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#cfa-level #economics #microeconomics #reading-13-demand-and-supply-analysis-introduction #study-session-4
Question
Reading 14 covers the theory of the consumer, which addresses the demand for goods and services by individuals who make decisions to [...] they receive from present and future consumption.
Answer
maximize the satisfaction
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Open it
Reading 14 covers the theory of the consumer, which addresses the demand for goods and services by individuals who make decisions to maximize the satisfaction they receive from present and future consumption.Original toplevel document
Study Session 4cribe the marketplace behavior of consumers and firms.
Reading 13 explains the concepts and tools of demand and supply analysis—the study of how buyers and sellers interact to determine transaction prices and quantities.
<span>Reading 14 covers the theory of the consumer, which addresses the demand for goods and services by individuals who make decisions to maximize the satisfaction they receive from present and future consumption.
Reading 15 deals with the theory of the firm, focusing on the supply of goods and services by profit-maximizing firms. That reading provides the basis for understanding the c
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#sister-miriam-joseph #trivium
Question
Logic prescribes how to combine [...] into judgments and judgments into [...] and chains of reasoning so as to achieve truth.
Answer
concepts
syllogisms
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Open itLogic prescribes how to combine concepts into judgments and judgments into syllogisms and chains of reasoning so as to achieve truth.Original toplevel document (pdf)
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#cfa #cfa-level-1 #economics #microeconomics #reading-13-demand-and-supply-analysis-introduction #study-session-4
Question
For normal goods, a rise in income would shift the entire demand curve [...],
Answer
upward and to the right
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Open itFor normal goods, a rise in income would shift the entire demand curve upward and to the right, resulting in an increase in demand. If the good were inferior, however, a rise in income would result in a downward and leftward shift in the entire demand curve.<Original toplevel document
4.3. Income Elasticity of Demand: Normal and Inferior Goods all other things constant” when we plotted the relationship between price and quantity demanded. One of the variables we held constant was consumer income. If income were to change, obviously the whole curve would shift one way or the other. <span>For normal goods, a rise in income would shift the entire demand curve upward and to the right, resulting in an increase in demand. If the good were inferior, however, a rise in income would result in a downward and leftward shift in the entire demand curve.
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Question
The applications of the theory of number include not only music theory but also [...], much of [...] , and other forms of scientific measurement of discrete quantities.
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Open it of number include not only music (here understood as musical principles, like those of harmony, which constitute t he liberal art of music and must be distinguished from applied instrumental music, which is a fine art) but also <span>physics, much of chemistry, and other forms of scientific measurement of discrete quantities. The theory of space includes analytic geometry and trigonometry. Applications of the theory of spaOriginal toplevel document (pdf)
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Question
If own-price elasticity of demand is less than one in absolute value, demand is called [...];
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Open itBased on algebraic sign and magnitude of the various elasticities, goods can be classified into groups. If own-price elasticity of demand is less than one in absolute value, demand is called “inelastic”; it is called “elastic” if own-price elasticity of demand is greater than one in absolute value. Goods with positive income elasticity of demand are called normal goods, and those with Original toplevel document
SUMMARYhe dependent variable to the percentage change in the independent variable of interest. Important specific elasticities include own-price elasticity of demand, income elasticity of demand, and cross-price elasticity of demand.
<span>Based on algebraic sign and magnitude of the various elasticities, goods can be classified into groups. If own-price elasticity of demand is less than one in absolute value, demand is called “inelastic”; it is called “elastic” if own-price elasticity of demand is greater than one in absolute value. Goods with positive income elasticity of demand are called normal goods, and those with negative income elasticity of demand are called inferior goods. Two goods with negative cross-price elasticity of demand—a drop in the price of one good causes an increase in demand for the other good—are called complements. Goods with positive cross-price elasticity of demand—a drop in the price of one good causes a decrease in demand for the other—are called substitutes.
The relationship among own-price elasticity of demand, changes in price, and changes in total expenditure is as follows: If demand is elastic, a reduction in price resul
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Question
Equation (1)
Qdx=f(Px,I,Py,...)
Qdx = the quantity demanded of some good X
Px = [...]
I = [...]
Py = [...]
Answer
Price of good X
consumers’ income
the price of another good, Y.
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Open itEquation (1)
Qdx=f(Px,I,Py,...)
Qdx = the quantity demanded of some good X (e.g. per household demand for gasoline in gallons per week),
P x = Price of good X
I = consumers’ income
P y is the price of another good, Y.
It may be read, “Quantity demanded of good X depends on (is a function of) the price of gOriginal toplevel document
3.1. The Demand Function and the Demand Curve demand function . (In general, a function is a relationship that assigns a unique value to a dependent variable for any given set of values of a group of independent variables.) We represent such a demand function in Equation 1:
<span>Equation (1)
Qdx=f(Px,I,Py,...)
where Qdx represents the quantity demanded of some good X (such as per household demand for gasoline in gallons per week), P x is the price per unit of good X (such as $ per gallon), I is consumers’ income (as in $1,000s per household annually), and P y is the price of another good, Y. (There can be many other goods, not just one, and they can be complements or substitutes.) Equation 1 may be read, “Quantity demanded of good X depends on (is a function of) the price of good X, consumers’ income, the price of good Y, and so on.”
Often, economists use simple linear equations to approximate real-world demand and supply functions in relevant ranges. A hypothetical example of a specific demand function
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Question
the seven fine arts ( architecture, [...], sculpture, painting, literature, [...] , and [...] )
Answer
instrumental music
the dance
the drama
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Open itthe seven fine arts (architecture, instrumental music, sculpture, painting, literature, t he drama, and the dance)Original toplevel document (pdf)
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#matter-and-form #nature-of-language #sister-miriam-joseph #trivium
Question
The form of words is treated in [...]
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Open itThe form of words is their meaning, and it is treated in semantics.Original toplevel document (pdf)
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Question
Horse is the species or class t o which Bucephalus and every other horse belong because the [...] or [...] of horse is common to all horses.
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Open itHorse is the species or class t o which Bucephalus and every other horse belong because t he essence or nature of horse is common to all horses.Original toplevel document (pdf)
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Question
Flower is the [...] to which rose, violet, tulip, and every species of flower belong because the essence or nature of flower is the same in all of them.
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Open itFlower is the genus to which rose, violet, tulip, and every species of flower belong because the essence or nature of flower is the same in all of them.Original toplevel document (pdf)
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Question
A demand curve for bread is derived from the [...] and a [...] representing different prices of bread.
Answer
indifference curve map
set of budget constraints
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Open itA demand curve for bread is derived from the indifference curve map and a set of budget constraints representing different prices of bread.Original toplevel document
6. REVISITING THE CONSUMER’S DEMAND FUNCTIONupper exhibit, we have rotated the budget constraint rightward, indicating successively lower prices of bread, P1B , P2B , P3B , P4B , while holding income constant at I.
Exhibit 15. Deriving a Demand Curve
Note: <span>A demand curve for bread is derived from the indifference curve map and a set of budget constraints representing different prices of bread.
This pair of diagrams deserves careful inspection. Notice first that the vertical axes are not the same. In the upper diagram, we represent the quantity of the other good,
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Question
The following equation represents an individual seller’s supply function:
[...]
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Open itThis concept is captured in the following equation, which represents an individual seller’s supply function:
Equation (7)
Qsx=f(Px,W,…)
where Qsx is the quantity supplied of some good X, such as gasoline, P x is the price per unit of good X, and W is the wage rate of labor in, say, dollars per hour. It wouOriginal toplevel document
3.3. The Supply Function and the Supply Curvethat must be purchased in the labor market. The price of an hour of labor is the wage rate, or W. Hence, we can say that (for any given level of technology) the willingness to supply a good depends on the price of that good and the wage rate. <span>This concept is captured in the following equation, which represents an individual seller’s supply function:
Equation (7)
Qsx=f(Px,W,…)
where Qsx is the quantity supplied of some good X, such as gasoline, P x is the price per unit of good X, and W is the wage rate of labor in, say, dollars per hour. It would be read, “The quantity supplied of good X depends on (is a function of) the price of X (its “own” price), the wage rate paid to labor, etc.”
