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Q. Explain about Effect on Distribution cost ?
Production cost is one feature of cost picture the other aspect is distribution cost. Expenditure higher amounts on advertising increase distribution cost in absolutely terms. However the advertising result in reduction in personal selling expenses as buyers are already aware and have thorough knowledge of product and they come to purchase the product at their own therefore lesser personal selling is required. Furthermore this increase in sales per unit selling distribution cost comes down.
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The US government decides to subsidize solar panels. For each unit sold, the government pays $T to the buyer. Using a graph, show how this subsidy affects i) consumer surplus, I
Need some help reversing a calculation using Excel.
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critically analyze mr.vincent''s reasoning
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