Answer:
The opportunity cost will be Buying a new lawnmower
Explanation:
Opportunity cost refers to the cost of a forgone alternative. In this scenario, since the owner of a landscaping business has decided to spend the extra income on advertising campaign in order to increase sales, the forgone alternative here becomes buying a new lawnmower.
Answer
The answer and procedures of the exercise are attached in the following archives.
Explanation
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
Answer:
The answer is in a perfect competition profit is maximized when marginal cost equal marginal revenue and price is equal to average revenue and marginal revenue, while in monopolist profit is maximized when marginal cost is equal to marginal revenue.
Explanation:
The firm in a perfectly competitive market is a price taker,the price in the market is determined by the market forces of demand and supply. The firm has to sell their product at the ruling market price.The demand curve facing the firm in perfectly competitive market is horizontal or perfectly elastic, profit is therefore maximized when the marginal cost is equal to average revenue and marginal revenue. The firm in the market operate at the output level in which the price and marginal revenue is equal to marginal cost. Whatever prices that change the market demand or supply will change the demand curve faced by the firm.The firm cannot do anything to this than to accept the market price and the demand curve.
In a monopoly the demand curve is identical to the demand curve of the firm, because industry demand curve is downward sloping.The monopolist can either set the price or quantity not the two.when one is determined the value of the other will be determined by the demand function. The profit maximization of the monopolist also requires that marginal cost must be equal to marginal revenue just like in the case of perfect completion.when the monopolist equates MR and MC the monopolist determines its output and the market price for the product. The revenue curve is steeper than the demand curve,because the straight line is the market demand. The firm will have to reduce The price of the product if they want to sell more of their product the unit of the product sold is the AR which is equal to the price.Therefore the AR curve of the monopolist and the perfect competition MR and AR are both identical that informed the reason why the marginal revenue curve is steeper than the demand curve for a single price monopolist.
Answer:
$27.14
Explanation:
Calculation for the price of the firm's perpetual preferred stock
Using this formula
Price of the firm perpetual preferred stock = Annual dividend / Required return
Where,
Annual dividend =$1.90
Required return=7% or 0.07
Let plug in the formula
Price of the firm perpetual preferred stock = $1.90 / 0.07
Price of the firm perpetual preferred stock=$27.14
Therefore the Price of the firm perpetual preferred stock will be $27.14
Using the "Thinking at Margin" methodology, the relevant statement for a television maker to consider while making a choice is as follows: the average cost of ten TVs is one hundred dollars apiece. Option C. This will be discussed in further detail below.
<h3>What exactly does "Thinking at Margin" entail?</h3>
In most cases, it means giving some consideration to the action that will come next in your plan. The word "marginal" may also be used to signify "additional." The first glass of lemonade you drink on a hot day will quench your thirst, but successive glasses may not have the same impact on you.
When you contemplate at the margin, you are considering what the next or succeeding action will mean for you on an individual level.
In conclusion, using the "Thinking at Margin" technique, the following are the essential points for a television producer to take into consideration before making a decision when it comes to television programming: The usual cost of creating ten televisions is one thousand dollars each. Alternative C
Learn more about Thinking at the Margins by visiting this link: brainly.com/question/4468044 #SPJ1
