Answer:
Economists use many different methods to measure how fast the economy is growing. The most common way to measure the economy is real gross domestic product, or real GDP. GDP is the total value of everything - goods and services - produced in our economy.
because you have taken a leadership course, you know that being a manager, coercive power is only appropriate when:
Coercive power is only appropriate when it is used as a last resort. It should only be used when other forms of power, such as reward and legitimacy, have been exhausted.
Coercive power is a form of power that is used to compel someone to do something that they would not have done otherwise. The use of coercive power can be seen in situations where a manager must take disciplinary action in order to maintain order and discipline in the workplace.
When using coercive power, it is important to ensure that it is used fairly and consistently. This means that the same rules should apply to everyone and that the punishment should be proportional to the offense. It is also important to ensure that all employees are aware of the rules and that these rules are enforced consistently.
In addition, it is important for a manager to understand the implications of using coercive power. This includes the potential for resentment from employees and the possibility of a decrease in morale.
Therefore, coercive power should only be used in extreme cases and as a last resort. Ultimately, it is important for a manager to understand the implications of using coercive power and to ensure that it is used fairly and appropriately.
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roduct positioning relies on blank evaluations of a product's important attributes. multiple choice question. consumers'
Product positioning refers to the place a product occupies in consumer perceptions based on its key attributes compared to competing brands. spirit. Product differentiation refers to how consumers define a product based on its key attributes.
That is, the position a product occupies in a consumer's mind compared to its competitors. Her two key components of product positioning are how customers view the product and how the product compares to its competitors. Product attributes are characteristics that describe an item. Objective and subjective details that help potential customers make purchasing decisions. These include, but are not limited to, technical specifications, design features such as color and size, materials used in manufacturing, and price. Four parts of the positioning statement: target market. Before you can aim and shoot (a marketing effort), you need to know where your target is and what your target is. ... category. Prospects (all of us) need a frame of reference when evaluating a proposed product or service, Differentiation and payment.
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a company pays each of its two office employees each friday at the rate of $100 per day for a five-day week that begins on monday. if the monthly accounting period ends on tuesday and the employees worked on both monday and tuesday, the month-end adjusting entry to record the salaries earned but unpaid is:
the month-end adjusting entry to record the salaries earned but unpaid is: Debit salaries expense $400 and credit salaries payable $400
Total no. of employees=2
Salary per day =$100 per day
Month ends on tuesday and no . of working days = monday and tuesday(2)
Salary payable for the month end=2 employees*$100 per day *2 days
=$400
Entry for salary payable
salary Dr 400
Salary payable Cr. 400
An employment contract may include a salary clause as a type of recurring payment from an employer to an employee. In contrast, piece wages are paid separately for each work, hour, or other unit rather than on a regular schedule. Salary may also be seen from the perspective of operating a corporation as the expenditure of obtaining and keeping employees to carry out operations; this is known as a personnel expense or salary expense. Payroll accounts are used in accounting to record salaries.
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Dallas Wong is an employee who receives educational assistance in the amount of $10,250 per year. Required: How is this amount treated for tax purposes?
During the project review phase of the new product development process, a full screen employs some sort of scoring model and resulting in a choice to proceed with development but never to quit.
The "fuzzy front end" of the innovative product development and commercialization process is often referred to.
The goal should be to develop a large number of worthwhile ideas that will serve as the backbone for the New Product Innovation approach.
This phase is not about coming up with foolproof concepts that are ready to go. Instead, unproven and uncooked ideas that can be refined later should be shared.
When an issue has been recognized, it is time to consider potential solutions. There should be possible New Product Development opportunities for every consumer concern.
Make a comparison chart that lists all of the challenges and solutions that were shortlisted. Distribute the findings around the organization to create a viable problem set.
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a cpa has been requested by a former audit client to reissue the auditor's report for the prior period. before reissuing the report, the cpa should
An auditor's report is a written statement by an independent auditor that provides an opinion on the financial statements of an organization.
The auditor's report is based on an examination of the financial statements and related records, and is designed to provide assurance to stakeholders about the accuracy and reliability of the financial information.
The purpose of an auditor's report is to enhance the credibility and reliability of the financial statements and to provide an independent assessment of the organization's financial position and performance.
