When selling price is constant and variable costs increases. What will be the effect to the net income? Net income increases Net income decreases Net income remains the same Net income becomes zero
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When selling price is constant and variable costs increases. What will be the effect to the net income?
- Net income increases
- Net income decreases
- Net income remains the same
- Net income becomes zero
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- What is the law of demand? A) As the price of a good increases, its demand decreases B) As the price of a good increases, its demand increases C) Demand remains constant regardless of price changes D) Demand is directly proportional to supply Don't use chatgpt otherwise give 20 downvotes.Henderson Farms reports the following results for the month of November: Sales (10,000 units) Variable costs Contribution margin Fixed costs Net income $600,000 1. 420,000 180,000 110,000 $70,000 Management is considering the following independent courses of action to increase net income. Increase selling price by 5% with no change in total variable costs. 2. Reduce variable costs to 66% of sales. 3. Reduce fixed costs by $10,000.Designated market value : Group of answer choices A)is always the middle value of replacement cost, net realizable value, and net realizable value less a normal profit margin. B)should always be equal to net realizable value. C)may sometimes exceed net realizable value. D)should always be equal to net realizable value less a normal profit margin.
- Which of the following statements is correct? Da. If price equals cost, sellers are earning no profits Ob.lf price equals cost, sellers are earning their opportunity cost Oct price equals cost, economic profits are greater than zero Od lf price equals cost, economic profits are less than zeroWhich of the following performance measures will increase if inventory decreases and all else remains the same? Return on Investment Residual Income A) Yes Yes B) No Yes C) Yes No D) No No Multiple Choice Choice A Choice B Choice C Choice DRefer to the following payoff table (values are profit): State of Nature Alternative S1 S2 A1 75 −40 A2 0 100 Prior Probability 0.6 0.4 What is the expected payoff of the decision strategy (i.e. using the EMV/EP criterion)?
- If the ordering cost triples in an EOQ model, while the remaining values stay constant, how will the EOQ change? How sensitive is the EOQ to variations in demand or costs?Given the demand function D(p) /175 - 3p, Find the Elasticity of Demand at a price of $39 = At this price, we would say the demand is: Elastic Unitary O Inelastic Based on this, to increase revenue we should: Raise Prices Lower Prices Keep Prices UnchangedWhich of the following is not another way of describing the marginal propensity to consume? a. autonomous consumption spending b. the slope of the consumption function c. the amount by which real consumption spending rises when real disposable income increases by one dollar d. MPC e. the change in real consumption spending divided by the change in real disposable income
- Answer the question on the basis of the following marginal utility data for products X and Y. Assume that the prices of X and Y are $4 and $2, respectively, and that the consumer's income is $18. Units of X 1 2 3 4 5 Marginal Utility, X Multiple Choice 20 16 12 8 6 4 4 of X and 5 of Y What quantities of X and Y should be purchased to maximize utility? O 2 of X and 1 of Y O 2 of X and 6 of Y Units of Y 1 2 3 4 5 6 O2 2 of X and 5 of Y Marginal Utility, Y 16 14 12 10 8 6The line that begins at the origin on a CVP graph represents total expenses. total fixed expenses. total sales revenues. both the total expenses and the total sales revenues. Which of the following best describes the concept of a "constraint?" Expected future costs that differ among alternatives. None of the items in this list of answers. A benefit foregone by choosing one alternative course over another. The distribution of all products to be sold.QUESTION 22 This question asks you to compare the Slutsky equations for the consumer's model with monetary income (CM) and for the consumer's model with endowments (CE). Consider the demand for good x and how this demand changes as the price of good x increases O a. In both the CM and the CE models, if x is a normal good, then the demand for good x must decrease O b. In both the CM and the CE models, if x is an inferior good, then the demand for good x must increase Oc Suppose x is a normal good. While in the CM model the demand for good x must decrease, in the CE model the demand for good x may increase if the consumer is a net seller of good x before the change in price Od. Suppose x is a normal good. While in the CM model the demand for good x must decrease, in the CE model the demand for good x may increase if the consumer is a net buyer of good x before the change in price Oe Suppose x is a normal good. While in the CM model the demand for good x must increase, in the CE model the…