Using the reciprocal services method, which of the following equations represents the correct algebraic expression needed to capture the total costs of a Janitorial Department (J) that includes $350,000 of direct costs and 30% of the Maintenance Department (M) cost and the Maintenance Department that includes $50,000 of direct costs and 50% of the Janitorial Department? (Hint: This equation is derived from the two separate equations representing each department’s costs.) Group of answer choices J = $350,000 + (0.30 ÷ $50,000) + (0.50 ÷ J) J = ($350,000 × 0.30) + ($50,000 × 0.50) + J J = $350,000 – [(0.30 × $50,000) – (0.50 × J)] J = $350,000 + {0.30 × [$50,000 + (0.50 × J)]}

J = $350,000 + {0.30 × [$50,000 + (0.50 × J)]}

Explanation:

Data provided in the question

Janitorial Department (J) that includes $350,000 of direct costs and 30% of the Maintenance Department (M)

i.e., J = $350,000 + ( 30% × M )

And

Maintenance dept. (M) includes $50000 of direct costs and also 50% of the janitorial dept. (J)

i.e., M = $50,000 + ( 50% × J )

Therefore

The equation is shown below:

J = $350,000 + (0.30 × M) and M = $50,000 + (0.50 × J)

Now put the M values in the J equation

J = $350,000 + {0.30 × [$50,000 + (0.50 × J)]}

1) subsidies as the seller will receive a higher amount that the market price

2) taxes because traslation effect considering demand price-elasticity

3) taxes

4) subsidies will increase the amount recieve by sellers. (for taxes it act as a intermediate it retains the taxes levied and then has to give them to the government thus, aren't an increase in they proceeds

5) taxes, the subsidies are government espending

6) taxes, because traslation effect.

Explanation: