Answer:
Firm should not shut down, as it is able to cover its Average Variable Cost
Explanation:
Perfect Competition firms in Short Run : The firms produce even if their average revenue (price) < their average total costs (AC). They continue production until Average variable cost (AVC) ≥ per unit price (P) i.e average revenue (AR). This is called Shut Down Point. P lower beyond AVC implies that firm won't continue even in short run.
Given : Variable Cost (VC) = 500 ; Revenue (R) = 510
Average Variable Costs & Average Revenue are variable costs & revenue, per unit quantity. AVC = VC / Q ; AR (P) = R / Q
R i.e 510 > VC i.e 500
So, R/ Q i.e AR is also > VC / Q i.e AVC
Since AVC > AR (P), firm should not shut down
Answer: Option B
Explanation: In simple words, multiplier effect refers to the process under which a particular amount of expenditure results in the change in income greater than the amount of that expenditure made.
Usually this is used to depict the impact of the expenditures made by the government to boos the economy.
Hence from the above we can conclude that the correct option is B.
Answer:
$46,100
Explanation:
Given costs are;
cash price = $43,000
Accident insurance = $4,200
Sales taxes = $3,100
motor vehicle license = $100
painting and lettering = $400
The cost to be included as the cost for the truck are all the cost required to bring the truck to a state where it is available for use.
From the given costs, these cost are cash price and Sales taxes. Others are to be expensed.
Cost of truck = $43,000 + $3,100
= $46,100
Answer:
ex-urbs resulted from suburbanization (or counterurbanization, the first term sounds better to me)
Explanation:
In the past, city planners thought about large cities as concentric rings or sectoral divisions, but the rapid growth of suburbs have challenged those concepts. As more people moved into suburbs, not only rich people, but middle class also, the suburbs gained importance. Currently in the US, more people live in the suburbs than in cities or rural areas.
This process led to the formation of small satellite suburbs that were large enough to be considered small towns, and they multiplied. Each small satellite suburb (or ex-urb) keeps growing and have the advantage of lower housing costs, and the time it takes to go the large cities is not that long anymore. I currently live on a "small town" where many people go to work in the morning and return in the afternoon. But you also notice how more and more offices are opened here, not a lot of factories though.
In my personal experience, new businesses started to form around the train and bus station, and now it is full of small bank offices, restaurants, stores and a couple of supermarkets. People who lived there moved a little farther away and it is like a small downtown area.
Answer:
Debit equipment for the amount of $140,000
Explanation:
Based on the information we were told that the industries purchased an equipment for the amount of $140,000 in which the equipment is expected to be use over the next 10 years which means that Recording this transaction would include a DEBIT to equipment for the amount of $140,000 which is the amount that was used to purchased the equipment.
Hence, we are going to Dr Equipment for $140,000