Answer:
The correct answer is option d.
Explanation:
Unfavorable weather in Florida has adversely affected the production of Florida oranges. The decline in production has led to reduced supply of Florida oranges. This decrease in supply will lead to an increase in the price.
As Florida oranges and California oranges are substitutes, with the increase in the price of Florida oranges will lead to an increase in the demand for California oranges as people will prefer the cheaper substitute.
Answer:
The total amount was $4419.76
Explanation:
The 5% of $4000 is $200 so after a 2 year period added to the amount the original deposit of $4000 then A is the correct and closest equal amount.
Answer: A. Raul could gain access to cheaper raw materials in a foreign country, thus lowering the cost of his input factors.
Explanation:
Being able to produce goods at a lower cost is a good thing for a business because it means that the business can be able to sell at a lower price and therefore get more customers and increase overall profitability.
If Raul could access materials from a foreign company at a cheaper rate, this would be advantageous because his company can produce at a lower price and increase profitability.
Answer:
The insurance cost should be allocated to the products made in January and to those made in February is $8,000 and $7,000 respectively.
Explanation:
For computing the allocated insurance cost, first, we have to compute the per labor rate which is shown below:
Per labor rate = (Annual premium) ÷ (Labor hours)
= ($120,000) ÷ (48,000 hours)
= $2.5
Now the insurance cost would be
For January = Labor rate per hour × number of labor hours\
= 3,200 hours × $2.5
= $8,000
For February = Labor rate per hour × number of labor hours
= 2,800 hours × $2.5
= $7,000