please answet this questions??? PLEASE!!!!
2. Pass journal entry for purchase of merchandise with amount of birr 10,000 at cost?
3. List and discuss the four methods that commonly used in assigning cost to inventory and cost of merchandise
Answers
2. Inventory Account Dr. 10,000
Accounts Payable Account Cr. 10,000
3. The four commonly used methods of assigning cost to inventory and cost of merchandise are First-in, First-out (FIFO) method, Last-in, First-out (LIFO) method, Weighted Average method, Specific Identification method.
2. To record the purchase of merchandise with an amount of Birr 10,000 at cost, the following journal entry is made:
Inventory Account Dr. 10,000
Accounts Payable Account Cr. 10,000
This entry records the increase in inventory by debiting the Inventory account and the increase in liability by crediting the Accounts Payable account.
3. The four commonly used methods of assigning cost to inventory and cost of merchandise are:
a) First-in, First-out (FIFO) method: This method assumes that the first items purchased are the first ones sold, and the last items purchased are the ones left in inventory. This method is useful when there is a regular turnover of inventory and prices are rising.
b) Last-in, First-out (LIFO) method: This method assumes that the last items purchased are the first ones sold, and the first items purchased are the ones left in inventory. This method is useful when there is a regular turnover of inventory and prices are falling.
c) Weighted Average method: This method calculates the cost of inventory by dividing the total cost of goods available for sale by the total number of units available for sale. This method is useful when there are frequent price changes.
d) Specific Identification method: This method assigns the actual cost of each item of inventory to the units sold. This method is useful when the inventory consists of unique items with identifiable costs. Each method has its own advantages and disadvantages, and the choice of method depends on the nature of the business and the industry.
For more such questions on Inventory
https://brainly.com/question/29636800
#SPJ11
Related Questions
Which of the following results may be inconsistent with semi-strong form market efficiency? O None of the given options. O Share returns follow a predictable trend after a profit announcement. O Abnormal returns are not detected around profit announcements. O Share prices react instantaneously to profit announcements.
Answers
Option B, "Share returns follow a predictable trend after a profit announcement," may be inconsistent with semi-strong form market efficiency.
Semi-strong form market efficiency implies that all publicly available information is reflected in stock prices, meaning that it is not possible to consistently achieve abnormal returns by trading based on publicly available information. If share returns follow a predictable trend after a profit announcement, it suggests that investors are able to identify a pattern or trend in stock returns following the release of profit information. This would imply that there is some predictability in stock prices based on this specific type of information, which is inconsistent with the notion of semi-strong form efficiency.
Option C, "Abnormal returns are not detected around profit announcements," and option D, "Share prices react instantaneously to profit announcements," are consistent with semi-strong form efficiency. In a semi-strong form efficient market, any abnormal returns around profit announcements would be quickly incorporated into stock prices, and the reaction of share prices to such announcements would be immediate.
Option A, "None of the given options," is not the correct answer, as option B is indeed inconsistent with semi-strong form market efficiency.
Learn more about market efficiency here
https://brainly.com/question/31513643
#SPJ11
The complete question is
Which of the following results may be inconsistent with semi-strong form market efficiency? A. None of the given options. B. Share returns follow a predictable trend after a profit announcement. C. Abnormal returns are not detected around profit announcements. D. Share prices react instantaneously to profit announcements.
A firm has four different investment options. Option A will give the firm $10 million at the end of one year, $10 million at the end of two years, and $10 million at the end of three years. Option B will give the firm $5 million at the end of one year, $10 million at the end of two years, and $15 million at the end of three years. Option C will give the firm $15 million at the end of one year, $10 million at the end of two years, and $5 million at the end of three years. Option D will give the firm $21 million at the end of one year, nothing at the end of two years, and $9 million at the end of three years. Which of these options has the highest present value if the rate of interest is 5 percent
Answers
Answer:
The answer is "Option D".
Explanation:
Using the formula for calculating present value:
\(= \frac{Future \ value}{(1+r)^n}\\\\\)
that's why "Option D" is correct.
Fill in the blank: To effectively tell your business’ story, you need ________________.
a. an interesting history
b. a testimonial from a happy customer
c. a mission with supporting values
d. great products and services
Answers
To effectively tell your business' story, you need a compelling narrative that includes your brand's unique value proposition and mission.
