involves the process of spreading payment over multiple periods. In accounting, amortization refers to the allocation of the cost of intangible assets over its lifetime.
For instance, amortization of a loan means spreading the interest and principal of the loan over its lifetime. It means fixed monthly payments of interest and principal.
Answer:
By choosing tire A, the consumer will save $0.006 USD ($0.6 cents) per mile.
Information:
- Saving: 120 gl over 60,000 miles
- Gasoline: $3/gl
Explanation:
Total saving in 60,000 miles = 120gl * $3/gl = $360
Total saving in 1 mile = $360/60,000 = $0,006
Market condition is the correct answer.
Answer:
(d) all costs exclusive of payments to fixed factors of production.
Explanation:
The cost involved in the first three options is considered by economists as accounting cost. Economic cost involves the accounting cost, but it is added to the opportunity cost, which is the remuneration that an economic agent fails to receive for practicing one economic activity and not another.
For example, a business owner has fixed production costs, but it should add to his opportunity cost to be working in that firm rather than another economic activity.
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