The deadweight loss is $90.6.
<h3>How to calculate the loss?</h3>
The study suggested that the average recipient's valuation of the gift received was approximately 90% of the actual purchase price of the gift.
This means there's a loss of 10% in value constitute the deadweight loss.
Average amount spent on gift = $906
Percentage loss in value = 10% or 0.10
Calculate the deadweight loss -
= Average amount spent on gifts * Percentage loss in value
DWL = $906 * 0.10
The deadweight loss would be $90.6.
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A study by university of minnesota economist, joel waldfogel, estimated the difference in the actual monetary value of gifts received and how much the recipients would have been willing to pay to buy them on their own. the study suggested that the average recipient’s valuation was approximately 90% of the actual purchase price.
Calculate the deadweight loss if the average amount is $906.
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One-Product<span> Companies. i belive
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Answer:
The number of Gallon materials Howell company should buy is 166000 Gallons
Explanation:
Finished goods
opening inventory 11000
produced
closing inventory 13000
finished goods sold 42000
using the bottom up approach to get goods produced
sold goods + closing goods - opening goods = produced =44000 goods
Direct material ( Gallons)
opening materials 66000
purchased 166000
available for use 232000
used in production 176000
closing gallons 56000
We use the bottom up approach to get the materials to be purchased
closing stock plus used in production to get available for use then subtract opening material to get purchased = 166000
Answer:
$1.28
Explanation:
The computation of the earning per share is shown below:
As we know that
Earning per share = Net income ÷ Number of shares outstanding
where,
Net income is
Earning before interest and taxes $24,600
Less: Interest
($60,000 × 6%) - $3,600
Income before tax $21,000
Less: tax for 40% - $8,400
Earning after tax $12,600
Less: Preference dividend
(1,500 shares × $5) -$7,500
Income available $5,100
So the earning per share is
= $5,100 ÷ $4,000
= $1.28
