Answer: a. benefits Boxlandian consumers by $672 and harms Boxlandian producers by $598.50.
Explanation:
Equilibrium price will be at level where quantity demanded equals quantity supplied.
200 − 2P = -60 + 3P
200+60 = 5P
5P = 260
P = $52
Equilibrium Quantity Demanded = 200 − 2P = 200 - 2 * 52 = 96 units
In a no-trade situation the demand in Boxland is 96 units at a price of $52. If they were to buy at the world price of $45, they would benefit;
= (96 * 52) - (96 * 45)
= 4,992 - 4,320
= $672
Producers however would produce the following at a price of $45;
Q S = -60 + 3P
= -60 + 3(45)
= 75 units
They would be supplying less units and be hurt.
Answer:
$45.027 million
Explanation:
The accounting equation shows the relationship between the various elements of the balance sheet. These are the assets, liabilities and equity. It is given as
Assets = Liabilities + Equity
The owner's equity is made up of the common stock and retained earnings (which is the net income less dividend paid over the period).
Equity = $125.989 million - $77.152 million
= $48.837 million
Retained earnings = Equity - Common stock
= $48.837 million - $3.810 million
= $45.027 million
Digby Corporation's retained earnings is $45.027 million
Answer:
d. the complexity of the product.
Explanation:
Marketing can be defined as the process of developing promotional techniques and sales strategies by a firm, so as to enhance the availability of goods and services to meet the needs of the end users or consumers through advertising and market research. The pre-service strategies includes identifying the following target market, design, branding, market research. Thus, it comprises of all the activities such as, identifying, anticipating set of medium and processes for creating, promoting, delivering, and exchanging goods and services that has value for customers. It typically, involves understanding customer needs, building and maintaining healthy relationships with them in order to scale up your business.
Personal selling also known as face-to-face selling can be defined as a sales technique or strategy in which the salesperson meets with the potential buyer (customer) for the sole purpose of convincing him or her to buy a product.
For Michael, personal selling works better than other forms of promotion because of the complexity of the product i.e high technicalities associated with the product. The product Michael are highly technical and as such would require guidance or explanation on how to safely use them.
Answer:
Accounting Profit = $100
Economic profit = $80
Explanation:
Given that
Sales = 10
Cost = $10
The calculation of accounting profit and economic profit is shown below:-
Accounting Profit = Sales × Costs
= 10 × $10
= $100
For calculating accounting profit we simply multiply sales with costs.
Economic profit = Accounting profit - Opportunity cost
= $100 - 2 × $10
= $80
For calculating the economic profit we simply deduct the opportunity cost from accounting profit.