Just as with the demand function, we can consider a simple hypothetical example of a seller’s supply function. As mentioned earlier, economists often will simplify their an
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Question
The hippocampus can only hold about [...] of information before it must be processed and pushed into short-term memory.
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Open itHere is the big shocker about the hippocampus: It can only hold so much information before it must be processed and pushed into short-term memory. Studies show that the maximum amount is about 20 minutes of information.Original toplevel document
Unknown titler learning products.
The brain structures that are involved in learning include the hippocampus, the amygdala, and the basal ganglia. To design the best learning experiences, we need to understand and respect the neuroscience of learning.
<span>Tip #2: Focus is the starting point of learning
The hippocampus is the part of the brain that takes in information and moves it to our memory. When it's damaged, people lose access to past memories and no longer can make new ones.
The hippocampus acts like a recorder or data drive; like those devices, it has an "on" button. Physiologically, it's when our eyes and ears attune to something that causes the hippocampus to begin recording. Richard Davidson, from the University of Wisconsin, calls this "phase locking" and it's the starting point of all learning.
As a result, we must design our learning environments to help people focus and we must bust the myth that you can multitask while learning. Research has proved that when we divide our attention, our focus switches back and forth between the two activities, also known as switch tasking.
The hippocampus loses vital pieces of information for both of the things we were trying to attend to. I call this "Swiss tasking" because we end up with holes in the data the hippocampus was capturing and, therefore, holes in our learning that cannot be recovered.
Here is the big shocker about the hippocampus: It can only hold so much information before it must be processed and pushed into short-term memory. Studies show that the maximum amount is about 20 minutes of information.
Lecture-style sessions never have demonstrated good results for retention, and now we know why—it works against the brain's natural functioning. The good news is that many other learning activities can help.
All the hippocampus needs is a few minutes of processing to push that data into short-term memory and it's ready again for more. I now build all my learning events in chunks of 15 min
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Question
For example, I could teach you about neuroscience today and you might even have an "aha moment." But if you don't have to [...], it eventually will get dumped from your brain.
Answer
retrieve that learning again
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Open itFor example, I could teach you about neuroscience today. I can activate your schemas and you might even have an "aha moment." But if you don't have to retrieve that learning again, it eventually will get dumped from your brain.Original toplevel document
Unknown titleult. This activates not only those specific memories, but also their individual schemas of change. When I pair this with hands-on activities for leading change effectively, the result is powerful and lasting.
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<span>Tip #4: Aim for three retrievals
One of the biggest insights from brain science has to do with how our memories are made. For conceptual learning, the evidence is clear that it's through the act of retrieval—having to recall something we have learned—that makes learning memorable for the long run.
For example, I could teach you about neuroscience today (reading is certainly one of the ways we learn). I can activate your schemas and you might even have an "aha moment." But if you don't have to retrieve that learning again, it eventually will get dumped from your brain.
Retrieval can occur through a variety of methods such as sharing what you learned with someone else, reflecting on how it relates to a past experience, doing an activity with hands-on application, quizzing yourself on your understanding, and a host of other learning activities. As instructional designers, we can easily build retrievals into our learning events and empower our learners to do that for themselves.
This is what distinguishes great presenters from excellent instructors. Great presenters can create a feel-good experience that activates our schemas and that we thoroughly enjoy. And we will give those presenters or programs high ratings for satisfaction and raving reviews. But if no retrieval occurs, that learning will disappear in the following weeks and months. Sure, people will still say that they loved it, but they won't be able to remember much of what they learned, nor will their behavior change as a result.
Research has shown that it is most effective to get to at least three retrievals. Memory studies have shown that three retrievals yield the best accuracy and retention. Although you can go on to more, the benefit seems to be better at three, so I focus on that number of retrievals in my own learning design. You can certainly build three retrievals into one learning event, but retention will be even more powerful if you add sleep to the mix.
Tip #5: Build in sleep between learning
It turns out that the sleeping brain plays a large role in how long-term memories are formed. While we sleep, the brain pushes information th
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Question
You can certainly build many retrievals into one learning event, but retention will be even more powerful if you add [...]
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Open itYou can certainly build three retrievals into one learning event, but retention will be even more powerful if you add sleep to the mix.Original toplevel document
Unknown titleult. This activates not only those specific memories, but also their individual schemas of change. When I pair this with hands-on activities for leading change effectively, the result is powerful and lasting.
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<span>Tip #4: Aim for three retrievals
One of the biggest insights from brain science has to do with how our memories are made. For conceptual learning, the evidence is clear that it's through the act of retrieval—having to recall something we have learned—that makes learning memorable for the long run.
For example, I could teach you about neuroscience today (reading is certainly one of the ways we learn). I can activate your schemas and you might even have an "aha moment." But if you don't have to retrieve that learning again, it eventually will get dumped from your brain.
Retrieval can occur through a variety of methods such as sharing what you learned with someone else, reflecting on how it relates to a past experience, doing an activity with hands-on application, quizzing yourself on your understanding, and a host of other learning activities. As instructional designers, we can easily build retrievals into our learning events and empower our learners to do that for themselves.
This is what distinguishes great presenters from excellent instructors. Great presenters can create a feel-good experience that activates our schemas and that we thoroughly enjoy. And we will give those presenters or programs high ratings for satisfaction and raving reviews. But if no retrieval occurs, that learning will disappear in the following weeks and months. Sure, people will still say that they loved it, but they won't be able to remember much of what they learned, nor will their behavior change as a result.
Research has shown that it is most effective to get to at least three retrievals. Memory studies have shown that three retrievals yield the best accuracy and retention. Although you can go on to more, the benefit seems to be better at three, so I focus on that number of retrievals in my own learning design. You can certainly build three retrievals into one learning event, but retention will be even more powerful if you add sleep to the mix.
Tip #5: Build in sleep between learning
It turns out that the sleeping brain plays a large role in how long-term memories are formed. While we sleep, the brain pushes information th
Question
Munchery has raised more than [...] in venture capital, and Tran says it’s now the largest single-kitchen pro-ducer of freshly prepared food in the cities where it operates.
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Open itMunchery has served more than 3 million meals since Tran and a friend, Conrad Chu, delivered their first entrees in 2010. The company has raised more than $115 million in venture capital, and Tran says it’s now the largest single-kitchen pro-ducer of freshly prepared food in the cities where it operates.Original toplevel document
How an immigrant motherfucker made muncheryture level. After they’re prepared, the dishes are chilled in refrigerated rooms, packed in compostable boxes, and loaded into cars for delivery. Customers heat them up for about two minutes in a microwave or 10 to 20 in an oven.
<span>Munchery has served more than 3 million meals since Tran and a friend, Conrad Chu, delivered their first entrees in 2010. The company has raised more than $115 million in venture capital, and Tran says it’s now the largest single-kitchen pro-ducer of freshly prepared food in the cities where it operates. He hopes to open in at least 10 more markets in the next few years but is secretive about expansion plans. Like many other startups in the frenzied on-demand economy, Munchery isn’t yet
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Question
There are thus two basic types of profit—[...]
Answer
accounting and economic
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Open itThere are thus two basic types of profit—accounting and economicOriginal toplevel document
2. OBJECTIVES OF THE FIRMhe firm’s efficiency in producing that level of output when utilizing inputs, and resource prices as established by resource markets. TR is a function of output and product price as determined by the firm’s product market.
<span>2.1. Types of Profit Measures
The economics discipline has its own concept of profit, which differs substantially from what accountants consider profit. There are thus two basic types of profit—accounting and economic—and analysts need to be able to interpret each correctly and to understand how they are related to each other. In the theory of the firm, however, profit without further qualification refers to economic profit.
