Answer: This statement is correct. Maximizing profit refers to short run or long run process by which a businessdetermine the price, input, and output levels that lead to the highest profit possible.
By choosing not to not to pick the apples off their trees and instead let them rot the farmers are in fact maximizing profits as picking them and selling might lead to loss.
Answer:
The percentage by which wage changes from 2000 to 2010 is 2.26 %.
Explanation:
This problem requires us to calculate the wage change from 2000 to 2010 in percent. The wage rate in 2000 and 2010 is given that is 24 dollars (20+4) and 30 (21 + 9). To calculate the rate of change we will use following formula.
Growth Rate = (Present/ past)^ (1/n") -1
" n is period range
(Putting values)
= (30/24)^ (1/10) -1
= 2.26 %
Answer:
1) Real GDP = Base year price X Current year quantity
Real GDP for 2009 using 2009 as base year = 5 X 100 + 40 X 20 = 500 + 800 = 1300
2) Real GDP for 2009 using 2010 as base year = 5.25 X 100 + 24 X 20 = 525 + 480 = 1005
3) Real GDP for 2010 using 2009 as base year = 5 X 110 + 40 X 30 = 550 + 1200 = 1750
4) Real GDP for 2010 using 2010 as base year = 5.25 X 110 + 24 X 30 = 577.5 + 720 = 1297.5
5) GDP growth rate using 2009 as base year = (Real GDP for 2010 - Real GDP for 2009)/Real GDP for 2009 X 100
= (1750 - 1300)/1300 X 100 = 450/13 = 34.61
6) GDP growth rate using 2010 as base year = (1297.5 - 1005)/1005 X 100 = 29.10
7) Arithmetic average of growth rates = (34.61 + 29.10)/2 = 63.71/2 = 31.85
Answer:
$79,100
Explanation:
Straight line depreciation expense = (Cost of asset - Salvage value) / useful life
( $87,000 - $8000) / 20 = $3950
The depreciation expense each year would be $3950
Book value = Cost of asset- accumulated deprecation
At year two accumulated deprecation = $3950 x 2 = $7,900
$87,000 - $7,900 = $79,100
I hope my answer helps you
