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ddd [48]
3 years ago
9

Assume a purely competitive firm is selling 200 units of output at $3 each. At this output, its total fixed cost is $100 and its

total variable cost is $350. This firm is incurring losses. is maximizing its profit. is making a profit, but not necessarily the maximum profit. should shut down in the short run.
Business
1 answer:
olga55 [171]3 years ago
8 0

Answer:

correct option is maximizing its profit

Explanation:

given data

firm is selling  = 200 units

output = $3 each

fixed cost = $100

variable cost = $350

solution

we get here Total average cost that is

Total average cost = variable cost + fixed cost .............1

put here value

Total average cost  = 350 + 100

Total average cost  = $450

and

Cost per unit will be

Cost per unit = average cost ÷ no of units   ............2

Cost per unit = 450  ÷  200

Cost per unit = $2.25

so here firm is incurring per units is $2.25 but here earning per unit is $3 .

so that here firm is earning economic profit

as here market price is greater than earning maximum profit

so correct option is maximizing its profit

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Answer:

The correct total time is nineteen (19) days instead of twenty-one days.

Explanation:

Given the analysis of time for the project in parenthesis, it is feasible to merge some of the activities together by carrying them out simultaneously.

For example:

In the course of arranging and confirming the training facility to use which will last for 3 days, the development of the training material that ought to last for 5 days is brought down to a 2 days work because the initial 3 days for arrangement becomes vacant pending the reply on the final day. This brings the total days from 8 to 5.

Other days remain thus:

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• Print copies of handout (2 days)

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Hence, total days are as follow:

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The attached data is required to answer the question

Answer:

$535

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We expect an increase of 10% of sales

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Answer:

The correct option of this question is (B). Explanation of this answer is given below in the explanation section

Explanation:

(B) is Correct Option:

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Why other options are not correct

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3 0
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