Business, 04.04.2020 11:32 kingyogii

Farmer Owens has an apple orchard that must be pollinated by bees in order to bear fruit. Farmer Owens's neighbor, Maude, owns beehives with bees that can pollinate the apple trees. Suppose the benefit of the bees to Farmer Owens is $5,000 per year. Suppose the bees provide no benefit to Maude but she must pay $3,000 per year to maintain the hives. If Farmer Owens and Maude engage in Coasebargaining, what would likely result?

A. Farmer Owens would pay Maude between $3,000 and $5,000 to maintain the hives.

B. Maude would pay Farmer Owens between $3,000 and $5,000 to maintain the hives.

C. Farmer Owens would pay Maude between $0 and $5,000 to maintain the hives.

D. Farmer Owens would pay Maude at least $5,000 to maintain the hives.

E. Farmer Owens would not be willing to pay Maude an amount such that she would maintain the hives.

Answers: 1

Show answers

Another question on Business

Business, 22.06.2019 06:00

Why might a business based on a fad be a good idea? question 2 options: fads bring in the most customers. some fads are longer lasting than expected. fads have made some business owners incredibly wealthy. fads can take a business in a new direction.

Answers: 2

Answer

Business, 22.06.2019 09:40

Newton industries is considering a project and has developed the following estimates: unit sales = 4,800, price per unit = $67, variable cost per unit = $42, annual fixed costs = $11,900. the depreciation is $14,700 a year and the tax rate is 34 percent. what effect would an increase of $1 in the selling price have on the operating cash flow?

Answers: 2

Answer

Business, 22.06.2019 19:30

Which of the following statements are false regarding activity-based costing? non-manufacturing costs are important to include when calculating the cost of each product. costs are allocated based on a pre-determined overhead rate. transitioning from traditional costing methods to activity-based costing can be complicated and costly. activity-based costing follows the same basic calculation methods as traditional costing approaches. none of the above

Answers: 2

Answer

Business, 22.06.2019 21:50

Which of the following best describes the economic effect that results from the government having a budget surplus? a. consumers save more and spend less, enabling long-term financial planning. b. overall demand decreases, reducing the incentive for producers to increase production. c. banks have more deposits, enabling them to make more loans to investors. d. government spending increases, increasing competition for goods and services and driving prices up.

Answers: 3

Answer

You know the right answer?

Farmer Owens has an apple orchard that must be pollinated by bees in order to bear fruit. Farmer Owe...

Questions