2.1.1. Accounting Profit
Accounting profit is generally defined as net income reported on the income statement according to standards established by private and public financial oversight bodies that determine the rules for financial reporting. One widely accepted definition of accounting profit—also known as net profit, net income, or net earnings—states that it equals revenue less all accounting (or explicit) costs . Accounting or explicit costs are payments to non-owner parties for services or resources that they supply to the firm. Often referred to as the “bottom line” (the last income figure in the income statement), accounting profit is what is left after paying all accounting costs—whether the expense is a cash outlay or not. When accounting profit is negative, it is called an accounting loss . Equation 2 summarizes the concept of accounting profit:
Equation (2)
Accounting profit = Total revenue – Total accounting costs
When defining profit as accounting profit, the TC term in Equation 1 becomes total accounting costs, which include only the explicit costs of doing business. Let us consider two businesses: a start-up company and a publicly traded corporation. Suppose that for the start-up, total revenue in the business’s first year is €3,500,000 and total accounting costs are €3,200,000. Accounting profit is €3,500,000 – €3,200,000 = €300,000. The corresponding calculation for the publicly traded corporation, let us suppose, is $50,000,000 – $48,000,000 = $2,000,000. Note that total accounting costs in either case include interest expense—which represents the return required by suppliers of debt capital—because interest expense is an explicit cost.
2.1.2. Economic Profit and Normal Profit
Economic profit (also known as abnormal profit or supernormal profit ) may be defined broadly as acc
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
(Economic) profitTotal revenue minus total economic cost; (TR – TC)
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Open itrage revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit <span>(Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided bOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
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Question
(Economic) profit = [...] minus [...]
Answer
Total revenue minus total economic cost; (TR – TC)
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Open it(Economic) profitTotal revenue minus total economic cost; (TR – TC)Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
To calculate a marginal term, [...]
Answer
take the change in the total and divide by the change in the quantity number.
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
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Parent (intermediate) annotation
Open itTo calculate a marginal term, take the change in the total and divide by the change in the quantity number.Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITScalculated with respect to the quantity produced and sold in a single period (as opposed to averaging a quantity over a number of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. <span>To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Revenue and cost flows are calculated in terms of [...] [...] and [...]
Answer
total, average, and marginal
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Parent (intermediate) annotation
Open itRevenue and cost flows are calculated in terms of total, average, and marginalOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITS
To fully comprehend the dimensions of profit maximization, one must have a detailed understanding of the revenue and cost variables that determine profit.
Revenue and cost flows are calculated in terms of total, average, and marginal. A total is the summation of all individual components. For example, total cost is the summation of all costs that are incurred by the business. Total revenue is the sum of the revenues
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Total revenue (TR)Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(Pi × Qi)
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Parent (intermediate) annotation
Open itifferent types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue <span>Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) SOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Average revenue (AR)Total revenue divided by quantity; (TR ÷ Q)
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Parent (intermediate) annotation
Open it
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) <span>Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunityOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Marginal revenue (MR)Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q)
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Parent (intermediate) annotation
Open itminus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) <span>Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable costOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Total fixed cost (TFC)Sum of all fixed expenses; here defined to include all opportunity costs
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Parent (intermediate) annotation
Open itor the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs <span>Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Total fixed cost (TFC) are here defined to include [...];
Answer
all opportunity costs
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
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repetition number in this series | 0 | | memorised on | | | scheduled repetition | |
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scheduled repetition interval | | | last repetition or drill | | | | |
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Parent (intermediate) annotation
Open itTotal fixed cost (TFC)Sum of all fixed expenses; here defined to include all opportunity costsOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Marginal revenue (MR)[...]
Answer
Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q)
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
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repetition number in this series | 0 | | memorised on | | | scheduled repetition | |
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scheduled repetition interval | | | last repetition or drill | | | | |
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Parent (intermediate) annotation
Open itMarginal revenue (MR)Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q)Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Average revenue (AR)[...]
Answer
Total revenue divided by quantity; (TR ÷ Q)
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
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repetition number in this series | 0 | | memorised on | | | scheduled repetition | |
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scheduled repetition interval | | | last repetition or drill | | | | |
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Parent (intermediate) annotation
Open itAverage revenue (AR)Total revenue divided by quantity; (TR ÷ Q)Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Total revenue (TR)[...] or [...]
Answer
Price times quantity (P × Q),
the sum of individual units sold times their respective prices; ∑(Pi × Qi)
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
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repetition number in this series | 0 | | memorised on | | | scheduled repetition | |
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scheduled repetition interval | | | last repetition or drill | | | | |
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Parent (intermediate) annotation
Open itTotal revenue (TR)Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i )Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Total variable cost (TVC)Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q)
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Parent (intermediate) annotation
Open ite (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs <span>Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variabOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Total costs (TC)Total fixed cost plus total variable cost; (TFC + TVC)
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Parent (intermediate) annotation
Open itn quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) <span>Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total coOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Average fixed cost (AFC)Total fixed cost divided by quantity; (TFC ÷ Q)
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last reprioritisation on | | | suggested re-reading day | |
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started reading on | | | finished reading on | |
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Parent (intermediate) annotation
Open itxpenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) <span>Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) ChangeOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Average variable cost (AVC)Total variable cost divided by quantity; (TVC ÷ Q)
|
status | not read | | reprioritisations | |
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last reprioritisation on | | | suggested re-reading day | |
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started reading on | | | finished reading on | |
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Parent (intermediate) annotation
Open itt (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) <span>Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q<span><body></hOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Average total cost (ATC)Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC)
|
status | not read | | reprioritisations | |
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last reprioritisation on | | | suggested re-reading day | |
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started reading on | | | finished reading on | |
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Parent (intermediate) annotation
Open it (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) <span>Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q<span><body><html>Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Marginal cost (MC)Change in total cost divided by change in quantity; (∆TC ÷ ∆Q
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status | not read | | reprioritisations | |
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last reprioritisation on | | | suggested re-reading day | |
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started reading on | | | finished reading on | |
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Parent (intermediate) annotation
Open itFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) <span>Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q<span><body><html>Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Total variable cost (TVC)[...], or [...]
Answer
Sum of all variable expenses
per unit variable cost times quantity; (per unit VC × Q)
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
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repetition number in this series | 0 | | memorised on | | | scheduled repetition | |
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scheduled repetition interval | | | last repetition or drill | | | | |
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Parent (intermediate) annotation
Open itTotal variable cost (TVC)Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q)Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Total costs (TC)[...]
Answer
Total fixed cost plus total variable cost; (TFC + TVC)
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
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repetition number in this series | 0 | | memorised on | | | scheduled repetition | |
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scheduled repetition interval | | | last repetition or drill | | | | |
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Parent (intermediate) annotation
Open itTotal costs (TC)Total fixed cost plus total variable cost; (TFC + TVC)Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Average fixed cost (AFC)[...]
Answer
Total fixed cost divided by quantity; (TFC ÷ Q)
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
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repetition number in this series | 0 | | memorised on | | | scheduled repetition | |
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scheduled repetition interval | | | last repetition or drill | | | | |
---|
Parent (intermediate) annotation
Open itAverage fixed cost (AFC)Total fixed cost divided by quantity; (TFC ÷ Q)Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Average variable cost (AVC)[...]
Answer
Total variable cost divided by quantity; (TVC ÷ Q)
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
---|
repetition number in this series | 0 | | memorised on | | | scheduled repetition | |
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scheduled repetition interval | | | last repetition or drill | | | | |
---|
Parent (intermediate) annotation
Open itAverage variable cost (AVC)Total variable cost divided by quantity; (TVC ÷ Q)Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Average total cost (ATC)[...]
Answer
Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC)
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
---|
repetition number in this series | 0 | | memorised on | | | scheduled repetition | |
---|
scheduled repetition interval | | | last repetition or drill | | | | |
---|
Parent (intermediate) annotation
Open itAverage total cost (ATC)Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC)Original toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Tags
#cfa-level-1 #economics #microeconomics #reading-15-demand-and-supply-analysis-the-firm #section-3-analysis-of-revenue-costs-and-profit #study-session-4
Question
Marginal cost (MC)[...]
