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jek_recluse [69]
3 years ago
14

A firm producing good y recently increased monthly production from​ 1,500 units to​ 2,000 units. this had no impact on the marke

t price of good y. at the new production level of​ 2,000 units, the​ firm's average cost is​ $3.5 while its marginal cost of production is​ $4. the marginal revenue however is fixed at​ $5 for all levels of output. jake williamson is the operations head of the firm. jake feels​ that, since the firm has the​ capacity, it should have increased production further to​ 2,500 units which would have maximized profits. on the other​ hand, mathew hayden of the market research team anticipates an increase in price to​ $5.5 in the near future. he therefore claims that the firm may not be maximizing economic profit in the short run even at​ 2,500 units
Business
1 answer:
solmaris [256]3 years ago
6 0
The following that most strongly implied by this information is that at the current level of production, the firm is making a profit of $3000. Jake and Mathew will most likely agree on The firm should increase production from the current level. Mathew is assuming​ that no new firms enter the market in the short run.
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Answer:

Eng grammar

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Hope I Helped

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2) Purchasing, good luck!
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Perez Corporation’s computer services department assists two operating departments in using the company’s information system eff
ollegr [7]

Answer:

Production department $440,000

Sales department $143,000

Explanation:

The allocation of the total cost to the operating departments is proportional to the number of employees. In other words, as the number of employees increases, so does the allocated cost and vice versa.

Hence,

Cost allocated to the production department

= 40/(40 + 13) × $583,000

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= $440,000

Cost allocated to the sales department

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= $143,000

3 0
3 years ago
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In order to calculate the depreciation using the double declining balance method you must first calculate the amount of depreciate using the straight line method. After you calculate it by the straight line method, you simply need to double it for this this problem.

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Year Depreciation Amount

1 7,200

2 7,200

3. 3,600

3 0
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