As an owner of a factor of production you should expect to be rewarded if it was used in the production process. RENT: the periodic payments made to the owners of assets for the use of their as a factor of production or for consumption.

INTEREST: Those who invest in should be rewarded with interest.

This can also be applied to individuals; if you have $1,000 at your disposal you can either spend it (consume) or save it and receive interest on the money from a bank.

PROFIT: the “reward” for for organising productive activity, for innovating new products and for risk taking.

WAGES: The payment made to an employee for the use of his or her as a factor of production.

The owners of backstreets italian restaurant are considering starting a delivery service forpizza and their other italian dishes in the small college town where they are located. theycan purchase a used delivery van and have it painted with their name and logo for $21,500.they can hire part-time drivers who will work in the evenings from 5 p. m. to 10 p. m. for$8 per hour. the drivers are mostly college students who study at the restaurant when theyare not making deliveries. during the day, there are so few deliveries that the regular employeescan handle them. the owners estimate that the van will last 5 years (365 days per year)before it has to be replaced and that each delivery will cost about $1.35 in gas and othermaintenance costs (including tires, oil, scheduled service, they also estimate that onaverage each delivery order will cost $15 for direct labor and ingredients to prepare andpackage, and will generate $34 in revenue. a. how many delivery orders must backstreets make each month in order for the service to break even? b. the owners believe that if they have approximately the break-even number of deliveries during the week, they will at least double that number on fridays, saturdays, and sundays. if that’s the case, how much profit will they make, at a minimum, from their delivery service each month (4 weeks per month)?

The sec has historically raised questions regarding the independence of firms that derive a significant portion of their total revenues from one audit client or group of clients because the sec staff believes this situation causes cpa firms to

What do you recommend adam do to increase production in a business setting that does not seem to value high productivity?