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aliina [53]
3 years ago
12

Initially, a competitive industry that has 1,000 firms is in long-run equilibrium. Then 100 firms in the industry adopt a new te

chnology that reduces the average cost of producing the good. In the short run, the price ________, firms with the new technology make ________ profits, and firms with the old technology ________.
Business
1 answer:
antoniya [11.8K]3 years ago
7 0

Answer:

The correct answer is: declines; higher economic; will incur losses.

Explanation:

A perfectly competitive firm has 1,000 firms that are operating in the long-run equilibrium.  

Out of these firms, 100 firms have adopted a new technology that has caused their average cost of production to decline.  

These firms will be able to produce more output at the same cost. As a result, their supply will increase, this will cause the price to decline.  

The firms with new technology that are facing a lower average cost of production will earn positive economic profits as they have lower costs.  

The firms with old technology that have higher production costs will incur economic losses as they have higher costs.

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Refer to the HR Reports in the Inquirer. Through past investments in recruiting and training Chester has obtained a productivity
Reil [10]

Note:

I wasn't able to access the Chester Income Statement but I successfully accessed a similar question Digby.

The Complete Question is as under:

Refer to the HR Reports in the Inquirer. Through past investments in recruiting and training Digby has obtained a productivity index of 109.6%. This means that Digby's labor costs would be increased by 9.6% if it did not have these productivity improvements. This is a competitive advantage that Digby can sustain or even widen further if its competitors have no HR initiatives. Now, refer to the Income Statement in Digby's Annual Report. How much did Digby's productivity improvements save it in direct labor costs (in thousands) last year?

A. $766

B. $29818

C. $3137

D. $3211

Answer:

Option D. $3,137

Explanation:

The Productivity Index of 9.6% shows that if the improvement plan is implemented then the efficiency gains would result in saving of 9.6% of total direct cost. So if we total the direct cost for the year for all of the four products then we have an amount of $32,680 which is given at the second last column.

The amount saved last year would be:

Savings = $32,680 * 9.6% = $3,137

Hence the option C is correct here.

3 0
3 years ago
If a certain household earns and spends $24,000 per year and, on the average, holds a money balance of $6,000, then the velocity
solong [7]

If a certain household earns and spends $24,000 per year and, on average, holds a money balance of $6,000, then the velocity of money for this household is 4.

A household consists of one or more people who live in the same dwelling and share meals. It can also consist of a single-family or another group. Households are the basic unit of analysis in many social, microeconomic, and government models and are important to economics and inheritance.

The definition of household relates to family or social units living together, or household behavior. You and your family members who live with you are an example of your household. Budgets and checkbooks are examples of household budget tools.

Learn more about household here:brainly.com/question/9417571
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4 0
1 year ago
A company implements the following policy regarding inventory in transit: Goods purchased are included in inventory records, whi
a_sh-v [17]

Answer:

c. The party who has title to the inventory while in transit.

Explanation:

If you sell or buy FOB shipping point, then you could use this type of accounting method. The title of the goods is transferred immediately (as soon as the goods leave the seller's premises). But if the transactions are FOB destination, the title of the goods is transferred only after the goods have been delivered.

8 0
3 years ago
During December, the production department of a process operations system completed and transferred to finished goods a total of
kati45 [8]

Answer:

$3 per unit

Explanation:

The computation of the direct materials cost per equivalent unit is shown below:

Completed and transferred to finished goods  65,000 units  

Equivalent number of additional units in process 15000 units

Beginning inventory material cost $57,500

Direct material cost incurred $183,000

Total direct material cost $240,500 ($57,500 + $183,000)

ANd, the total units is  80,000 (65,000 + 15,000)

So, the direct material cost per equivalent unit is

= $240,500 ÷ 80,000 units

= $3 per unit

3 0
2 years ago
The country of Baurisia has, until now, been self-sufficient in both grain and meat. However, with growing prosperity in Baurisi
Rina8888 [55]

Answer:<em> Option (D) is correct </em>

Explanation:

To weaken the conclusion, the answer will emphasize on why Baurisia will not soon become an importer of grain.  

Here, in this case if importing meat is cheaper than importing grain, then Baurisia is likely to satisfy the demand for meat by becoming an importer of meat, weakening the conclusion that Baurisia will soon become an importer of grain.  

<em>Therefore , It is more economical for Baurisians to import meat than grain, if true, most seriously weakens the argument.</em>

7 0
3 years ago
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