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RSB [31]
2 years ago
5

A consumer spends all of her income​(Y) on two goods Z and B.The price of good B ​(PB​) is $6. The Marginal Rate of Transformati

on MRT is equal to −2. That is 2 units of good B can be traded for 1 unit of good Z.This consumer is able to buy 18 units of good Z and 0 units of good B with​ his/her income. What is this​ consumer's level of​ income?
The​ consumer's income is ​$ ( )​(round your answer to the nearest ​penny).
Business
1 answer:
Alex2 years ago
7 0

Answer:

The consumer's income is $216.

Explanation:

A consumer consumes two goods Z and B.  

The price of good B is $6.  

The consumer is consuming 18 units of good Z and 0 units of good B.  

The marginal rate of transformation is the ratio of the price of two goods.  

The marginal rate of transformation is -2.  

MRT = \frac{Pz}{Pb}

2 = \frac{Pz}{6}

Pz = 12

The budget constraint will be  

= 12\ \times\ 18\ +\ 6\ \times\ 0\

= $216

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Mr. Renaldo purchased 30 acres of undeveloped ranch land 10 years ago for $935,000. He is considering subdividing the land into
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2 years ago
For good X, the supply curve is the typical upward-sloping straight line, and the demand curve is the typical downward-sloping s
Pepsi [2]

Answer:

deadwweight loss $2,250

Explanation:

The deadweight loss is the area loss between the new consumer and producer surplus after-taxes and the previous consumer and prodcuer surplus after taxes

As this is a straight line then we have the area of a triangle which height is

P2 - P1 in this case the $15 tax levied

and Q2 - Q1 as the high of the triangle in this case 300 units

We now sovle for the area of the triangle:

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6 0
2 years ago
Vaughn Manufacturing has outstanding 596000 shares of $2 par common stock and 119000 shares of no-par 6% preferred stock with a
natima [27]

Answer: $107,900

Explanation:

Cumulative Preferred Shares refer to shares that a company has to pay dividends eventually. This means that if they are unable to pay for some years, they are to accrue that payment until they are able to.

There are 119000 shares of no-par 6% preferred stock with a stated value of $5.

That means preferred shares are liable to the following amount of dividends,

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= $35,700

Preferred Shares have not being paid for the past 2 years and need to be paid in the current year as well. That means 3 payments,

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2 years ago
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Note, Raising canes ones to expand nationwide, which of course is a monumental task.

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