Telling your business' story is essential to building trust and engagement with your target audience. A compelling narrative goes beyond an interesting history or great products and services - it communicates your brand's unique value proposition and mission. This means you should focus on creating a story that is centered around your customers, the problems you solve, and the benefits you provide. In addition, including your mission statement and supporting values will add authenticity and transparency to your narrative, building stronger connections with your audience. Testimonials from happy customers can also be powerful tools to reinforce your brand's story and the benefits you offer.
Learn more about target audience: https://brainly.com/question/31192753
#SPJ11
What is the total of the Penders monthly fixed expenses
Answers
The total of the Penders' monthly fixed expenses is $1,078.00.
How do we calculate the fixed expenses?A fixed expense is an expense whose total amount does not change when there is an increase in an activity such as sales or production.
These fixed expenses are the following:
Rent/Mortgage Loan: $675.00
Car Loan: $278.00
Electricity: $70.00
Heating: $65.00
Phone/Internet/Cable: $95.00
Water: $12.00
Life Insurance: $575.00
Home/Renter's Insurance: $840.00
Car Insurance: $475.00
Gasoline/Oil: $115.00
Real Estate/Property Taxes: $1,215.00
Car Registration: $54.00
Adding all of these fixed expenses together, we get a total of $1,078.00.
Read more about fixed expenses
brainly.com/question/29617511
#SPJ1
HELP ME PLZ i’ll give brainliest Greg owns numerous factories that prepares corn syrup for shipment. His team has packed the syrups in thousands of barrels. Which
type of transportation should he use to send these barrels overseas?
a. shipper
B.
bulk cargo
с.
trains
D.
break bulk cargo
Answers
Answer:
B
Explanation:
If you are interviewed by more than one person, you should send a thank-you note to _____.
each person in the interview
each person you see in the building
the first person you are introduced to
the person who is obviously leading the interview
Answers
Answer:
option A is correct.
i.e.
each person in the interview.
Explanation:
Because thank-you letter provides a simple but effective way to express gratitude to all the individuals you met with.
A flower shop uses software to execute transactions that is ten-years old. It is often slow and ineffective. What type of influence is affecting this business?
external
economic
governmental
internal
Answers
Answer:
Internal
Explanation:
The problem is the flower shop’s software. The flower shop needs to update or buy a different up-to-date software like ASAP.
An appraiser estimates that a property will produce NOI of $25,000 in perpetuity, yo is 11 percent, and the constant annual growth rate in NOI is 2. 0 percent. What is the estimated property value
Answers
Answer: An appraiser estimates that a property will produce NOI of $25,000 in perpetuity, yo is 11 percent, and the constant annual growth rate in NOI is 2.0 percent. What is the estimated property value? $277,778.
Explanation:
PLEASE HELPPPPP due by tomorrow pleaseeee
write a one-page report that details the individual’s job position, education, and career training, current job responsibilities, and what the person enjoys the most about the job position.
Answers
The job description contains sufficient information to describe major responsibilities and essential functions as they exist today. They provide the information necessary to classify the position, not the person; thus they are “incumbent neutral” and not based on any specific quality of an incumbent (such as knowledge, skills, abilities, performance, dedication, loyalty, years of service, or degree). The document should not include every detail of how and what work is performed so that it remains useful even when minor changes occur. Job descriptions can be written as a joint effort between supervisor and employee, but the supervisor must approve.
Put the following volcanic eruptions in order from the smallest to the largest (based on size of eruption and the volume of eruptive deposits): Mt St Helens, Mt Mazama (formed Crater Lake), Yellowstone Mt Mazama (formed Crater Lake), Yellowstone, Mt St Helens Yellowstone, Mt St Helens, Mt Mazama (formed Crater Lake) Mt St Helens, Yellowstone, Mt Mazama (formed Crater Lake)
Answers
The correct order from smallest to largest volcanic eruptions based on the size of eruption and volume of eruptive deposits is: Mt St Helens, Mt Mazama (formed Crater Lake), Yellowstone.
The eruption of Mt St Helens in 1980 was a significant volcanic event, but its size and volume of eruptive deposits were smaller compared to the other two.
Mt Mazama, which eventually formed Crater Lake in Oregon, had a larger eruption than Mt St Helens, but it is still smaller than the eruption of Yellowstone.
Yellowstone is known for one of the largest volcanic eruptions in history, which occurred approximately 640,000 years ago. The eruption of Yellowstone had a tremendous impact, covering vast areas with ash and releasing an enormous volume of eruptive material.
