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bonufazy [111]
2 years ago
5

An investor is looking at two properties, but will only purchase one of them. Each is similar in utility and location, and has a

n annual net operating income of $20,000. One has a listing price of $220,000, while the other is listed at $200,000. The investor purchases the $200,000 property. Which economic principle is demonstrated in this example?
A. Regression
B. Externalities
C. Substitution
D. Contribution
Business
1 answer:
zhenek [66]2 years ago
4 0

Answer:

contribution would be the answer :)

Explanation:

You might be interested in
jameson machinery inc. wants to release their newest equipment in the south american market before other companies in order to e
Natasha_Volkova [10]

Based on the actions of Jameson Machinery Inc, we can infer that they want to benefit from<u> First Mover Advantage. </u>

<u />

First Mover Advantage:

  • Involves being the first company or brand to enter a certain industry
  • Gives the brand a competitive advantage and customer loyalty over other competitors
  • Allows company to perfect services offered

In trying to get to South America first and having their brand established, Jameson hopes to benefit from first mover advantage which would see them have a competitive advantage over competitors that come later.

In conclusion, Jameson hopes to benefit from First-Mover Advantage.

<em />

<em>Find out more at brainly.com/question/14663095. </em>

3 0
3 years ago
Electro Company manufactures an innovative automobile transmission for electric cars. Management predicts that ending finished g
Korolek [52]

Answer:

\left[\begin{array}{ccc}-&Q2&Q3\\Sales&327,000&221,000\\Ending&132,600&153,600\\Beginning&196,200&132,600\\Production&263,400&242,000\\\end{array}\right]

Explanation:

Ending: 60% of nex quearter

q3 221,000 x 60% = 132,600 ending of q2 (therefore beginning of q3

q4  256,000 x 60% = 153,600 ending of q3

begining of q2 is ending of q1 196,200

Production:

sales + desired ending inventory - beginning units

3 0
3 years ago
Borasco Corp. owns land with a fair market value of $200,000. Borasco purchased the land 10 years ago for $65,000 and owes a lia
sleet_krkn [62]

Answer:

$65,000

Explanation:

Borasco was the person who purchased the land for $65,000 in which the land was later transferred to Alvo. Therefore no gain or loss is been recognized in this liquidation because it subsidiary is been liquidated by the parent which is why the basis of land is said to be carryover basis of $65,000 at the end of the transaction.

5 0
3 years ago
Question 2<br>Name and describe the basic functions in a warehouse.​
maks197457 [2]

Answer:

Storage

Explanation:

a psychological process

4 0
3 years ago
Read 2 more answers
Fasetech, Inc. has collected the following data.? (There are no beginning? inventories.)
Dominik [7]

Answer:

The correct answer is C.

Explanation:

Giving the following information:

Units produced= 510 units

Sales price= $150 per unit

Direct materials= $16 per unit

Direct labor= $10 per unit

Variable manufacturing overhead= $10 per unit

Fixed manufacturing overhead= $16,000 per year

Variable selling and administrative costs= $9 per unit

Fixed selling and administrative costs= $10,500 per year

Units sold= 500

Under the absorption costing method, the fixed overhead costs get allocated as a product cost.

Unitary fixed overhead= 16,000/510= $31.37

Total unitary cost= direct material + direct labor + total overhead

TUC= 16 + 10 + (10 + 31.37)= $67.37

Income statement:

Sales= 500*150= 75,000

COGS= 67.37*500= (33,685)

Gross profit= 41,315

Total variable selling and administrative costs= (9*500)= (4,500)

Fixed selling and administrative costs= (10,500)

Net operating profit= 26,315

5 0
3 years ago
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