The auditor's report is used by stakeholders, such as investors, creditors, and regulatory agencies, to make informed decisions about the organization. A typical auditor's report will include the following elements:
A statement that describes the financial statements being audited and what the audit's goals are.
A summary of the audit's methodology and scope, including the steps the auditor took to collect and assess the evidence.
An opinion on the financial statements, stating whether the financial statements present a fair representation of the organization's financial position and performance.
A description of any material misstatements found during the audit and how they were addressed.
A mention of any audit scope restrictions or instances when the auditor was unable to find sufficient proof to back up the financial data.
A conclusion that summarizes the results of the audit and the auditor's overall opinion on the financial statements.
Auditor’s Report is a statement of the auditor's professional opinion based on the audit procedures performed and the evidence obtained.
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Quartz Instruments had retained earnings of $145,000 at December 31, 20X1. Net income for 20X2 totaled $90,000, and dividends for 20X2 were $30,000.How much retained earnings should Quartz report at December 31, 20X2?a. $205,000b. $235,000c. $140,000d. $175,000
Retained Earnings for Quartz Instruments on December 31, 20X2 is $205000.
The amount of net income that remains for the company after dividend payments to shareholders is known as retained earnings (RE). Typically, the management of the company decides whether to keep the profits or distribute them to the shareholders.
To calculate retained earnings add net income to or subtract any net losses from beginning retained earnings and subtract any dividends paid to shareholders.
Retained Earning for Quartz Instruments on December 31, 20X2 =
= Retained earnings on December 31, 20X1 + Net income for 20X2 - Dividends for 20X2
= 145000 + 90000 - 30000
= $ 205000
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annalise will deposit into her investment account $4,500, $0, and $5,500 at the end of years 1, 2, and 3, respectively. what will her account be worth at the end of the year 3 if she earns an annual rate of 4.15 percent?
Annalise's account will be $10,381.25 worth at the end of the year 3 if she earns an annual rate of 4.15 percent.
What is future value?A current asset's future value (FV), based on the estimated rate of growth, is its value at a later time. Investors and financial planners value future value because it helps them determine how much an investment made now will be worth in the future. The worth of a resource at a future date is known as its future value. It calculates the nominal amount of money that an amount of money is "worth" at a specific point in the future under the assumption of a specific interest rate, or more generally, rate of return; it is hence the present value multiplied by the accumulation function.
Given:
Future Value = Present value x (1 + interest rate)^number of periods
FV = [tex]4500 * (1+0.0415)^{(3-1)}[/tex]
FV = $4881.25 + $5500
FV = $10,381.25
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a $300,000 bond was redeemed at 98 when the carrying amount of the bond was $292,000. the entry to record the redemption would include a
The entry to record the redemption would include a loss on bond redemption of $2,000.
We have given in the question,
Bond = $300,000
Redeemed at = 98
Carrying value of bond = $292,000
To find out,
entry to record the redemption would include
Solution,
we know here that the Redemption value is
Redemption value = bond × redeemed
Redemption value = $300,000 ×98%
Redemption value =$294,000 ................1
and here Carrying value is $292,000
so we paid the excess amount which is
paid excess amount = $294,000 - $292,000
paid excess amount = $2000
Therefore, The entry to record the redemption would include a loss on bond redemption of $2,000.
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after a devastating hurricane, households try to secure loans to repair and rebuild. other things equal, this would lead to
Due to the hurricane's devastation, there will likely be a rise in demand for loans for home repairs, which would often result in an increase in interest rates.
The underlying reason for this rise in home loan rates is the idea of limited resources or loanable funds. When demand declines, the situation is the opposite. An economic theory that describes the price link between dynamic supply and demand is the scarcity principle.
The scarcity principle states that when an item has a low supply and a high demand, its price rises to accommodate the anticipated demand.
Marketers sometimes apply this theory to artificially reduce the supply of a specific good or product—and make it exclusive—in order to increase demand.
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Note: Complete question is
After a devastating hurricane, households try to secure loans to repair and rebuild. Other things equal, this would lead to
an increase in interest rates of home repair loans as the demand for those loans increased. an increase in interest rates of home repair loans as the demand for those loans increased.an increase in interest rates of home repair loans as the supply for those loans decreased.an increase in interest rates of home repair loans as the supply for those loans decreased.a decrease in interest rates of home repair loans as the supply for those loans increased.a client uses a suspense account for unresolved questions whose final accounting has not been determined. if a balance remains in the suspense account at year end, the auditor would be most concerned about
The auditor would be most concerned about suspense debits that management believes will benefit future operations.