In summary, Mt St Helens had the smallest eruption, followed by Mt Mazama (formed Crater Lake), and the largest eruption was from Yellowstone.
Know more about Volcanic Eruptions here:
https://brainly.com/question/30028532
#SPJ11
First and foremost, the video game industry is a business. It makes billions of dollars every year, and a large part of that money comes from M-rated games. Halo 3, one of those M-rated games, sold $170 million on its first day of release. Somehow, people expect to put a stop to that, just rid the industry of millions of dollars worth of high-quality adult games that are responsible for hundreds or thousands of jobs and are a viable alternative to movies or television aimed at the same audience. What type of argument does this passage utilize
Answers
Answer:
Appeal to logic
Explanation:
Appeal to logic is a type of argument that relies on presentation of facts to convince a target audience.
Logical appeal is made up of claim, evidence, and warrant.
In the given scenario the author claims the video game industry is a business that makes billions of dollars every year.
The evidence he presents is that a a large part of that money comes from M-rated games. For example Halo 3, one of those M-rated games, sold $170 million on its first day of release.
PLEASE HELPP:
Jones, Inc is trying to schedule a holiday party and would like to collect suggestions about the best date and location from their employees. The company has 200 employees on staff. What is the best form of communication to utilize and why?
Answers
Answer:
the best way is phone
Explanation:
becuase to get all of them in a group and tell them all
Plz help me What makes a suspension bridge unique? (What does it have?)
Answers
Answer:
Modern suspension bridges are light and aesthetically pleasing and can span longer distances than any other bridge form. They are also among the most expensive bridges to construct. Though suspension bridges can be made strong enough to support freight trains, they have nearly all been designed for automobile traffic.
The main forces in a suspension bridge are tension in the cables and compression in the towers. ... The use of suspension bridges makes longer main spans achievable than with any other types of bridges, and they are practical for spans up to around 2 km or even larger.Suspension bridges get their name from the fact that the roadway is suspended by cables from two tall towers. Most of the weight is supported by the two towers. They, in turn, pass the compression forces from the cables directly into the ground. Suspension bridges also have smaller cables called suspenders.
The towers of most suspension bridges are made of steel, although a few have been built of steel-reinforced concrete.
Pros of a Suspension Bridge
It can span over long distances. Suspension bridges can span anywhere between 2,000 to 13,000 feet, which is farther than any type of bridge can accommodate. ...
It is inexpensive to build. ...
It is easy to maintain. ...
It is incredibly versatile. ...
It is aesthetically pleasing.
I have attached a model for visuals
Please allow me to know if this helped you by selecting brainly, rating or thank you.
Miss Hawaii
I will mark brainliest.
Who created the music in Netflix’s Wednesday?
Answers
Answer:
Danny Elfman
Explanation:
Hope it helped?
According to Keynesian theory, what is the most important determinant of households' spending on goods and services
A) Autonomous consumption
B) Government spending
C) The price level
D) The interest rate
E) Disposable income
Answers
Describe the population distribution in Guyana
Answers
More than 70 percent of Guyana's coastal population is rural, living on plantations or in villages strung along the coastal road. The villages range in size from several hundred to several thousand inhabitants. The layout of the villages is dictated by the drainage and irrigation systems of the plantations, both active and abandoned. The villages are most heavily concentrated along the estuary of the Demerara River and the eastern environs of Georgetown, near the mouth of the Berbice River close to New Amsterdam, and along the extreme east coast near the Courantyne River.
The pattern of population distribution in Guyana is a product of nineteenth-century economic development, which was based on the cultivation of sugarcane. Because the swampy coast was fertile and sugar production was geared to export, the large sugar estates confined their operations to a narrow coastal strip. Most of the villages had ethnically diverse populations, but usually one ethnic group predominated. The urban population was predominantly African, but it would be misleading to suggest that all Afro-Guyanese were urban. Indeed, the majority of the Afro-Guyanese population was rural. A far greater majority of Indo-Guyanese, however, lived outside the cities. The interior of the country was left mainly to the Amerindians. Even the later exploitation of timber, bauxite, and manganese in the interior failed to effect any sizeable migration.
Identify and explain what are the factors of productions
Answers
Explanation:
The factors of production are resources that are the building blocks of the economy; they are what people use to produce goods and services. Economists divide the factors of production into four categories: land, labor, capital, and entrepreneurship.
