Answer:
a. $80,000
Explanation:
In this question we are only concerned about the net income reported by Dodge on its income statement.
First we need to calculate ownership % in 2012 = 15% + 25% = 40%
Net income of 2012 (Gates) = $ 200000
hence Dodge will report net income of 40% of 200000 = $80000
Hence the correct answer is A
Note: Dividends will not affect the investors net income but it would reduce the investment value of Gate reported by Dodge (as it is seen as a return on investment)
If the LRATC curve is falling, economies of scale are present.
<h3>What is LRATC?</h3>
- A business indicator known as long-run average total cost (LRATC) shows the average cost per unit of output over a lengthy period of time when all inputs are assumed to be erratic and the production scale is flexible.
- The long-run average cost curve displays the long-run total cost of production at the lowest level of output.
- Because businesses can adjust major parts of their operations, like factories, over a lengthy period of time to attain maximum efficiency, long-term unit costs are typically lower than short-term unit costs.
- Identifying the lower boundaries of LRATC is a goal shared by investors and firm management.
- If the LRATC curve is falling, economies of scale are present.
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The answer is Credit card.
Credit card is a small plastic card issued by a bank, business, etc., allowing the holder to purchase goods or services on credit.
If producing each additional unit of good x required giving up ever-increasing amounts of good y, the production possibilities curve between x and y would be bowed outward.
The law of increasing possibility fee: As you increase the manufacturing of 1 appropriate, the opportunity fee to provide the additional precise will boom.
First, understand that opportunity price is the fee of the following-high-quality alternative when a decision is made; it's what's given up.
When the economy grows and all other matters continue to be steady, we are able to produce greater, so this will motivate a shift in the manufacturing opportunities to curve outward, or to the proper.
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