Answer
Change in total cost divided by change in quantity; (∆TC ÷ ∆Q
status | not learned | | measured difficulty | 37% [default] | | last interval [days] | |
---|
repetition number in this series | 0 | | memorised on | | | scheduled repetition | |
---|
scheduled repetition interval | | | last repetition or drill | | | | |
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Parent (intermediate) annotation
Open itMarginal cost (MC)Change in total cost divided by change in quantity; (∆TC ÷ ∆QOriginal toplevel document
3. ANALYSIS OF REVENUE, COSTS, AND PROFITSumber of time periods). For example, average revenue is calculated by dividing total revenue by the number of items sold. To calculate a marginal term, take the change in the total and divide by the change in the quantity number.
<span>Exhibit 3 shows a summary of the terminology and formulas pertaining to profit maximization, where profit is defined as total revenue minus total economic costs. Note that the definition of profit is the economic version, which recognizes that the implicit opportunity costs of equity capital, in addition to explicit accounting costs, are economic costs. The first main category consists of terms pertaining to the revenue side of the profit equation: total revenue, average revenue, and marginal revenue. Cost terms follow with an overview of the different types of costs—total, average, and marginal.
Exhibit 3. Summary of Profit, Revenue, and Cost Terms
Term Calculation Profit (Economic) profit Total revenue minus total economic cost; (TR – TC) Revenue Total revenue (TR) Price times quantity (P × Q), or the sum of individual units sold times their respective prices; ∑(P i × Q i ) Average revenue (AR) Total revenue divided by quantity; (TR ÷ Q) Marginal revenue (MR) Change in total revenue divided by change in quantity; (∆TR ÷ ∆Q) Costs Total fixed cost (TFC) Sum of all fixed expenses; here defined to include all opportunity costs Total variable cost (TVC) Sum of all variable expenses, or per unit variable cost times quantity; (per unit VC × Q) Total costs (TC) Total fixed cost plus total variable cost; (TFC + TVC) Average fixed cost (AFC) Total fixed cost divided by quantity; (TFC ÷ Q) Average variable cost (AVC) Total variable cost divided by quantity; (TVC ÷ Q) Average total cost (ATC) Total cost divided by quantity; (TC ÷ Q) or (AFC + AVC) Marginal cost (MC) Change in total cost divided by change in quantity; (∆TC ÷ ∆Q)
3.1. Profit Maximization
In free markets—and even in regulated market economies—profit maximization tends to promote economic welfare and a hig
Article 1435809746188Prevén mayor inflación por gasolinazo#27-dic-2016 #mural #noticias
Un incremento en los precios de la gasolina de entre 15 y 20 por ciento podría tener un efecto de crecimiento en la inflación de hasta 1.2 puntos porcentuales, según la Escuela de Negocios del Tec de Monterrey, campus Santa Fe.
"No se nos olvide que todos se transportan y también se transportan las mercancías: alimentos, electrodomésticos, consumibles y a eso se suman los pasajeros", explicó Raymundo Tenorio, director de las carreras de Economía de ese centro.
En la primera quincena de diciembre, la tasa de inflación anual se ubicó en 3.48 por ciento.
Para el consumidor esto tendrá un impacto directo en su gasto, es decir, con el incremento la proporción del ingreso destinado a transporte tendrá un aumento proporcional y a medida que se ajusten los precios de producción también habrá un incremento.
Por nivel de ingreso, según estimó Tenorio, la mayor afectación será para quienes estén en el decil cuatro hacia arriba (ingreso corriente promedio trimestral a partir de 20 mil 675 pesos por ho
#27-dic-2016 #mural #noticias
Un incremento en los precios de la gasolina de entre 15 y 20 por ciento podría tener un efecto de crecimiento en la inflación de hasta 1.2 puntos porcentuales, según la Escuela de Negocios del Tec de Monterrey, campus Santa Fe.
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Prevén mayor inflación por gasolinazoUn incremento en los precios de la gasolina de entre 15 y 20 por ciento podría tener un efecto de crecimiento en la inflación de hasta 1.2 puntos porcentuales, según la Escuela de Negocios del Tec de Monterrey, campus Santa Fe.
"No se nos olvide que todos se transportan y también se transportan las mercancías: alimentos, electrodomésticos, consumibles y a eso se suman los pasajeros", exp
#27-dic-2016 #mural #noticias
En la primera quincena de diciembre, la tasa de inflación anual se ubicó en 3.48 por ciento.
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Prevén mayor inflación por gasolinazolvide que todos se transportan y también se transportan las mercancías: alimentos, electrodomésticos, consumibles y a eso se suman los pasajeros", explicó Raymundo Tenorio, director de las carreras de Economía de ese centro.
<span>En la primera quincena de diciembre, la tasa de inflación anual se ubicó en 3.48 por ciento.
Para el consumidor esto tendrá un impacto directo en su gasto, es decir, con el incremento la proporción del ingreso destinado a transporte tendrá un aumento proporcional y
#27-dic-2016 #mural #noticias
la gasolina se grava con varios impuestos.
El primero es el Impuesto Especial sobre Productos y Servicios (IEPS), que tiene una cuota fija de 4.16 pesos, luego el IVA, que se cobra sobre el precio final de la gasolina y ese incrementa según el tamaño de la venta, y finalmente los derechos que se cobran según el estado.
"El componente de impuestos IEPS, IVA y derechos corresponde a 44 por ciento del precio del litro de la gasolina", puntualizó Tenorio.
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Prevén mayor inflación por gasolinazoos y por lo tanto demandan combustible. Asimismo, no es muy competitivo adquirir productos del exterior debido a la diferencia actual entre el peso y el dólar.
Este incremento beneficiará a la recaudación tributaria, debido a que <span>la gasolina se grava con varios impuestos.
El primero es el Impuesto Especial sobre Productos y Servicios (IEPS), que tiene una cuota fija de 4.16 pesos, luego el IVA, que se cobra sobre el precio final de la gasolina y ese incrementa según el tamaño de la venta, y finalmente los derechos que se cobran según el estado.
"El componente de impuestos IEPS, IVA y derechos corresponde a 44 por ciento del precio del litro de la gasolina", puntualizó Tenorio.
<span><body><html>
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#cfa #cfa-level-1 #economics #microeconomics #reading-14-demand-and-supply-analysis-consumer-demand #section-3-utility-theory #study-session-4
Question
A model is a [...] of the real world phenomena we are trying to understand.
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Open itA model is a simplification of the real world phenomena we are trying to understand.Original toplevel document
3. UTILITY THEORY: MODELING PREFERENCES AND TASTESon, especially in cases of many complex options being offered to them.
When we state these axioms, we are not saying that we believe them actually to be true in every instance, but we assume them for the sake of building a model. <span>A model is a simplification of the real world phenomena we are trying to understand. Necessarily, axioms must be at some level inaccurate and incomplete representations of the phenomena we are trying to model. If that were not the case, the “model” would not be a simpli
Tags
#cfa #cfa-level-1 #economics #microeconomics #reading-14-demand-and-supply-analysis-consumer-demand #section-3-utility-theory #study-session-4
Question
The MRSBW is the rate at which the consumer is willing to give up wine to obtain a small increment of bread while holding [...]
Answer
holding utility constant (i.e., movement along an indifference curve).
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Open itThe MRS BW is the rate at which the consumer is willing to give up wine to obtain a small increment of bread, holding utility constant (i.e., movement along an indifference curve).Original toplevel document
3. UTILITY THEORY: MODELING PREFERENCES AND TASTESin Exhibit 2 is characteristically drawn to be convex when viewed from the origin. This indicates that the willingness to give up wine to obtain a little more bread diminishes the more bread and the less wine the bundle contains.
<span>We capture this willingness to give up one good to obtain a little more of the other in the phrase marginal rate of substitution of bread for wine, MRS BW . The MRS BW is the rate at which the consumer is willing to give up wine to obtain a small increment of bread, holding utility constant (i.e., movement along an indifference curve). Notice that the convexity implies that at a bundle like a′′, which contains rather a lot of wine and not much bread, the consumer would be willing to give up a considerable amount of wi
Tags
#cfa #cfa-level-1 #economics #microeconomics #reading-14-demand-and-supply-analysis-consumer-demand #section-3-utility-theory #study-session-4
Question
Because of the completeness assumption, there will be one indifference curve [...]
Answer
passing through every point in the set.
