When compared to static budgets, flexible budgets:
a. offer managers a more realistic compar...
Business, 27.11.2019 20:31 VanBrocklin8501
When compared to static budgets, flexible budgets:
a. offer managers a more realistic comparison of budgeted and actual revenue and cost items under their control.
b. provide a better understanding of the capacity (volume) variances during the period being evaluated.
c. offer managers a more realistic comparison of budgeted and actual fixed cost items under their control.
d. encourage managers to use less fixed cost items and more variable cost items that are under their control.
Answers: 3
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Business, 22.06.2019 20:40
David consumes two things: gasoline (g) and bread (b). david's utility function is u(g, b) = 10g^0.25 b^0.75. use the lagrange technique to solve for david's optimal choices of gasoline and bread as a function of the price of gasoline, p_g, the price of bread, p_b, and his income m. with recent decrease in the price of gasoline (maybe due to external shock such as shale gas production) does david increase his consumption of gasoline? for david, how does partial differential g/partial differential p_g depend on his income m? that is, how does david's change in gasoline consumption due to an increase in the price of gasoline depend on his income level? to answer these questions, find the cross-partial derivative, |partial differential^2 g/partial differential m partial differential p_g.
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Business, 22.06.2019 22:00
Suppose that with a budget of $110, deborah spends $66 on sushi and $44 on bagels when sushi costs $2 per piece and bagels cost $2 per bagel. but then, the price of bagels falls to $1 per bagel.
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