The table below shows the various levels of a city's pollution cleanup along with the marginal benefit and marginal cost.Pollution CleanupMarginalBenefit(dollars)$500400300200100Quantity ofPollutionCleanup(units)2550100150200MarginalCost(dollars)$100200300400500Instructions: Enter your answers as a whole number.a. Suppose the city decides to undertake a cleanup level of 25 units.The marginal benefit of cleaning up the 25th unit is $The marginal cost of cleaning up the 25th unit is $Since the marginal benefit is [(Click select) the marginal cost, the city should clean up (Click to select)b. Suppose the city decides to undertake a cleanup level of 200 units.The marginal benefit of cleaning up the 200th unit is $The marginal cost of cleaning up the 200th unit is $Since the marginal benefit is (Click to select)c. The optimal level of pollution cleanup isthe marginal cost, the city should clean upunits.(Click to select)pollution.pollution.

The objective of the question is to determine the marginal benefit and marginal cost of cleaning up…

Answered: The table below shows the various…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Subject: acounting
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A new storm drainage system must be constructed right away to reduce periodic flooding that occurs in a city that is in a valley. Five mutually exclusive designs have been proposed, and their present worth (in thousands of dollars) of costs and benefits are the following. Solve, a. Which system has the greatest B–C ratio? b. Which system has the largest incremental B–C ratio(based on differences between alternatives)? c. Which system should be chosen ?
Restoring balance to the nitrogen cycle is one of the challenges facing engineers. Improving the effectiveness and economical use of fertilizer has been identified as an important step in the right direction. Engineers have designed an improved way to transport fertilizer and then to apply it directly at the point where crops are grown. Further development, assessment, and optimization of the necessary equipment is estimated to require $235,000 in year 1, increasing by a gradient of $65,000 in each of years 2, 3, and 4. Then, it will begin to decrease by $75,000 in years 5, 6, 7, and 8. Interest is 14% per year.
If the flood damage estimates for both alternatives were reduced to zero and replaced with benefits of $310,000 per year and $470,000 per year for thetwo alternatives, respectively, the B/C ratio for the Valley alternative is closest to:a. 0.93b. 1.02c. 1.23d. 1.56
Two firms, A and B, each currently dump 50 tonnes of chemicals into the local river. The government has decided to reduce the pollution and from now on will require a pollution permit for each tonne of pollution dumped into the river. The government will sell 40 pollution permits for $75 each. It costs Firm A $100 for each tonne of pollution that it eliminates before it reaches the river, and it costs Firm B $50 for each tonne of pollution that it eliminates before it reaches the river. Between the cost of permits and the cost of eliminating pollution, the likely outcome is Firm A spends and Firm B spends cross out $4000; $3500 cross out O b. $3000; $2500 cross out O c. $3000; $3500 cross out O d. $4000; $2500 cross out O e. $5000; $2500 cross out O f. $5000; $3500
Answer the following questions: 2. The City of Miami is about to replace an old fire truck with a new vehicle in an effort to save maintenance and other operating costs. Which of the following items, all related to the transaction, would be considered in the decision? a. Purchase price of the new vehicle. b. Purchase price of the old vehicle. c. savings in operating costs as a result of the new vehicle. d. Proceeds from disposal of the old vehicle. 3. The book value of the equipment currently owned by a firm is an example of a(n): a. future cost. b. differential cost. c. comparative cost. d. opportunity cost. e. sunk cost. 4. An accounting information system should be designed to provide information that is useful. To be useful the information must be: a. qualitative rather than quantitative. b. unique and unavailable through other sources. c. historical in nature and not purport to predict the future. d. marginal between two…
There are five alternatives for improvement of the local farm to market road. Determine which alternative should be chosen if the highway department is willing to invest money as long as there is a B/C ratio of at least 1.00. Alternatives Annual Benefits Annual Cost 1 900,000 1,000,000 2 1,300,000 1,400,000 3 2,800,000 2,100,000 4 3,300,000 2,700,000 5 4,200,000 3,400,000
Two landfill construction plans are being considered by a planning committee.They are:1) Plan A: Landfill with a groundwater protection system.2) Plan B: Landfill constructed with a geosynthetic liner to minimize leachates from the landfill and protectgroundwater sources.Annual amortized capital costs and risks of failure for the systems are presented in the table below:The cleanup cost, if the groundwater system should fail, is estimated to be $8,000,000.a) Determine the annual social cost of failure of each of the two plans.b) Determine to total cost per year for the two plans.c) If minimum total annual cost is the criterion for selecting a option, what plan should be chosen? Clearly justifyyour choice.
Allocated on the basis of program revenues. The head administrator of Jackson County Senior Services, Judith Miyama, considers last year's net operating income of $33,800 to be unsatisfactory; therefore, she is considering the possibility of discontinuing the housekeeping program. The depreciation in housekeeping is for a small van that is used to carry the housekeepers and their equipment from job to job. If the program were discontinued, the van would be donated to a charitable organization. None of the general administrative overhead would be avoided if the housekeeping program were dropped, but the liability insurance and the salary of the program administrator would be avoided. Required: 1-a. What is the financial advantage (disadvantage) of discontinuing the Housekeeping program? 1-b. Based on the financial advantage (disadvantage) of discontinuing the Housekeeping program calculated in requirement Req 1A, should the Housekeeping program be discontinued? 2-a. Prepare a properly…
Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.

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