Answer:
monopoly firms will operate at a loss because P =MC.
Explanation:
In the case when the government needed to regulate the natural monopoly to price at the marginal cost so here the firm i.e. monopoly would operate at the loss because the price is equivalent to the marginal cost
i.e.
P = MC
Therefore as per the given situation the option d is correct
Answer:
Margin of safety= 950 units
Explanation:
<u>First, we need to calculate the break-even point in units:</u>
Break-even point in units= fixed costs/ contribution margin per unit
Break-even point in units= 42,000 / (54 - 14)
Break-even point in units= 1,050
<u>Now, the margin of safety in units:</u>
<u></u>
Margin of safety= (current sales level - break-even point)
Margin of safety= 2,000 - 1,050
Margin of safety= 950 units
Answer:
False
Explanation:
Arbitrage refers to buying and selling stocks, commodities, bonds, currencies, or any other type of security. This process is carried out simultaneously, and a profit is made when the purchase price is lower than the selling price. E.g. a trader that purchases gold from a European seller and immediately sells it to an Asian buyer at a slightly higher price.
As technology advances, arbitrage has become more difficult to carry out because information is available to everyone. Before, a company could purchase a good (e.g. beef) in Texas and sell it at a higher price to a buyer in New York.
Select the account that would be decreased if the owner of hillary's hair salon decides to withdraw $40 for personal use. 'cash'
therefore the correct option is Cash
Personal Use
Any usage that does not meet the requirements for Commercial Use is considered Personal Use. Use for strictly personal objectives is referred to as personal, or non-commercial, use. A use must satisfy ALL THREE of the following requirements in order to be deemed "Personal":
The use cannot entail a currency exchange.
The use can't be used to advertise a company (this includes non-profit organizations)
There must be no financial gain from the use, either directly or indirectly.
The use is classified as "Commercial" if one or more of the requirements are not satisfied.
To learn more about Personal Use
brainly.com/question/27034337
#SPJ4
Answer:
The increase in GDP is $250
Explanation:
The increase in investment spending = $100
Marginal propensity to consume = 0.6
Now we have to find an increase in the GDP after absorbing the $100.
Therefore, we need to find the multiplier by using the marginal propensity to consume.
Multiplier = 1 / (1-MPC)
Multiplier = 1/( 1- 0.6)
Multiplier = 2.5
The increase in GDP = increase in investment spending × Multiplier
The increase in GDP = 100 × 2.5 = $250