Management is the process of planning, organizing, directing, and controlling the activities of an organization or a group of individuals to achieve specific goals and objectives. It involves coordinating the efforts of people, utilizing available resources, and making decisions that affect the overall performance and success of the organization.
Management is a vital aspect of business and organizations, as it helps to ensure that resources are used effectively and efficiently. Effective management can lead to improved performance, increased productivity, and higher levels of customer satisfaction.
Management can also refer to the group of individuals responsible for overseeing and making decisions within an organization. These individuals typically hold leadership positions and are responsible for setting and achieving organizational goals, as well as ensuring that the organization operates effectively and efficiently.
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Monsanto, a division of bayer, is a chemical and biotechnology company that provides seeds, fertilizers, and herbicides to farmers around the world. the company is based in st. louis, missouri, but has administrative and sales offices, manufacturing plants, seed production facilities, and research centers around the world. What level of international activity best describes monsanto?
The level of international activity that best describes Monsanto is a multinational business.
What are multinational companies?They are companies that are focused on expanding their business beyond their home countries, that is, they are companies present in different countries with the objective of conquering different markets, competitive advantages and profitability.
Portanot, multinational companies such as Monsanto, which have offices around the world, are consequences of the globalization process, which has tightened economic relations between nations.
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turbine industries breaks down its manufacturing process into smaller segments that are performed by employees who are trained very well. this also helps the firm to save time because this way the employees do not need to juggle between various tasks. this scenario best illustrates .
This scenario best illustrates the concept of job specialization and division of labor in manufacturing. By breaking down its manufacturing process into smaller segments and training employees to perform specific tasks, Turbine Industries is able to improve efficiency and save time.
Job specialization is a method of organizing the production process by dividing tasks into smaller, more specialized segments. This involves assigning specific tasks to individual employees, who become experts in performing those tasks. The goal of job specialization is to increase efficiency and productivity by allowing employees to focus their efforts on performing a specific task with high quality and speed. It also enables the use of specialized equipment and tools, which can further improve the efficiency and quality of the production process. By breaking down the production process into smaller, more specialized tasks, companies can increase productivity, reduce costs, and improve competitiveness.
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How will an organisation help an employee to achieve the self-esteem level on Maslow’s Hierarchy of Needs?
Answer:
An organization can help an employee achieve the self-esteem level on Maslow's Hierarchy of Needs by implementing the following strategies:
Recognition and reward: Provide recognition and rewards for employees' achievements and contributions, such as bonuses, promotions, and public recognition in team meetings or company-wide communications.
Opportunities for growth and development: Offer opportunities for employees to develop new skills and advance their careers through training and development programs, mentorship, and stretch assignments.
Encouraging open communication: Foster an environment that encourages open communication, where employees feel comfortable sharing their opinions and ideas. Encourage active participation in decision-making processes and provide feedback to employees on their performance.
Providing autonomy: Give employees the freedom and autonomy to make decisions and take ownership of their work. This will help employees feel valued and respected, increasing their sense of self-esteem.
Offering flexible work arrangements: Consider offering flexible work arrangements, such as flexible hours or the option to work from home, as this can help employees balance their work and personal responsibilities, increasing their sense of control over their lives.
By implementing these strategies, an organization can create a positive work environment that supports employee self-esteem, which in turn can lead to increased job satisfaction, motivation, and productivity.
baba has a hard time adjusting to america. what does amir wanting to tell mr. and mrs. nguyen about the tree branch for a credit card say about why this is
The information about the tree branch for a credit card seems to be disconnected from Baba's difficulty in adjusting to America, so it is difficult to determine what Amir might be trying to convey through this action.
It could be that Amir is simply trying to resolve a practical issue related to the credit card, and this has nothing to do with Baba's experience of adjusting to America. Alternatively, it could be that Amir is trying to draw attention to the difficulties that Baba is facing and the ways in which these difficulties are impacting him, in the hopes that Mr. and Mrs. Nguyen can offer support or assistance. However, without more information about the context of the situation, it is impossible to determine what Amir's intentions might be.
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the front office, housekeeping, concierge, security, and communications all belong to which division? group of answer choices human resources food and beverage sales rooms
The front office, housekeeping, concierge, security, and communications all belong to the Rooms division in the hospitality industry. So, the correct option is D.