1.Capital
2.Entrepreneurship
3.Labour
4.Natural resources
why is channel management important for successful marketing
Answers
Answer:
Explanation:
Because it helps many people in this which is similar to a Marketing.
All of the following are examples of capital except:
a) the factory that produces the costume jewelry you buy.
b) the robot used to help produce your car.
c) an uncut diamond that you discover in your backyard.
d) the classroom in which you learn.
Answers
All of the options listed are examples of capital, except for the classroom in which you learn.(D)
Capital refers to resources that are long term assets and used to produce goods or services in the long run, such as the factory and robot in options A and B. An uncut diamond in your backyard can also be considered capital because of its inherent value, if it is used in the production of jewelry or other products.
However, a classroom is not typically used in the production of goods or services, but rather serves as a location for learning and education.So it is not a capital.
To know more about Capital visit-
https://brainly.com/question/29946431
#SPJ11
Which control standard is stated most effectively?
Multiple Choice
Praise employees more often this month.
Empower employees to make more decisions next year.
Increase sales of our top-end product from 2000 in the first quarter to 3000 during the same period by 2024.
Cut the number of finished product rejects.
Answers
The control standard that is stated most effectively is: Increase sales of our top-end product from 2000 in the first quarter to 3000 during the same period by 2024.
What is meant by the term control standard?This is the term that is used to refer to all of the set standards in an organization that has the ability of taking care of several measures as well as their control and all forms of corrective measures.
It helps in the comparison of the subsequent performance with the performance that used to exist.
Hence we would say that the answer is Increase sales of our top-end product from 2000 in the first quarter to 3000 during the same period by 2024.
Read more on control standard here: https://brainly.com/question/28593978
#SPJ1
In one day Alpha Cabinet Company made 40 cabinets with 320 hours of labor. What was Alpha Cabinet Company's productivity? a. 1/8 cabinet per hour b. 8 hours per cabinet c. 40 cabinets d. None of the above is correct.
Answers
Investment in capital as well as advancements in technology and human capital are major drivers of labour productivity.
Businesses and the government can raise the labour productivity of their employees by making direct investments in or providing incentives for advances in technology and human or physical resources. An economy can generate more goods and services for the same quantity of labour as labour productivity increases. A bigger number of goods and services can subsequently be consumed for a given amount of labour as a result of this enhanced production. The four key factors that determine an individual's productivity are: (1) strategy, or the capacity for planning; (2) focus, or the capacity for concentrating on one activity at a time; and (3) productive task selection.
Learn more about productivity here:
https://brainly.com/question/30333196
#SPJ4
20 points!
Which sentence indicates that Brian has instituted a loyalty program?
(1) Brian runs a juice bar that sells fresh juice products. (2) He hopes customers will drink the juices to stay healthy. (3) He offers a free juice for every customer who buys nine juices. (4) He also advertises the health benefits of fresh juice. (5) He hopes such an advertisement will attract new customers.
Answers
Answer:
So, the correct option is (3) He offers a free juice for every customer who buys nine juices.
Explanation:
A customer loyalty program or rewards program is a marketing strategy that rewards loyal customers that frequently engage with a brand.
So, the correct option is (3) He offers a free juice for every customer who buys nine juices.
Answer:
Offers free juice.....
Explanation:
correct on test
Hi-V produces three types of canned juice drinks, A, B, and C, using fresh strawberries, grapes, and apples. The daily supply is limited to 200 tons of strawberries, 90 tons of grapes, and 150 tons of apples. The cost per ton of strawberries, grapes, and apples is $210,$110, and $100, respectively. Each ton makes 1500lb of strawberry juice, 1200lb of grape juice, and 1000lb of apple juice. Drink A is a 1:1 mix of strawberry and apple juice. Drink B is 1:1:2 mix of strawberry, grape, and apple juice. Drink C is a 2:3 mix of grape and apple juice. All drinks are canned in 16 -oz ( 1lb) cans. The price per can is $1.15,$1.25, and $1.20 for drinks A, B, and C. Develop an LP model to determine the optimal production mix of the three drinks. (only the formulation is required)
Answers
The LP model aims to determine the optimal production mix of drinks A, B, and C using limited supplies of strawberries, grapes, and apples. The objective is to maximize profit while considering the cost of ingredients and the can price per drink.
