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2 years ago

True or false: allocative efficiency is achieved by equalizing consumer surplus and producer surplus

1 answer:

4 0

THE EFFICIENT ALLOCATION OF LIMITED RESOURCES MOSTLY BEING FACTORS OF PRODUCTION TO COMPLETE A TASK. SO ALLOCATION EFFICIENCY PLAYS A VITAL ROLE TO ACHIEVE AND BY EQUALIZING CONSUMER SURPLUS AND PRODUCER SURPLUS . IT IS TRUE THAT ALLOCATION EFFICIENCY IS ACHIEVED BY EQUALIZING CONSUMER SURPLUS AND PRODUCER SURPLUS.

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Equipment costing $40,000 with a salvage value of $8,000 and an estimated life of 8 years has been depreciated using the straigh

kaheart [24]

Answer:

The equipment originally cost 40,000 and has a salvage value of 8,000, which means that the amount that can be depreciated is 32,000. It has a life of 8 years and follows a straight line method so the yearly depreciation would be 32,000/8= 4,000.

The depreciation for the first 2 years is 4000*2= 8,000

So the book value of the asset is 40,000-8000= 32,000

Since according to the new estimate the total life is 5 years, and 2 years have already passed the remaining life of the asset is 3 years. Also since there is no change in salvage value the amount that can be depreciated is 32,000-8,000= 24,000

To find out the deprecation in year 3 we will divide 24,000 by the reaming life which is 3.

24,000/3= 8,000

The depreciation expense in year 3 would have been $8,000

Explanation:

6 0

2 years ago

Kim is the sales representative for a major textbook publisher. When she calls on the business faculty at General University, sh

Juli2301 [7.4K]

Answer:

Users

Explanation:

The users be the ones to use the product, initiate the purchase process, generate purchase specs and evaluate product performance after the purchase.

5 0

2 years ago

Read 2 more answers

If a firm favors a push strategy, using direct selling to educate potential consumers about the features of its products, what k

BigorU [14]

Answer:

industrial products

Explanation:

A company that does this and mostly favors a push strategy is usually selling industrial products. That is because a push strategy focuses on taking the product to the potential customer and showing them how it works as well as how it can benefit them, therefore pushing the product on them. Industrial Products are great for such a strategy since they require actual demonstration and can easily show the potential customer the actual value that the product can provide.

3 0

2 years ago

Bette's Breakfast, a perfectly competitive eatery, sells its "Breakfast Special" (the only item on the menu) for $5.00. The cost

Tamiku [17]

Answer:

Bette's Breakfast should increase the price or change the cost´s structure.

Explanation:

Bette's Breakfast should increase the price to get any profits because the total of the cost of serving that breakfast is higher than the price.

Profit= price* sales -((Variable cost * sales) +Fixed cost)

Other option is changing the structure of cost per meal.

4 0

2 years ago

Read 2 more answers

TH Manufacturers expects to generate cash flows of $129,600 for the next two years. At the end of the two years the business wil

arsen [322]

Answer:

Vo = C1 + C2 + V2

1 + k (1 + K)2

Vo = $129,600 + $129,600 + $3,200,000

1 + 0.14 (1 + 0.14)2

Vo = $113,684.21 + $2,562,019.08

Vo = $2,675,703.29

The correct answer is C

Explanation:

The current value of the business equals cashflow in year 1 divided by 1 + K plus the aggregate of cashflow and sales value in year 2 divided by 1 + k raised to power 2.

7 0

2 years ago