The Rooms division is responsible for the day-to-day operations of the guest rooms and public areas of a hotel or resort. This division is responsible for providing guests with a clean, comfortable, and safe place to stay, as well as assisting with their needs and requests.
The front office is the main point of contact for guests, and is responsible for check-in and check-out, room assignments, and billing. The housekeeping department is responsible for cleaning and maintaining the guest rooms.
The concierge provides guests with information and assistance, such as making restaurant reservations or arranging transportation. The security department is responsible for ensuring the safety and security of guests and employees.
The communications department is responsible for managing the hotel's telecommunications systems, such as phones and internet access. Together, these departments work to provide guests with an enjoyable and memorable experience, which is an important factor in their satisfaction and loyalty to the hotel or resort.
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Complete question is:
The front office, housekeeping, concierge, security, and communications all belong to which division?
a)Human resources
b) Food and beverage
c)Sales
d)Rooms
You invest $100 into a CD offering 5% APR with semi-annual compounding How much money will you have in the account after 1 year? 1 point
The money you'll have $105.25 in the account after a year.
The interest rate that is applied to a loan or other financial product over the course of a year, with interest compounded twice a year, is known as the Annual Percentage Rate (APR) with Semi-Annual Compounding.
It follows that the interest rate is determined twice a year, at the start and the end of the year, and that the interest is added to the loan's principal sum.
Since the interest rate is applied less frequently, the APR with semi-annual compounding is typically lower than the APR with annual compounding.
It gives a more accurate reflection of the loan's or investment's actual cost, this rate is frequently used to compare various loan or investment packages.
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communicating stories that help others understand and embrace novel proposals is an essential entrepreneurial leadership capability often described as
Business leadership involves organizing and motivating a group of people to achieve a common goal through innovation,risk optimization.
Savvy entrepreneurs take smart steps that test ideas within acceptable losses, then reflect and build on what they find by taking action from others,which increases the identification of more problems that need a solution and therefore more stimuli to trigger the number of ideas.An entrepreneurial mindset can help build confidence and means one is more inclined to seize opportunities and not be afraid of taking risks.Critical thinking is the practice of methodically collecting, analyzing and evaluating information.It is one of the most vital parts of the problem-solving and decision-making process, as it is the act of clearly thinking through the options that will lead to a final choice.
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How might you work to get your products into those new outlets? What are some strategies you might form?
As the outlet is defined as a store, Which sells slightly or damaged outdated goods, from a particular manufacturer. When the goods are made in greater quantity.
What are the goods?The term Goods are products and resources that satisfy people's needs and wants. A good can be a natural science object, a provided service, or some accumulation of the two. Just about anything is good if it supplies some kind of benefit to consumers.
As the outlet stores mainly, Sell goods that are in overstock, That were made in the past season there are mainly the outlets that mostly sell the products, There are some vendors also there which create familiar-looking items is there at a lower cost.
Therefore, As a result, The outlet is a place where the damaged goods are sold.
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what are the basic aspects for structuring work processes in organizations? each correct answer represents a complete solution. choose all that apply.
The basic elements of structuring work processes in organizations include work specialization, departmentation, a chain of command, a span of control, centralization/decentralization, and formalization.
Organizational structure is the spine of all the operating strategies and workflows at any business. It specifies the position and the role of each employee in the business and is pivotal to organizational growth. A clear arrangement allows every team partner to be entangled. Work specializations define how accountabilities are separated between employees established on the job description. Documentation is a deception of grouping professionals on the origin of the job description, skills, background, or other aspects that relate to them.
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jason used his car as collateral to borrow money from his bank. after losing his job, jason is now unable to make his monthly payments for the loan, defaulting on the loan. if jason is unable to continue to make his payments, what is likely to happen to his car?
When Jason defaulted on his loan by failing to make his monthly payments, his bank has the right to repossess his car, as it was used as collateral for the loan.
