Answer:
are added; will decline eventually
Explanation:
the point of diminishing returns sets in when the optimum capacity has been attained. at this level, increasing production by any extra unit would only bring about little or Fall in output.
if we hold the other factors of production constant/fixed while increasing one input, we will get toa stage where more additions of this input by one unit would only bring about decrease in output or cause output to fall.
therefore in summary this law States that as more increments are added, marginal benefit from increments declines eventually.
Answer:
They should continue production to finished bookcases.
Explanation:
Giving the following information:
Pine Street Inc. makes unfinished bookcases that it sells for $62. Production costs are $36 variable and $10 fixed. Because it has unused capacity, Pine Street is considering finishing the bookcases and selling them for $70. Variable finishing costs are expected to be $6 per unit with no increase in fixed costs.
Unfinished bookcases profit= 62 - 36 - 10= $16
Finished bookcases profit= 70 - 46 - 6= $18
They should continue production to finished bookcases.
Answer:
500 + 0.40q
Explanation:
A publisher prints copies of a popular weekly tabloid for distribution and sale.
Given that,
Fixed costs = $500 per print run
Variable cost = $0.40
Therefore, the cost function is as follows:
Let the number of copies printed be q,
Cost function: C(q) = Fixed cost + Variable cost
= 500 + (0.40 × q)
= 500 + 0.40q
Answer: c. Interest expense and property taxes, other expenses, depreciation expense.
Explanation:
In terms of deductibility, interest expenses such as mortgages take precedence along with taxes on property.
After this comes other expenses starting first with direct expenses incurred in providing Jamison's services then there will be other expenses such as insurance, periodic repairs and admin expenses.
At the bottom of the hierarchy is depreciation expense which is the last expense that can be deducted
Answer:
Cost of goods sold= $410
Explanation:
Giving the following information:
November 1: 5 units for $20 each.
On November 2, they purchased 10 units at $22 each.
On November 6, they purchased 6 units at $25 each.
On November 8, they sold 18 units for $54 each.
The company uses LIFO (last in, first out) as an inventory method.
Cost of goods sold= 6units*25 + 10units* 22 + 2units* 20= $410