Let:
x1 = number of cans of Drink A produced
x2 = number of cans of Drink B produced
x3 = number of cans of Drink C produced
The objective is to maximize the profit, which is given by the equation:
Maximize: 1.15x1 + 1.25x2 + 1.20x3
Subject to the following constraints:
Strawberry constraint: 1500lb * x1 + 1500lb * x2 <= 200 tons (converted to lb)
Grape constraint: 1200lb * x2 + 1200lb * x3 <= 90 tons (converted to lb)
Apple constraint: 1000lb * x1 + 1000lb * x2 + 1000lb * x3 <= 150 tons (converted to lb)
Non-negativity constraints:
x1 >= 0, x2 >= 0, x3 >= 0
The LP model aims to maximize the profit by determining the optimal values of x1, x2, and x3 while considering the constraints imposed by the availability of strawberries, grapes, and apples.
The objective function represents the total profit obtained from the production and sale of the drinks, and the constraints ensure that the ingredient usage does not exceed the available supply.
Non-negativity constraints ensure that the production quantities cannot be negative.
Learn more about LP model here:
brainly.com/question/31427876
#SPJ11
Which of the following can result from inflation in the United States?
A. Currency exchange rates remain the same.
b. Investors buy products in other countries.
c. The price of goods in the United States falls.
d. The value of the U.S. dollar increases.
Answers
Answer:
Investors buy products in other countries (B)
Explanation:
Out of all the answers
(A) Currency exchange rates remain the same. No
(B) Investors buy products in other countries. YES
(C) The price of goods in the United States falls. No
(D) The value of the U.S. dollar increases. No
The reason why it is not A, B, or C. When inflation happens the currency exchange rates are lower cause our inflation The Price Of goods doesn't fall it actually rises, and the value of the dollar actually decreases due to inflation. It just makes sense for investors to buy from other countries where they can pay less for what they get here in the United States.
The result from inflation in the United States can investors buy products in other countries. The correct option is (b).
What do you mean by the inflation in USA?A loss of purchasing power over time, or inflation, means that your dollar will not buy as much as it did today. The annual change in prices for a basket of goods and services is commonly used to measure inflation. There are two primary inflation indicators in the US.
According to John Taylor, a Stanford economist, monetary policy is a significant factor in the rise in inflation.
According to Stanford economist John Taylor, inflation increases when the Federal Reserve sets an interest rate that is too low or when the growth of the money supply is too rapid, as it is at the moment.
Uneven price increases during an inflationary period certainly lower some consumers' purchasing power.
Therefore, the result from inflation in the United States can investors buy products in other countries.
To know more about the inflation in USA, visit:
https://brainly.com/question/29702216
#SPJ2
now, you consider which tools to use to create data visualizations that will clearly communicate the results of your analysis. you and your team decide to make both spreadsheet charts and tableau data visualizations. in addition, you build a dashboard to share live, incoming data with your stakeholders. what are the benefits of using dashboards to tell stories about your data? select all that apply.
Answers
The benefits of using dashboards include interactive and real-time data, visual representation, comprehensive data overview, customization and personalization, and efficient communication of data insights.
Interactive and Real-time Data: Dashboards provide a dynamic and interactive way to present data. Stakeholders can explore the data themselves, filter it, drill down into specific details, and see real-time updates. This enables a deeper understanding of the data and allows for more meaningful insights.
Visual Representation: Dashboards utilize visual elements such as charts, graphs, and tables to present data in a visually appealing and easy-to-understand manner. Visual representations make it easier for stakeholders to grasp complex information, identify patterns, and draw conclusions quickly.
Comprehensive Data Overview: Dashboards consolidate multiple data sources into a single view, providing a holistic picture of the data. This allows stakeholders to gain a comprehensive understanding of the key metrics, trends, and relationships within the data.
Customization and Personalization: Dashboards can be customized and tailored to meet the specific needs of different stakeholders. Users can select the metrics, filters, and visualization types that are most relevant to them, allowing for personalized insights and a focused analysis.
Efficient Communication: Dashboards enable efficient and effective communication of data insights. By presenting data in a clear, concise, and visually engaging format, stakeholders can quickly grasp the main findings and make informed decisions based on the information presented.
To know more about dashboards refer to-
https://brainly.com/question/30167060
#SPJ11
Complete Question
Now, you consider which tools to use to create data visualizations that will clearly communicate the results of your analysis. you and your team decide to make both spreadsheet charts and tableau data visualizations. in addition, you build a dashboard to share live, incoming data with your stakeholders. what are the benefits of using dashboards to tell stories about your data?
