The economy of a small island nation is based on two sectors, agriculture and tourism. Production of a dollar's worth ofagriculture requires an input of $0.39 from agriculture and $0.44 from tourism. Production of a dollar's worth of tourismrequires an input of $0.43 from agriculture and $0.28 from tourism. Find the output from each sector that is needed tosatisfy a final demand of $49 million for agriculture and $39 million for tourism.The output from the agriculture sector is approximately $...million.(Do not round until the final answer. Then round to the nearest million as needed.)

Detailed Solution:1. Setting Up the System of Equations:The problem provides us with two equations…

Answered: The economy of a small island nation is…

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter10: Cost Analysis For Management Decision Making

Section: Chapter Questions

Problem 11P: Emerald Island Company is considering building a manufacturing plant in County Kerry. Predicting...

See similar textbooks

Similar questions

This exercise requires the use of technology. Four sectors of the U.S. economy are (1) livestock and livestock products, (2) other agricultural products, (3) forestry and fishery products, and (4) agricultural, forestry, and fishery services. Suppose that in 1977 the input-output table involving these four sectors was as follows (all figures are in millions of dollars). Determine how these four sectors would react to an increase in demand for livestock (Sector 1) of $2,500 million, how they would react to an increase in demand for other agricultural products (Sector 2) of $2,500 million, and so on. (Round your answers to two decimal places. Let the columns of the matrix be given in millions of dollars.) Need Help? Submit Answer From To 1 Practice It 1 11,937 2 26,649 3 4 Total Output 0 2 9 4,285 0 3 109 20 855 0 4,744 61 439 4 |: 5,423 10,952 3,002 216 97,795 120,594 14,642 47,473
A farmer in Vietnam has 240,000 square metres (m2) of land on which he grows maize, barley, potatoes, and wheat. He is planning his production for the next growing season. The following information is provided relating to the anticipated demand and productive capacity for the next season: Contribution per tonne of output in dollars m² required per tonne of output Estimated sales demand (tonnes) Required area to meet sales demand (m²) Maize $160 80 3000 240 000 Potatoes (ii). Calculate the total contribution based on the mix of crops. $112 32 3000 96 000 Barley $96 24 3000 72 000 Wheat $80 16 3000 48 000 It is not possible in the short run to increase the area of land beyond 240,000m2 for growing the above crops. Required: (i). Advise on the mix of crops that should be produced during the period A
Corn is an essential commodity in a small Central American country and the government intends to impose a tax on rich consumers in order to subsidize the consumption by the poor. The demands of these two groups are defined by P = 105 - qr and P = 50 - qp, respectively. The supply curve is infinitely elastic at P = 20. a. If the government wants to give a subsidy S = 10 for each unit sold to the poor, how much would the government have to spend? 100 400 300 600 None of the options
snip
Please help me to solve this problem
Refer to the investment opportunity for 2025 and calculate the Benefit Cost Ratio (expressed to two decimal places). (Ignore taxes.)
Australia and Italy have 140 and 150 total resources, respectively. Each country produces only two goods, toilet paper and hand sanitizer. Australia can produce each roll of toilet paper for 14 resources and each bottle of hand sanitizer for 19 resources. Italy can produce each roll of toilet paper for 6 resources and each bottle of hand sanitizer for 38 resources. Assume each country would prefer to consume more toilet paper and hand sanitizer than it currently can in an autarky. Also assume that each country can produce fractional units of each good. Between which range of prices of hand sanitizer (in terms of rolls of toilet paper) will there be gains from trade? Select one: a. Between 1.36 and 6.33 b. Between 0.16 and 0.74 C. Between 0.43 and 2.00 d. Between 0.50 and 2.33 e. Between 0.93 and 1.07
Global Reach, Inc., is considering opening a new warehouse to serve the Southwest region. Darnell Moore, controller for Global Reach, has been reading about the advantages of foreign trade zones. He wonders if locating in one would be of benefit to his company, which imports about 90 percent of its merchandise (e.g., chess sets from the Philippines, jewelry from Thailand, pottery from Mexico, etc.). Darnell estimates that the new warehouse will store imported merchandise costing about 16.78 million per year. Inventory shrinkage at the warehouse (due to breakage and mishandling) is about 8 percent of the total. The average tariff rate on these imports is 5.5 percent. Required: 1. If Global Reach locates the warehouse in a foreign trade zone, how much will be saved in tariffs? Why? (Round your answer to the nearest dollar.) 2. Suppose that, on average, the merchandise stays in a Global Reach warehouse for nine months before shipment to retailers. Carrying cost for Global Reach is 6 percent per year. If Global Reach locates the warehouse in a foreign trade zone, how much will be saved in carrying costs? What will the total tariff-related savings be? (Round your answers to the nearest dollar.) 3. Suppose that the shifting economic situation leads to a new tariff rate of 13 percent, and a new carrying cost of 6.5 percent per year. To combat these increases, Global Reach has instituted a total quality program emphasizing reducing shrinkage. The new shrinkage rate is 7 percent. Given this new information, if Global Reach locates the warehouse in a foreign trade zone, how much will be saved in carrying costs? What will the total tariff-related savings be? (Round your answers to the nearest dollar.)
