Economists normally assume that the goal of a firm is to
maximize its total revenue
maximize profits
minimize costs
sell as much as possible
In: Economics
In: Accounting
Here is a list of miscellaneous revenue sources received by governments. Categorize them as best as you can as (1) user charge, (2) license tax, (3) franchise fee or (4) Fiscal monopoly, using the standards established in the chapter. Explain your logic. What are the incentive impacts of each one of the revenue sources?
In: Accounting
In a monopolistic competitive firm explain why demand isnt the same to the marginal revenue
In: Economics
Assume a local government has determined they will increase taxes in order to raise revenue to support their capital improvements plan. Contrast and compare the merits of increasing property taxes versus sales taxes. Consider the various forces which effect public budgeting in your response.
In: Finance
"The revenue for a project in year 8 is $38,000 in constant (year-0) dollars. Expenses (not including depreciation) in the same year is $22,000 in constant (year-0) dollars. Depreciation in that same year is $7675. If there were no inflation, the net income for year 8 would be $5078 in constant (year-0) dollars. If the inflation rate is 3%, what is the net cash flow in year 8 in actual dollars? Assume there are no investments or salvage values in this year. Hint: you will need to calculate the tax rate. The answer could be a negative number."
In: Economics
In: Accounting
In a perfectly competitive market, a firm should advertise to where ["the extra revenue from an additional dollar spent on advertising just equals the marginal cost of producing one more unit of the good.", "such that they can begin charging the same prices to all consumers but selling them different quantities.", "they should not advertise at all", "the additional revenue generated by one more dollar of advertising just equals the extra dollar cost of advertising."]
In a monopolized market, a firm should advertise to the point at which ["the extra revenue from an additional dollar spent on advertising just equals the marginal cost of producing one more unit of the good.", "they should not advertise at all", "the additional revenue generated by one more dollar of advertising just equals the extra dollar cost of advertising."]
In a monopolistically competitive market, a firm should advertise to the point at which ["they should not advertise at all", "the additional revenue generated by one more dollar of advertising just equals the extra dollar cost of advertising.", "the extra revenue from an additional dollar spent on advertising just equals the marginal cost of producing one more unit of the good."]
Two common problem that insurers must deal with are ["irrationality", "cost calculations", "asymmetric information", "moral hazards"] , which means that the insured may alter his behavior once approved for insurance, and the even bigger problem of ["costly endeavors", "Moral Hazards", "post existing conditions", "asymmetric information"] , meaning that the potential insured may hide crucial information for his insurability. The 2nd of these was dealt with by the ACA, also known as Obamacare,by way of eliminating the ability to deny due to pre existing conditions and is the biggest problem with the ACA and will potentially (many say absolutely) lead to Death spirals due to the fact that if insured cannot be denied for this they will rationally calculate and ["never buy insurance at all", "only buy insurance after they get sick", "buy insurance once insurable", "buy better insurance plans"]
In: Economics
The revenue cycle affects the bottom line of the business critically. Hence, there are many threats that could derail a successful cycle. Describe 5 threats that may hinder this sequence and its compensating controls for each threat. My question is what are the four PROCESSES for this question? And how does it relate to AIS. I do not need the answer for the threats but i do need the 4 processes.
In: Accounting
What are some reasons it might be more difficult to collect revenue via a tax on financial capital, compared to a tax on property or a tax on labor? Can you draw a relevant graph to explain this question?
In: Finance