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Open itBecause of the completeness assumption, there will be one indifference curve passing through every point in the set.Original toplevel document
3. UTILITY THEORY: MODELING PREFERENCES AND TASTES in Exhibit 3.
Exhibit 3. An Indifference Curve Map
Note: The indifference curve map represents the consumer’s utility function. Any curve above and to the right represents a higher level of utility.
<span>Because of the completeness assumption, there will be one indifference curve passing through every point in the set. Because of the transitivity assumption, no two indifference curves for a given consumer can ever cross. Exhibit 4 shows why. If bundle a and bundle b lie on the same indifference curve,
Tags
#cfa #cfa-level-1 #economics #has-images #microeconomics #reading-14-demand-and-supply-analysis-consumer-demand #section-3-utility-theory #study-session-4
Question
indifference curves will generally be [...] and [...] , and they cannot cross. These are the only restrictions we place on indifference curve maps.
Answer
strictly convex
negatively sloped
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Open itindifference curves will generally be strictly convex and negatively sloped, and they cannot cross. These are the only restrictions we place on indifference curve maps.Original toplevel document
Indifference curves cannot touchhe same indifference curve, she must be indifferent between these two bundles as well. But because bundle c contains more of both wine and bread than bundle b, she must prefer c to b, which violates transitivity of preferences. So we see that <span>indifference curves will generally be strictly convex and negatively sloped, and they cannot cross. These are the only restrictions we place on indifference curve maps.<span><body><html>
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#sister-miriam-joseph #trivium
Question
[...]: a system of symbols for expressing our thoughts, volitions, and emotions
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Open itLanguage: a system of symbols for expressing our thoughts, volitions, and emotionsOriginal toplevel document (pdf)
cannot see any pdfs
Tags
#italian #italian-grammar
Question
(present, past) Verbs normally have a [...] and a [...] .
Answer
present participle
past participle
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Open it(present, past) Verbs normally have a present participle and a past participle. Unlike other (finite) verb forms, the participle cannot be used on its own but is found together with other verb forms. The past participle is used with the verb Original toplevel document (pdf)
cannot see any pdfs
Tags
#italian #italian-grammar
Question
Unlike other (finite) verb forms, the participle cannot be [...] but is found [...]
Answer
used on its own
together with other verb forms.
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Open it(present, past) Verbs normally have a present participle and a past participle. Unlike other (finite) verb forms, the participle cannot be used on its own but is found together with other verb forms. The past participle is used with the verb avere or essere to form the passato prossimo tense: non abbiamo mangiatoOriginal toplevel document (pdf)
cannot see any pdfs
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#27-dic-2016 #mural #noticias
Question
En la primera quincena de diciembre, la tasa de inflación anual se ubicó en [...] por ciento.
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Open itEn la primera quincena de diciembre, la tasa de inflación anual se ubicó en 3.48 por ciento.Original toplevel document
Prevén mayor inflación por gasolinazolvide que todos se transportan y también se transportan las mercancías: alimentos, electrodomésticos, consumibles y a eso se suman los pasajeros", explicó Raymundo Tenorio, director de las carreras de Economía de ese centro.
<span>En la primera quincena de diciembre, la tasa de inflación anual se ubicó en 3.48 por ciento.
Para el consumidor esto tendrá un impacto directo en su gasto, es decir, con el incremento la proporción del ingreso destinado a transporte tendrá un aumento proporcional y
Tags
#italian #italian-grammar
Question
The [...] is used with the verb avere or essere to form the passato prossimo tense: non abbiamo mangiato gli hamburgers ‘we didn’t eat hamburgers’.
Answer
past participle
When used with essere, it agrees with the subject: nel 2004 siamo andati a Los Angeles ‘in 2004 we went to Los Angeles’.
The present participle, less frequently used, changes form when used as an adjective i . . . cantanti.
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Open it(present, past) Verbs normally have a present participle and a past participle. Unlike other (finite) verb forms, the participle cannot be used on its own but is found together with other verb forms. The past participle is used with the verb avere or essere to form the passato prossimo tense: non abbiamo mangiato gli hamburgers ‘we didn’t eat hamburgers’. When used with essere, it agrees with the subjeOriginal toplevel document (pdf)
cannot see any pdfs
Article 1435877903628Precios de gasolinas subirán hasta 20% a partir de enero#28-dic-2016 #el-financiero #noticias
Los precios máximos de los combustibles por región marcan incrementos de 14.2% para la Magna, de 20.1% para la Premium, y de 16.5% del diésel. Pese a esto, autoridades señalan que se mantendrá abajo del promedio mundial.
La Secretaría de Hacienda anunció un incremento de hasta más de 20 por ciento a los precios máximos regionales para la gasolina, que estarán vigentes del 1 de enero al 3 de febrero de 2017.
En un comunicado, aseguró que el país estará dividido en 83 regiones y siete más en la frontera norte, en las cuales habrán precios máximos que serán modificados el 4 y 11 de febrero, para que el día 18 de ese mes comiencen a cambiar cada hora.
Así, el precio promedio máximo en el país de la gasolina Magna será de 15.99 pesos por litro, de la Premium 17.79 pesos por litro y de 17.05 pesos para el litro de diésel.
“Estos precios máximos representan incrementos para las gasolinas Magna, Premium y el diésel de 14.2 por ciento, 20.1 por ciento y 16.5 por ciento respectivamente, con respecto al
#28-dic-2016 #el-financiero #noticias
Los precios máximos de los combustibles por región marcan incrementos de 14.2% para la Magna, de 20.1% para la Premium, y de 16.5% del diésel. Pese a esto, autoridades señalan que se mantendrá abajo del promedio mundial.
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Precios de gasolinas subirán hasta 20% a partir de eneroLos precios máximos de los combustibles por región marcan incrementos de 14.2% para la Magna, de 20.1% para la Premium, y de 16.5% del diésel. Pese a esto, autoridades señalan que se mantendrá abajo del promedio mundial.
La Secretaría de Hacienda anunció un incremento de hasta más de 20 por ciento a los precios máximos regionales para la gasolina, que estarán vigentes del 1 de enero al
#28-dic-2016 #el-financiero #noticias
“El incremento responde al aumento en los precios internacionales de los combustibles y no implica ninguna modificación o creación de impuestos”
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Precios de gasolinas subirán hasta 20% a partir de eneror ciento respectivamente, con respecto al precio máximo observado en diciembre de 2016”, dijo Hacienda.
Sin embargo, contra enero de este año los incrementos se disparan a 21.5, 27.2 y 23.8 por ciento, en el mismo orden.
<span>“El incremento responde al aumento en los precios internacionales de los combustibles y no implica ninguna modificación o creación de impuestos”, detalló.
DE LOS MÁS BAJOS
Aún con el aumento, el promedio a nivel nacional que se pagará por un litro de combustible está por debajo de la media mundial que es de 22.38
Tags
#28-dic-2016 #el-financiero #noticias
Question
“El incremento responde al aumento en [...] de los combustibles y no implica ninguna modificación o creación de impuestos”
Answer
los precios internacionales
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Open it“El incremento responde al aumento en los precios internacionales de los combustibles y no implica ninguna modificación o creación de impuestos”Original toplevel document
Precios de gasolinas subirán hasta 20% a partir de eneror ciento respectivamente, con respecto al precio máximo observado en diciembre de 2016”, dijo Hacienda.
Sin embargo, contra enero de este año los incrementos se disparan a 21.5, 27.2 y 23.8 por ciento, en el mismo orden.
<span>“El incremento responde al aumento en los precios internacionales de los combustibles y no implica ninguna modificación o creación de impuestos”, detalló.
DE LOS MÁS BAJOS
Aún con el aumento, el promedio a nivel nacional que se pagará por un litro de combustible está por debajo de la media mundial que es de 22.38
Tags
#28-dic-2016 #el-financiero #noticias
Question
Los precios máximos de los combustibles por región marcan incrementos de [...] para la Magna, de 20.1% para la Premium, y de 16.5% del diésel. Pese a esto, autoridades señalan que se mantendrá abajo del promedio mundial.