Please choose from 1 of the following individual
assignments.
1 Ikea,
2 Truckers and transport workers,
3 Amazon.
1-Ikea expects shortages due to supply-chain crisis until
mid-2022
2- Tales from the f
Answers
The analysis of IKEA's condition with regard to supply chain is given summarized as follows -
How is this so?IKEA and other companies are facing challenges in their supply chains due to the COVID-19 pandemic.
Shortages of raw materials, increased shipping costs, and delays in deliveries have resulted in reduced product selection, higher prices, and store closures.
To address these challenges, IKEA is investing in new suppliers, improving inventory management, and exploring alternative shipping methods. Similar challenges are also faced by Walmart, Target, and Costco.
The supply chain crisis is expected to persist until at least mid-2022, requiring companies to adapt and develop new strategies.
Learn more about Supply Chain:
https://brainly.com/question/25160870
#SPJ4
Full question:
See attached
Macrosoft develops, produces, and markets a wide range of computer software, including the Windows operating system. On its recent financial statements, Macrosoft reported the following information about net sales revenue and accounts receivable (amounts in millions).
Current Year Prior
Year
Accounts receivable, net of allowances of $407 and $378 $ 29,224 $ 26,681
Net sales revenue 65,869 64,297
According to its Form 10-K, Macrosoft recorded bad debt expense of $120 and there were no bad debt recoveries during the current year.
Required:
Using the following T-account for Allowance for Doubtful Accounts, what amount of bad debts was written off during the current year?
Using the following T-account for Accounts Receivable (Gross), solve for cash collected from customers for the current year, assuming that all of Macrosoft’s sales during the period were on open account
Answers
The Bad Debt is a debt that cannot be recovered and cannot be collected from a debtor. This is known as writing off bad debt. Bad debts redeemed = $ 90 ; Total end balance = $14,029
The consequences of a write-off
When a creditor forgives a debt, it means that no further payments are required. Furthermore, the balance on credit reference agency reports should be set to zero; the debt will be registered as a default on credit reference agency reports; Bad debts redeemed = $ 90
Total balance = $14,029
1. Bad Debts written off = Prior year Allowance account + Bad Debt Expense – Current year Allowance account
= $ 130 + 100 – 140
= $ 90
2. Accounts receivables (Gross)
Beg Bal [12338 + 130] $12,468
Net Sales revenue $62,220 $90 Written off
$60,569 Cash Collected [12468 + 62220 - 90 - 14029]
End balance [13889 + 140] $14,029
Learn more about cash flows here
https://brainly.com/question/14226178
#SPJ4
Which of these is NOT a main type of transaction?
Group of answer choices
Deposit
Withdrawal
Transfer
Loan
Answers
Which of the follow is NOT a good place to gather and evaluate investment options?
a Social Media
b Newspapers and magazines
c Brokers and advisers
d Company financial reports
Answers
there are two goods: food and luxuries. people must consume x units of food to avoid starving, but do not want to consume more than x units of food. After consuming x units of food, they spend the rest of their money on luxury good.
1.Given income m and price Pf( price for food) and Pl (price for luxury good), how many luxury goods does the person consume?(for simplicity assume that the person is allowed to consume negative quantities of the luxury good.
2.Use the answer to write down an indirect utility function v that represents preferences over combinations of income and prices.
Answers
Calculation of the luxury goods consumed The number of luxury goods that a person can consume after buying x units of food can be calculated by using the following formula.
Luxury good consumed = (Total Income - Price of food (x))/ Price of luxury goods The above formula can be applied if the price of food and luxury good is known along with the total income of the person.
The person will spend all of their income, thus the formula takes the remaining income after buying x units of food to calculate the number of luxury goods consumed.
For example, if the total income is $100, price of food is $10 and price of luxury good is $5. The person buys x= 5 units of food to avoid starving, then the number of luxury goods consumed can be calculated as follows Luxury good consumed = ($100 - ($10 x 5))/ $5= $50/$5= 10 units of luxury good will be consumed
Deriving the indirect utility function Indirect utility function measures the utility of a person based on their income and the prices of the goods. The indirect utility function is given by the formula v(pf, p l ,m)= u(x*,m)where, x* is the optimal bundle of goods that maximizes the person's utility given the prices of the goods and the income of the person .In this case.
To know more about prices visit:
https://brainly.com/question/30781060
#SPJ11