Repossession is the process by which the lender takes back possession of the collateral in order to recover the amount owed on the loan. The process of repossession typically begins with the lender sending a notice of default to the borrower, indicating that the loan is in default and that the lender has the right to repossess the collateral if the default is not cured. If the default is not cured, the lender will typically send a repossession notice to the borrower, informing them that the collateral will be taken if the borrower does not take action to cure the default. Once the collateral has been repossessed, the lender will typically sell the collateral to recover the amount owed on the loan. The proceeds from the sale will be used to pay off the remaining balance on the loan, as well as any fees and expenses associated with the repossession and sale of the collateral. If the proceeds from the sale are not enough to pay off the remaining balance on the loan, the lender may still seek to collect the deficiency balance from the borrower. In the case of Jason, if he is unable to make his monthly payments and his car is repossessed by the bank, it is likely that the bank will sell the car to recover the amount owed on the loan. Jason will be responsible for paying the remaining balance on the loan, as well as any fees and expenses associated with the repossession and sale of his car.
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those who have a claim in some aspect of a firm's products, operations, markets, industry, and outcomes are known as . question 12 options: shareholders stockholders stakeholders claimholders special-interest groups
Stakeholders are those who have an interest in a certain facet of a company's operations, markets, sector, or results.
Any person, entity, or party with an interest in a business and the results of its operations is considered a stakeholder.
Employees, clients, shareholders, suppliers, communities, and governments are typical examples of stakeholders.
Companies frequently have to make trade-offs when attempting to appease all of their stakeholders because they all have distinct interests.
Customers are stakeholders in a company because they are affected by the value and quality of the goods and services offered.
For instance, when boarding a flight, a passenger practically places their life in the hands of the airline. Both debt holders and shareholders are considered investors.
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chapter 13 bankruptcy stays on your credit report for..
Information about a specific account is erased from your credit report seven years after the account's final activity, except for Chapter 13 bankruptcy, which stays on your credit report for 10 years.
For seven years, any late payments will show up on the credit record. Based on when the delinquency happened, the 7-year rule was established. Whether you made the account current after the missing payment determines whether a whole account will be terminated.
The late payments that are more than seven years old will be erased if the account is brought current, but the remainder of the account history will be kept. This is standard procedure, with the exception of Chapter 13 bankruptcy, which has a 10-year impact on your credit record.
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The following question may be like this:
Individual account information is removed from your credit report seven years after the last activity on the account, except for chapter 7 bankruptcy, which stays on your credit report for:
he degree to which people have access to goods and services that make their lives easier, healthier, safer, and more enjoyable is called the
It is called the Standard of living. This measures the level of comfort and convenience of individuals or societies, based on access to goods and services.
Standard of living is an important measurement of a society's wellbeing and success. It is a measure of the level of comfort and convenience of individuals or societies based on their access to goods and services that make their lives easier, healthier, safer, and more enjoyable. This can include access to education, healthcare, housing, transportation, employment, and leisure activities. A good standard of living is essential for citizens to achieve their full potential, as well as providing a sense of security and wellbeing.
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would the assumption that goods are perfect substitutes be valid in a study of intertemporal food purchases?
Therefore, in order for the study to be valid, we cannot assume that food products are perfect substitutes. It's frequently a transient foot.
One dollar bills, for instance, can be used in place of other $1 bills. Additionally, butter from two separate producers is also regarded as an ideal equivalent because, although having a different producer, both types of butter serve the same functions.
Perfect goods replacements are two items that have the same applications as one another. In that instance, the utility of combining the two items is a function of their combined quantities in an increasing order of magnitude. A substitute good could be flawless or flawed. An imperfect substitute is a product, whereas a perfect substitute is one that is identical to the original item.
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increased leverage allows companies to control more assets and increase their roe. what's bad about leverage?
Increased leverage, which refers to the use of debt financing to purchase assets, can indeed allow companies to control more assets and increase their return on equity (ROE).
However, there are also several potential drawbacks to increased leverage. One of the main drawbacks is that increased leverage increases a company's financial risk.
When a company uses debt financing, it must make regular interest payments, which can put a strain on the company's cash flow if business conditions deteriorate. If the company is unable to make these payments, it may face financial distress, such as bankruptcy.
Increased leverage can also increase the volatility of a company's earnings and make its stock price more sensitive to market fluctuations. This is because a large portion of the company's profits is being used to pay interest on debt, leaving less available for other purposes, such as paying dividends or reinvesting in the business.
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the first part of a sustainability effort comes from processes used where to minimize waste of everything from food to energy?
The first part of a sustainability effort to minimize waste of everything from food to energy often comes from processes used in the production and consumption of goods and services.