Fertilizer supply is explained by the following equation: ?? = 3,000? where ?? is the supply per year and ? is the price of fertilizer per ton. Demand for fertilizer is explained by: ?? = 500,000 - 20,000? where tons there is a lot of fertilizer demanded every year. The marginal external cost of $ 30 is associated with the production per ton of fertilizer due to pollution associated with fertilizer production. Answer the following questions and explain your answer by showing your work.Competitive market price is $21.74. Tons of fertilizer will be produced per year is 65,217.39. Is the market equilibrium efficient? Explain your answer.d. What is the efficient quantity and output?
Suppose that Kittle Co. is a U.S. based MNC that is considering setting up a subsidiary in Singapore. Kittle would like this subsidiary to produce and sell guitars locally in Singapore, and needs assistance with capital budgeting. The duration of this project is four years, with an initial investment of S$20,000,000 (Singapore dollars). Kittle Co. managers have also provided you with forecasted expense data, including variable cost per unit, total variable cost, annual lease expense, depreciation, as well as other fixed annual overhead expense, over the next four years. The following table shows the forecasted expense data along side the previous forecasts provided by Kittle management. Complete row 9 of the table, filling in the total expense for the project for each of the 4 years. 1. Demand 2. Price per Unit 3. Total Revenue 4. Variable Cost Per Unit 5. Total Variable Cost 6. Annual Lease Expense 7. Other Fixed Annual Expense 8. Noncash Expense (Depreciation) 9. Total Expense Year 0…
Our agriculture industry is incredibly important since it provides our food. Unfortunately, some of the practices currently being used in the industry are not very sustainable from an environmental perspective. As our population grows, and so does our food demand, it is becoming increasingly important that we manage this industry in a sustainable way. Assume a local farmer normally brings in crop revenues of $100,000/year. Erosion causes a 1% loss in yield each year. How does the discount rate affect the farmer's decision of whether or not to utilize erosion control methods?
Davao has a potential foreign customer that has offered to buy 1,500 tons at P450 per ton. Assume that all of Davao’s costs would be at the same levels and rates as last year. What net income after taxes would Davao make if it took this order and rejected some business from regular customers so as not to exceed capacity? Without prejudice to your answers to previous questions, and assume that Davao plans to market its product in a new territory. Davao estimates that an advertising and promotion program costing P61,500 annually would need to be undertaken for the next two or three years. In addition, a P25 per ton sales commission over and above the current commission to the sales force in the new territory would be required. How many tons would have to be sold in the new territory to maintain Davao’s current after-tax income of P94,500? If the sales volume is estimated to be 2,100 tons in the next year, and if the prices and costs stay at the same levels and amounts next year, the…

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Cost Accounting

Accounting

ISBN:

9781305087408

Author:

Edward J. Vanderbeck, Maria R. Mitchell

Publisher:

Cengage Learning

Managerial Accounting

Accounting

ISBN:

9781337912020

Author:

Carl Warren, Ph.d. Cma William B. Tayler

Publisher:

South-Western College Pub

Financial And Managerial Accounting

Accounting

ISBN:

9781337902663

Author:

WARREN, Carl S.

Publisher:

Cengage Learning,

Principles of Cost Accounting

Accounting

ISBN:

9781305087408

Author:

Edward J. Vanderbeck, Maria R. Mitchell

Publisher:

Cengage Learning

Managerial Accounting

Accounting

ISBN:

9781337912020

Author:

Carl Warren, Ph.d. Cma William B. Tayler

Publisher:

South-Western College Pub

Financial And Managerial Accounting

Accounting

ISBN:

9781337902663

Author:

WARREN, Carl S.

Publisher:

Cengage Learning,

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

Cornerstones of Cost Management (Cornerstones Ser…

Accounting

ISBN:

9781305970663

Author:

Don R. Hansen, Maryanne M. Mowen

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS