Answer:
B. The average is increasing.
Explanation:
Average variables: It is the average change in the input units of production. It is calculated by dividing total amount of changes by total number of unit changed.
Marginal variables: It is change of one unit of input, which cause changes in total units of production. As the marginal variable changes, the average variable also changes as there is changes in total unit of productions.
Hence, if the marginal is greater than the average, the average is increasing.
According to the <em>"Not Too Big Enough" </em>article, some of the <em>sources of </em><em>scale economies</em><em> in the banking and finance industry</em> are as follows:
1. Bigger banks can spread their investment (fixed) costs over more output, thereby <em>reducing the </em><em>cost per unit </em><em>and making it impossible for </em><em>smaller banks </em><em>to compete in the market</em>. Most often, the smaller banks cannot afford investments in modern banking computing power and systems management.
2. Bigger banks can <em>consolidate banking functions</em> with the <em>elimination of redundancies </em>after each merger and acquisition. The cost of redundancies also gives them economies of scale.
3. Bigger banks have access to <em>larger pools of </em>deposits and will not engage in borrowing at higher costs. Smaller banks cannot tow this line because of their small scale, lacking the required funding mix.
4. Finally, advertising works best where a bank has a large geographic spread. The cost of advertising over a large area is worth it, unlike when a small bank markets its services by advertising.
2. These economies of scale mean that Oligopolies are increasing on Wall Street, and there will be further consolidations of smaller banks. Of course, every small bank would like to engage in mergers and acquisitions to grab a share of the scale economies.
Thus, <em>as banks grow large</em>, they should be mindful that enjoying the scale economies comes with the risk of crumbling like the banks regarded as <em>"too big to fail" </em>when they build on a pack of cards.
Learn more: brainly.com/question/3156270
<span>If the comp sold for $199,000 but includes a $3000 porch and the subject has no porch, then we subtract the value of the porch to yield a base for the comparable of $196,000. Then, since the comparable has no pool or chimney, we add these values - $8,000 and $2,000, respectively - to that base value to yield an adjusted value of $196,000 + $8,000 + $2,000 = $206,000.</span>
Answer:
1.Allocated cost
Land 150,000
Building 250,000
Furniture 100,000
Total 500,000
2.Net income cash flow -500,000 IA
Explanation:
1.
Allocated cost
Land =500,000*180,000/600,000=150,000
Building =500,000*300,000/600,000=250,000
Furniture =500,000*120,000/600,000=100,000
Allocated cost
Land 150,000
Building 250,000
Furniture 100,000
Total 500,000
2.
Cash -500,000
Land 150,000
Building 250,000
Furniture 100,000
Net income cash flow -500,000 IA
False because it doesnt invest the stocks