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Open itLos precios máximos de los combustibles por región marcan incrementos de 14.2% para la Magna, de 20.1% para la Premium, y de 16.5% del diésel. Pese a esto, autoridades señalan que se mantendrá abajo del promedio mundial.Original toplevel document
Precios de gasolinas subirán hasta 20% a partir de eneroLos precios máximos de los combustibles por región marcan incrementos de 14.2% para la Magna, de 20.1% para la Premium, y de 16.5% del diésel. Pese a esto, autoridades señalan que se mantendrá abajo del promedio mundial.
La Secretaría de Hacienda anunció un incremento de hasta más de 20 por ciento a los precios máximos regionales para la gasolina, que estarán vigentes del 1 de enero al
Tags
#28-dic-2016 #el-financiero #noticias
Question
Los precios máximos de los combustibles por región marcan incrementos de 14.2% para la Magna, de [...] para la Premium, y de 16.5% del diésel. Pese a esto, autoridades señalan que se mantendrá abajo del promedio mundial.
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Open itLos precios máximos de los combustibles por región marcan incrementos de 14.2% para la Magna, de 20.1% para la Premium, y de 16.5% del diésel. Pese a esto, autoridades señalan que se mantendrá abajo del promedio mundial.Original toplevel document
Precios de gasolinas subirán hasta 20% a partir de eneroLos precios máximos de los combustibles por región marcan incrementos de 14.2% para la Magna, de 20.1% para la Premium, y de 16.5% del diésel. Pese a esto, autoridades señalan que se mantendrá abajo del promedio mundial.
La Secretaría de Hacienda anunció un incremento de hasta más de 20 por ciento a los precios máximos regionales para la gasolina, que estarán vigentes del 1 de enero al
Article 1435886030092Hacienda pide no asustarse por el precio de la gasolina#28-dic-2016 #el-financiero #noticias
José Antonio Meade, secretario de Hacienda, dijo que habrá veces que el precio de la gasolina suba y habrá veces que baje, como se vayan ajustando las condiciones de mercado.
El secretario de Hacienda, José Antonio Meade, dijo este martes que los mexicanos no tienen por qué asustarse, pues el precio de la gasolina se va “divorciar” de razones tributarias o de razones políticas
Además el precio va subir o bajar de acuerdo con los mercados internacionales como en todo América, Europa y todo Asia Pacífico.
“De hecho, en la historia del país, la gasolina, prácticamente con excepción de algunos meses del año pasado, solamente se había subido y nunca había reflejado una condición a la baja. Y lo que veremos ahorita, a partir del próximo año, es que la gasolina habrá veces que suba y habrá veces que baje, como se vayan ajustando las condiciones de mercado”, comentó en entrevista con Grupo Fórmula.
“Veremos, en consecuencia, momentos y días donde suba, y momentos y días donde vuelva a bajar”, agregó.
Article 1435887602956Para entender el gasolinazo#28-dic-2016 #el-financiero #noticias #victor-piz
Los precios de las gasolinas que estarán vigentes del 1 de enero al 3 de febrero se incrementarán sustancialmente con respecto a los observados en diciembre de 2016.
El precio promedio de la gasolina Magna –la de mayor consumo en el país– durante enero será 14.4 por ciento superior al observado en diciembre, según lo informado ayer por la Secretaría de Hacienda.
En los primeros 34 días de 2017, el precio máximo de la gasolina Magna se ubicará en 15.99 pesos el litro, frente a los 13.98 actuales.
El de la Premium pasará de 14.81 a 17.79 pesos, un incremento de 20.1 por ciento.
Se trata del mayor ajuste de golpe a los precios de los combustibles automotrices en dos décadas.
El presidente Enrique Peña propuso en septiembre de este año adelantar a partir de enero de 2017 la liberalización del precio de las gasolinas y del diésel.
La Comisión Reguladora de Energía, tomando en cuenta la opinión de la Comisión Federal de Competencia Económica, emitió la semana pasada el cronograma de flexibilizació
#28-dic-2016 #el-financiero #noticias #victor-piz
Se trata del mayor ajuste de golpe a los precios de los combustibles automotrices en dos décadas.
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Para entender el gasolinazo3;
En los primeros 34 días de 2017, el precio máximo de la gasolina Magna se ubicará en 15.99 pesos el litro, frente a los 13.98 actuales.
El de la Premium pasará de 14.81 a 17.79 pesos, un incremento de 20.1 por ciento.
<span>Se trata del mayor ajuste de golpe a los precios de los combustibles automotrices en dos décadas.
El presidente Enrique Peña propuso en septiembre de este año adelantar a partir de enero de 2017 la liberalización del precio de las gasolinas y del diésel.
La Com
Tags
#28-dic-2016 #el-financiero #noticias #victor-piz
Question
Se trata del mayor ajuste de golpe a los precios de los combustibles automotrices en [...]
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Open itSe trata del mayor ajuste de golpe a los precios de los combustibles automotrices en dos décadas.Original toplevel document
Para entender el gasolinazo3;
En los primeros 34 días de 2017, el precio máximo de la gasolina Magna se ubicará en 15.99 pesos el litro, frente a los 13.98 actuales.
El de la Premium pasará de 14.81 a 17.79 pesos, un incremento de 20.1 por ciento.
<span>Se trata del mayor ajuste de golpe a los precios de los combustibles automotrices en dos décadas.
El presidente Enrique Peña propuso en septiembre de este año adelantar a partir de enero de 2017 la liberalización del precio de las gasolinas y del diésel.
La Com
Article 1435891535116Alza en gasolina ‘inyecta energía’ a los Udibonos#28-dic-2016 #el-financiero #noticias
El anuncio de Hacienda detonó una mayor demanda por notas ligadas a la inflación en todos sus plazos, pero principalmente en los menores a 12 años
La expectativa de una mayor inflación, derivada de los incrementos en los precios de la gasolina a partir de enero, disparó la demanda por Udibonos en todos sus plazos, al ser utilizados como instrumentos de cobertura frente a mayores precios.
El Udibono con vencimiento en diciembre de 2025, el plazo más negociado, cerró ayer en un precio de 111.86 pesos, es decir, con un aumento en el día de 1.42 por ciento, mientras que su rendimiento bajó de 3.18 a 2.99 por ciento, según datos de Bloomberg.
En el mercado primario también se reflejó un mayor apetito por estos instrumentos, pues en la subasta de valores gubernamentales realizada ayer a las 11:30 horas, después del anuncio del gasolinazo, la tasa del Udibono a 10 años se reportó con un rendimiento de 3.0 por ciento, inferior al 3.35 de la subasta primaria anterior.
Dicho comportamiento refleja q
#28-dic-2016 #el-financiero #noticias
El anuncio de Hacienda (aumento en gasolina) detonó una mayor demanda por notas ligadas a la inflación en todos sus plazos, pero principalmente en los menores a 12 años
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Alza en gasolina ‘inyecta energía’ a los UdibonosEl anuncio de Hacienda detonó una mayor demanda por notas ligadas a la inflación en todos sus plazos, pero principalmente en los menores a 12 años
La expectativa de una mayor inflación, derivada de los incrementos en los precios de la gasolina a partir de enero, disparó la demanda por Udibonos en todos sus pla
Tags
#28-dic-2016 #el-financiero #noticias
Question
El anuncio de Hacienda (aumento en gasolina) detonó una mayor demanda por [...] en todos sus plazos, pero principalmente en los menores a 12 años
Answer
notas ligadas a la inflación (Udibonos)
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Parent (intermediate) annotation
Open itEl anuncio de Hacienda (aumento en gasolina) detonó una mayor demanda por notas ligadas a la inflación en todos sus plazos, pero principalmente en los menores a 12 añosOriginal toplevel document
Alza en gasolina ‘inyecta energía’ a los UdibonosEl anuncio de Hacienda detonó una mayor demanda por notas ligadas a la inflación en todos sus plazos, pero principalmente en los menores a 12 años
La expectativa de una mayor inflación, derivada de los incrementos en los precios de la gasolina a partir de enero, disparó la demanda por Udibonos en todos sus pla
Article 1435902020876Mexico - Project Financing#eximbank #export-dot-gov #octopus #usa
Includes how major projects are financed and gives examples where relevant. Explains activities of the multilateral development banks in and other aid-funded projects where procurement is open to U.S. bidders.
