The answer is (b) Greater,Rise ,toward
Explanation:
Refer to Exhibit 3-17. At a price of $16, the quantity demanded of good X is <u>Greater </u>than the quantity supplied of good X, and economists would use this information to predict that the price of good X would soon <u>Rise</u> .This would push the price <u>Toward</u> the equilibrium price
The law of Demand states that the price and the supply of the product are inversely related (i.e . ceteris Paribus).
Also an increase in the number of buyers of a particular product leads to a shift in the demand curve towards the right side
Answer: $1,000
Explanation:
Given Data;
Total government demand is Q = 800 -10P
marginal cost (Mc) = $50
contracted price (cp) = $70 per unit
Therefore;
Marginal Revenue ( MR ) = Marginal Cost ( MC)
Q = 800 -10P
800 - Q = 10P
Divide through by 10, where Q = 1
800/10 - 1/10 = P
80 - 0.1Q = P
Total Revenue(TR) = PQ
TR = 80 - 0.1Q
MR = MC
where MC = $50
80 - 0.1Q = 50
Collecting like terms
80 - 50 = 0.1Q
30 = 0.1 Q
Divide both side by 0.1
Q = 300
Price would be
P = 80 - 0.1Q
P = 80 - 0.1(300)
P = $50
MC = 40
Producing Q units
Total Cost (TC ) = 40 * ( 300 )
= $12,000
Total profit
= TR - TC
= ( P * Q ) - $12,000
= ( $50 * 300 ) - $12,000
= $15,000 - $12,000
= $3,000
Changes caused by regulations
Contracted price = $70
Quantity = 100Units
TT’ = ( P * Q ) - TC
= ( 70 * 100 ) - ( 50 * 100 )
= $7,000 - $5,000
= $2,000
TT - TT’ = $ ( 3000 - 2000 )
= $1,000
If legislation is passed all profit would reduce by $1,000
Bills accounting profit is
equals to revenue ($250,000) minus explicit (monetary) cost (50,000 and
30,000), while his economic profit is equals to accounting profit minus
implicit (opportunity) cost (3,000 and 100,000). Accounting profit is $170,000
and Economic profit is $67,000.
<span>Economic profit is always lower
than accounting profit because explicit costs and implicit costs are both
deducted to revenue. Implicit costs are cost that he should have earned if he
gives up his present resources. These costs are projected cost and are not yet
incurred.</span>
These are the factors by how it shifts the current demand curve to a new position:
Shifts left
- 2% rebate on a Toyota Camry, a substitute good
- Big sale coming in three months
Shifts right
- Free brake inspections
- Consumers' income increases by 10%
A) Mendez's ethical responsibilities are,
1)Competence
2)Confidentiality
3)Integrity
4)Credibility
B)The responsibilities of mendez if dalton gives her a direct order to book the sales are explained below.
Explanation:
1)
Integrity
Cometence
Credibility
IMA is highly regarded organization for accountants and finance professionals. The following four standard to which the organization holds CMA's accountable are
1)Competence
2)Confidentiality
3)Integrity
4)Credibility
2)
Mendez should refuse to follow dalton's orders and if dalton persists, the incident should be reported to the corporate controller of hester shoe company. Support for the linc managers should be wholehearted, but it should not require unethical conduct.