What are some Sustainability Efforts?The first component of a sustainability endeavor to reduce waste of everything from food to energy is frequently derived from methods employed in the production and use of goods and services. This includes efforts to reduce waste and increase efficiency in the use of resources, such as:
Designing products and processes for sustainability: This involves incorporating sustainable practices and principles into the design and development of products and processes, with the goal of reducing waste, energy consumption, and environmental impact.Implementing resource-efficient production processes: This involves adopting resource-efficient technologies and practices, such as using renewable energy, recycling and reusing materials, and reducing water usage.Promoting sustainable consumption: This involves encouraging consumers to make more sustainable choices, such as choosing products that are eco-friendly, energy-efficient, and made from sustainable materials.Managing waste: This involves managing waste in a way that minimizes its impact on the environment, such as by recycling, composting, and properly disposing of hazardous materials.Overall, minimizing waste and promoting sustainability requires a comprehensive approach that involves all stakeholders, from producers and consumers to policymakers and regulators.
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when uber increased prices by 80% for a certain place and specific time it led to a 100% increase in uber drivers supplying rides. using the percent change in the price and the percent change in the quantity supplied, what is the price elasticity of supply for uber rides?
Uber ride prices are 1.25 times more elastic than supply. By dividing that percentage increase in quantity even by change in its price, the demand price elasticity was obtained.
As a supervisor, one should predict the weather the possible outcomes of a price change using the requirement for your manufacturer's price elasticity.
When the quantity change percentage exceeds the price change percentage, or when the price elasticity is more than 1, it is said that demand is elastic.
In order to predict the anticipated effects of any price change, managers should calculate the demand elasticity of price for their business model.
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bakeco, an nyse-listed food company, has decided to split off its cookie-making operation into a separate corporation. current shareholders will receive one share of the new company, bigcookieco, for each share of bakeco they own as of the record date. this action is an example of
This is an example of a corporate spin-off. A corporate spin-off is a type of corporate restructuring in which a company creates a separate business unit by separating a portion of its operations from the parent .
company and distributing it to existing shareholders as a new company.
This type of corporate action occurs when a company wants to focus on a particular business segment or when it wants to unlock the value of a business unit that is not reflected in the overall company’s share price.
In this case, the parent company, Bakeco, is separating its cookie-making operations into a new company, Bigcookieco, and distributing one share of Bigcookieco for each share of Bakeco owned by existing shareholders on the record date.
This action is beneficial to existing shareholders of Bakeco, who will now have shares of both Bakeco and Bigcookieco, allowing them to diversify their investments.
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You are the manager in charge of global operations at BankGlobal – a large commercial bank that operates in a number of countries around the world. You must decide whether or not to launch a new advertising campaign in the U. S. Market. Your accounting department has provided the accompanying statement, which summarizes the financial impact of the advertising campaign on U. S. Operations. In addition, you recently received a call from a colleague in charge of foreign operations, and she indicated that her unit would lose $8 million if the U. S. Advertising campaign were launched. Your goal is to maximize BankGlobal’s value. Should you launch the new campaign? Explain
As a manager at BankGlobal with the goal to maximize BankGlobal's value, I will take the risk of launching an ad campaign in the US market because the positive impact will be enormous, according to the accounting team's calculations.
The estimated losses from the US team are losses that will be covered in the coming year, because increasing the Bank's global value will have a significant impact on the company's future, the benefits of which will be felt in the coming years (long-term profits). The courage to take big steps will result in some losses, but we must consider the long-term benefits and the importance of the company's name in the world.
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new trade theory stresses that countries should have favorable factor endowments to excel in the production of a good. True/False?
The new trade theory emphasizes that for a country to thrive in the production of a good, it should have favorable factor endowments.
When a nation produces a good more effectively than any other nation, it has a clear advantage over all others.
Governments should control economic activity, encourage exports, and, if necessary, restrict imports in order to maintain an export surplus, according to mercantilist theory.
Naturally, not every country could have a surplus of exports, but mercantilists thought that this was the intended outcome and that prosperous countries would benefit at the expense of less prosperous ones.
According to mercantilist philosophy, a country should aim to maximize domestic employment by exporting finished commodities and importing raw resources.
The foundation of the philosophy of free trade is the law of comparative advantage .For many production parameters, the law of comparative advantage is also applicable.
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