Last Published: 10/4/2016
Includes how major projects are financed and gives examples where relevant. Explains activities of the multilateral development banks in and other aid-funded projects where procurement is open to U.S. bidders.
For large infrastructure projects, a number of financing instruments are available. Project consortiums often develop a finance mix between development banks, multilaterals, commercial banks, and national export credit agencies, such as the U.S. Export-Import Bank.
U.S. Export-Import Bank (http://www.exim.gov)
The Export-Import Bank of the United States (Ex-Im Bank), an independent agency of the federal government, offers various short-, medium- and long-term export finance and insurance programs. Of specific interest to U.S. exporters are the gu
#eximbank #export-dot-gov #octopus #usa
For large infrastructure projects, a number of financing instruments are available. Project consortiums often develop a finance mix between development banks, multilaterals, commercial banks, and national export credit agencies, such as the U.S. Export-Import Bank.
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Mexico - Project Financing0/4/2016
Includes how major projects are financed and gives examples where relevant. Explains activities of the multilateral development banks in and other aid-funded projects where procurement is open to U.S. bidders.
<span>For large infrastructure projects, a number of financing instruments are available. Project consortiums often develop a finance mix between development banks, multilaterals, commercial banks, and national export credit agencies, such as the U.S. Export-Import Bank.
U.S. Export-Import Bank (http://www.exim.gov)
The Export-Import Bank of the United States (Ex-Im Bank), an independent agency of the federal government, o
Tags
#eximbank #export-dot-gov #octopus #usa
Question
For large infrastructure projects, a number of financing instruments are available. Project consortiums often develop a finance mix between [...], multilaterals, commercial banks, and national export credit agencies, such as the U.S. Export-Import Bank.
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Parent (intermediate) annotation
Open itFor large infrastructure projects, a number of financing instruments are available. Project consortiums often develop a finance mix between development banks, multilaterals, commercial banks, and national export credit agencies, such as the U.S. Export-Import Bank.Original toplevel document
Mexico - Project Financing0/4/2016
Includes how major projects are financed and gives examples where relevant. Explains activities of the multilateral development banks in and other aid-funded projects where procurement is open to U.S. bidders.
<span>For large infrastructure projects, a number of financing instruments are available. Project consortiums often develop a finance mix between development banks, multilaterals, commercial banks, and national export credit agencies, such as the U.S. Export-Import Bank.
U.S. Export-Import Bank (http://www.exim.gov)
The Export-Import Bank of the United States (Ex-Im Bank), an independent agency of the federal government, o
#eximbank #export-dot-gov #octopus #usa
The Export-Import Bank of the United States (Ex-Im Bank), an independent agency of the federal government, offers various short-, medium- and long-term export finance and insurance programs. Of specific interest to U.S. exporters are the guarantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.
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Mexico - Project Financingums often develop a finance mix between development banks, multilaterals, commercial banks, and national export credit agencies, such as the U.S. Export-Import Bank.
U.S. Export-Import Bank (http://www.exim.gov)
<span>The Export-Import Bank of the United States (Ex-Im Bank), an independent agency of the federal government, offers various short-, medium- and long-term export finance and insurance programs. Of specific interest to U.S. exporters are the guarantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.
Much of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarante
Tags
#eximbank #export-dot-gov #octopus #usa
Question
The Export-Import Bank of the United States (Ex-Im Bank), an [...], offers various short-, medium- and long-term export finance and insurance programs.
Answer
independent agency of the federal government
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Parent (intermediate) annotation
Open itThe Export-Import Bank of the United States (Ex-Im Bank), an independent agency of the federal government, offers various short-, medium- and long-term export finance and insurance programs. Of specific interest to U.S. exporters are the guarantees for medium-term loans to foreign buyers ofOriginal toplevel document
Mexico - Project Financingums often develop a finance mix between development banks, multilaterals, commercial banks, and national export credit agencies, such as the U.S. Export-Import Bank.
U.S. Export-Import Bank (http://www.exim.gov)
<span>The Export-Import Bank of the United States (Ex-Im Bank), an independent agency of the federal government, offers various short-, medium- and long-term export finance and insurance programs. Of specific interest to U.S. exporters are the guarantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.
Much of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarante
Tags
#eximbank #export-dot-gov #octopus #usa
Question
The guarantees for [...] to [...] are of specific interest to U.S. exporters.
Answer
medium-term loans
foreign buyers of capital equipment
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Parent (intermediate) annotation
Open itspan>The Export-Import Bank of the United States (Ex-Im Bank), an independent agency of the federal government, offers various short-, medium- and long-term export finance and insurance programs. Of specific interest to U.S. exporters are the <span>guarantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.<span><body></hOriginal toplevel document
Mexico - Project Financingums often develop a finance mix between development banks, multilaterals, commercial banks, and national export credit agencies, such as the U.S. Export-Import Bank.
U.S. Export-Import Bank (http://www.exim.gov)
<span>The Export-Import Bank of the United States (Ex-Im Bank), an independent agency of the federal government, offers various short-, medium- and long-term export finance and insurance programs. Of specific interest to U.S. exporters are the guarantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.
Much of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarante
Tags
#eximbank #export-dot-gov #octopus #usa
Question
More than 85 percent of Ex-Im’s transactions in recent years directly benefited [...]
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Parent (intermediate) annotation
Open it to U.S. exporters are the guarantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited <span>small businesses.<span><body><html>Original toplevel document
Mexico - Project Financingums often develop a finance mix between development banks, multilaterals, commercial banks, and national export credit agencies, such as the U.S. Export-Import Bank.
U.S. Export-Import Bank (http://www.exim.gov)
<span>The Export-Import Bank of the United States (Ex-Im Bank), an independent agency of the federal government, offers various short-, medium- and long-term export finance and insurance programs. Of specific interest to U.S. exporters are the guarantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.
Much of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarante
#eximbank #export-dot-gov #octopus #usa
Much of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarantee of Ex-Im Bank. The Mexican bank then makes loans to Mexican companies for the purchase of American capital goods. There also are a number of U.S.-based banks that extend Ex-Im Bank credits in Mexico. The major Mexican commercial banks have signed agreements with Ex-Im Bank to grant lines of credit to Mexican firms that purchase U.S.-made products. Many major Mexican banks (Santander, BBVA-Bancomer, and others) have Master Guarantee Agreements. Such credits generally are available only to Mexican blue chip companies and to their suppliers with firm contracts
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Mexico - Project Financingrantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.
<span>Much of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarantee of Ex-Im Bank. The Mexican bank then makes loans to Mexican companies for the purchase of American capital goods. There also are a number of U.S.-based banks that extend Ex-Im Bank credits in Mexico. The major Mexican commercial banks have signed agreements with Ex-Im Bank to grant lines of credit to Mexican firms that purchase U.S.-made products. Many major Mexican banks (Santander, BBVA-Bancomer, and others) have Master Guarantee Agreements. Such credits generally are available only to Mexican blue chip companies and to their suppliers with firm contracts.
EXIM Bank is a
Tags
#eximbank #export-dot-gov #octopus #usa
Question
Much of Ex-Im Bank’s activity is under so-called [...].
Answer
bundling facilities
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Parent (intermediate) annotation
Open itMuch of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarantee of Ex-Im Bank. The Mexican bank then makes loans to Mexican companies for the pOriginal toplevel document
Mexico - Project Financingrantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.
<span>Much of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarantee of Ex-Im Bank. The Mexican bank then makes loans to Mexican companies for the purchase of American capital goods. There also are a number of U.S.-based banks that extend Ex-Im Bank credits in Mexico. The major Mexican commercial banks have signed agreements with Ex-Im Bank to grant lines of credit to Mexican firms that purchase U.S.-made products. Many major Mexican banks (Santander, BBVA-Bancomer, and others) have Master Guarantee Agreements. Such credits generally are available only to Mexican blue chip companies and to their suppliers with firm contracts.
