Public goods are typically provided by the state because they possess two key characteristics: non-excludability and non-rivalry. Non-excludability means that once the good is provided, it is difficult to exclude anyone from benefiting from it. Non-rivalry means that one person's use of the good does not diminish its availability for others.
Public goods are underprovided in the free market due to the free-rider problem. This occurs when individuals can benefit from the public good without contributing to its provision. Since people have no incentive to pay for something they can enjoy for free, private businesses may not have the motivation to produce public goods.
Therefore, state provision of public goods is necessary to ensure their provision and availability to everyone in society. Governments can use taxation and public funding to finance the production and maintenance of public goods, ensuring that they are accessible to all members of society.
Answer:
Accounting rate of return is = 27.37%
Explanation:
Accounting rate of return = (Average annual after-tax income ) / Average Book value of Equipment )
Accounting Rate of return = ($45731 / $167095) = 27.37%
The Accounting Rate of Return (ARR) of LaGrange Corp, calculated using the average after-tax income and the average book value of the manufacturing equipment, would be approximately 27.35%.
The Accounting Rate of Return (ARR) is a financial metric used mainly for decision-making purposes. It is calculated by dividing the average annual after-tax profit by the average investment in an asset, project, or business. In this case, the question requires us to find the ARR using an average after-tax income of $45,731 and an average book value for the manufacturing equipment of $167,095.
The formula for ARR is: ARR = (Average annual after-tax income / Average investment) x 100
Thus, for LaGrange Corp. the calculation would be:
ARR = ($45,731 / $167,095) x 100
Therefore, the Accounting Rate of Return for LaGrange Corp. based on the given information would be approximately 27.35%.
#SPJ2
The option (c) is correct.
Mortgage loan offers the lowest interest rate.
Further explanation:
Mortgage loan:
Mortgage loan is a type of loan where the asset is used as a collateraland then the loan is disbursed. Mortgage payment remains constant. The issuer of the loan specifies the amount of the mortgage payment and the time interval of the payment. So the amount of mortgage payment remains same for all the installments. The loan is secured by the asset therefore, there is very low risk as the asset can be used in case of default. The low risk nature of the mortgage loan results in the low-interest rate.
Therefore, mortgage loans have a low rate of interest.
Justification for the correct and incorrect options:
a.
Payday loan: This is an incorrect option.
Payday loan has the highest rate of interest.
b.
Car loan: This is an incorrect option.
Car loan has the higher interest rate than mortgage loan,
c.
Mortgage loan: This is the correct option.
Mortgage loans are guaranteed by assets therefore, has the lowest rate of interest.
d.
Credit card: This is an incorrect option.
Credit card charges a high rate of interest on the amount borrowed.
Learn more:
1. Learn more about the collateral loans
2. Learn more about loaning the money
3. Learn more about the mortgage payment
Answer details
Grade: Senior School
Subject: Business Studies
Chapter: Bonds & Debentures
Keywords: loans, typically, offer, lowest, interest rate, payday loan, car, loan, mortgage, credit card.
From the given question the correct answer is option A
As a division of labor increases specialization increases as well.
This supports help to grow as a specialization of labor, for example, allows workers to perfect one task rather than focus on many.
When As workers become more adept at a specialized task, also they become more efficient, and also production increases.
Find out more information about division of labor here:
Answer:
B. Division of labor
Explanation:
ap*x
a:Yes; all of her criteria are aligned with entrepreneurship.
b:Maybe; if she is willing to work in an area other than social justice.
c:Maybe; if she is willing to risk not making $60,000 from her business venture.
d:No; entrepreneurs do not have flexible hours.
Human capital increase throughout a career because related jobs develop skills for a specific field of work. Humans can develop skills and gain knowledge through the field of work and improve these skills, if they have the passion to develop it.
so c
B. Stockholders have no control over the management.
C. Large bank loans become more difficult to obtain.
D. The company faces more government regulations.
The company faces more government regulations is one disadvantage for a company that goes public. Thus, option (d) is correct.
When a firm becomes public, the company has less discretion to take certain actions without board approval and the support of a majority of shareholders.
When promoters drastically diluted their share after going public, this was the worst outcome. A disadvantage of going public is that a lot of the information and financial statistics about the company become public.
Therefore, option (d) is correct.
Learn more about on company, here:
#SPJ6