EXIM Bank is a
Tags
#eximbank #export-dot-gov #octopus #usa
Question
A bundling facility is a large medium-term loan made to a [...] by a [...] with [...] The Mexican bank then makes loans to Mexican companies for the purchase of American capital goods.
Answer
Mexican bank
U.S. bank
the guarantee of Ex-Im Bank.
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Parent (intermediate) annotation
Open itMuch of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarantee of Ex-Im Bank. The Mexican bank then makes loans to Mexican companies for the purchase of American capital goods. There also are a number of U.S.-basedOriginal toplevel document
Mexico - Project Financingrantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.
<span>Much of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarantee of Ex-Im Bank. The Mexican bank then makes loans to Mexican companies for the purchase of American capital goods. There also are a number of U.S.-based banks that extend Ex-Im Bank credits in Mexico. The major Mexican commercial banks have signed agreements with Ex-Im Bank to grant lines of credit to Mexican firms that purchase U.S.-made products. Many major Mexican banks (Santander, BBVA-Bancomer, and others) have Master Guarantee Agreements. Such credits generally are available only to Mexican blue chip companies and to their suppliers with firm contracts.
EXIM Bank is a
Tags
#eximbank #export-dot-gov #octopus #usa
Question
There also are a number of [...] banks that extend Ex-Im Bank credits in Mexico.
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Parent (intermediate) annotation
Open itundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarantee of Ex-Im Bank. The Mexican bank then makes loans to Mexican companies for the purchase of American capital goods. There also are a number of <span>U.S.-based banks that extend Ex-Im Bank credits in Mexico. The major Mexican commercial banks have signed agreements with Ex-Im Bank to grant lines of credit to Mexican firms that purchase U.S.-maOriginal toplevel document
Mexico - Project Financingrantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.
<span>Much of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarantee of Ex-Im Bank. The Mexican bank then makes loans to Mexican companies for the purchase of American capital goods. There also are a number of U.S.-based banks that extend Ex-Im Bank credits in Mexico. The major Mexican commercial banks have signed agreements with Ex-Im Bank to grant lines of credit to Mexican firms that purchase U.S.-made products. Many major Mexican banks (Santander, BBVA-Bancomer, and others) have Master Guarantee Agreements. Such credits generally are available only to Mexican blue chip companies and to their suppliers with firm contracts.
EXIM Bank is a
Tags
#eximbank #export-dot-gov #octopus #usa
Question
The major Mexican commercial banks have [...] to grant lines of credit to Mexican firms that purchase U.S.-made products.
Answer
signed agreements with Ex-Im Bank
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Parent (intermediate) annotation
Open itee of Ex-Im Bank. The Mexican bank then makes loans to Mexican companies for the purchase of American capital goods. There also are a number of U.S.-based banks that extend Ex-Im Bank credits in Mexico. The major Mexican commercial banks have <span>signed agreements with Ex-Im Bank to grant lines of credit to Mexican firms that purchase U.S.-made products. Many major Mexican banks (Santander, BBVA-Bancomer, and others) have Master Guarantee Agreements. Such creditOriginal toplevel document
Mexico - Project Financingrantees for medium-term loans to foreign buyers of capital equipment. Most loans are made by U.S. banks with Ex-Im Bank’s guarantee. More than 85 percent of Ex-Im’s transactions in recent years directly benefited small businesses.
<span>Much of Ex-Im Bank’s activity is under so-called bundling facilities. A bundling facility is a large medium-term loan made to a Mexican bank by a U.S. bank with the guarantee of Ex-Im Bank. The Mexican bank then makes loans to Mexican companies for the purchase of American capital goods. There also are a number of U.S.-based banks that extend Ex-Im Bank credits in Mexico. The major Mexican commercial banks have signed agreements with Ex-Im Bank to grant lines of credit to Mexican firms that purchase U.S.-made products. Many major Mexican banks (Santander, BBVA-Bancomer, and others) have Master Guarantee Agreements. Such credits generally are available only to Mexican blue chip companies and to their suppliers with firm contracts.
EXIM Bank is a
#eximbank #export-dot-gov #octopus #usa
In Fiscal Year 2015Ex-Im Bank’s total exposure in Mexico was $9.45 billion and guarantees authorizations were $1.7 billion. Mexico remains the largest market in Ex-Im Bank’s portfolio.
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Mexico - Project Financingcluding those related to the production of renewable sources of energy. ExIm Bank’s annual renewable energy authorizations in the past two years were: $121 million in the first three quarters of FY2015, $198 million in FY2014.[1]
<span>In Fiscal Year 2015Ex-Im Bank’s total exposure in Mexico was $9.45 billion and guarantees authorizations were $1.7 billion. Mexico remains the largest market in Ex-Im Bank’s portfolio.
Overseas Private Investment Corporation (http://www.opic.gov)
OPIC is the U.S. Government’s development finance institution. It mobilizes private capita
Tags
#eximbank #export-dot-gov #octopus #usa
Question
In Fiscal Year 2015Ex-Im Bank’s total exposure in Mexico was [...] and guarantees authorizations were [...] . Mexico remains the largest market in Ex-Im Bank’s portfolio.
Answer
$9.45 billion
$1.7 billion
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Parent (intermediate) annotation
Open itIn Fiscal Year 2015Ex-Im Bank’s total exposure in Mexico was $9.45 billion and guarantees authorizations were $1.7 billion. Mexico remains the largest market in Ex-Im Bank’s portfolio.Original toplevel document
Mexico - Project Financingcluding those related to the production of renewable sources of energy. ExIm Bank’s annual renewable energy authorizations in the past two years were: $121 million in the first three quarters of FY2015, $198 million in FY2014.[1]
<span>In Fiscal Year 2015Ex-Im Bank’s total exposure in Mexico was $9.45 billion and guarantees authorizations were $1.7 billion. Mexico remains the largest market in Ex-Im Bank’s portfolio.
Overseas Private Investment Corporation (http://www.opic.gov)
OPIC is the U.S. Government’s development finance institution. It mobilizes private capita
Tags
#six-tips-for-working-with-the-brain #tip-2-focus-is-the-starting-point-of-learning
Question
Research has proved that when we divide our attention, our focus [...].
Answer
switches back and forth between the two activities
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Parent (intermediate) annotation
Open itfrom the University of Wisconsin, calls this "phase locking" and it's the starting point of all learning.
As a result, we must design our learning environments to help people focus and we must bust the myth that you can <span>multitask while learning. Research has proved that when we divide our attention, our focus switches back and forth between the two activities, also known as switch tasking.
The hippoOriginal toplevel document
Unknown titler learning products.
The brain structures that are involved in learning include the hippocampus, the amygdala, and the basal ganglia. To design the best learning experiences, we need to understand and respect the neuroscience of learning.
<span>Tip #2: Focus is the starting point of learning
The hippocampus is the part of the brain that takes in information and moves it to our memory. When it's damaged, people lose access to past memories and no longer can make new ones.
The hippocampus acts like a recorder or data drive; like those devices, it has an "on" button. Physiologically, it's when our eyes and ears attune to something that causes the hippocampus to begin recording. Richard Davidson, from the University of Wisconsin, calls this "phase locking" and it's the starting point of all learning.
As a result, we must design our learning environments to help people focus and we must bust the myth that you can multitask while learning. Research has proved that when we divide our attention, our focus switches back and forth between the two activities, also known as switch tasking.
The hippocampus loses vital pieces of information for both of the things we were trying to attend to. I call this "Swiss tasking" because we end up with holes in the data the hippocampus was capturing and, therefore, holes in our learning that cannot be recovered.
Here is the big shocker about the hippocampus: It can only hold so much information before it must be processed and pushed into short-term memory. Studies show that the maximum amount is about 20 minutes of information.
Lecture-style sessions never have demonstrated good results for retention, and now we know why—it works against the brain's natural functioning. The good news is that many other learning activities can help.
All the hippocampus needs is a few minutes of processing to push that data into short-term memory and it's ready again for more. I now build all my learning events in chunks of 15 min