1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
navik [9.2K]
3 years ago
10

Mr. Hudson notes that if he produces 10 pairs of shoes per day, his average fixed cost (AFC) is $14 and his marginal cost is $8;

if he produces 20 pairs of shoes per day, his MC is $15. What is his AFC when output is 20 pairs of shoes per day
Business
1 answer:
zalisa [80]3 years ago
3 0

Answer:

Average fixed cost for 20 units = $7

Explanation:

<em>The fixed costs are cost are expenditures that do not vary with the activity level within a given range. Unlike variable costs, fixed costs are tend to be unaffected in the short run by amount of production work done or service rendered.</em>

The units produced will not have an impact on the total fixed costs but rather on the average fixed cost. The average fixed cost would become lower as the units produced increases.

Average fixed cost = Total fixed cost / Total units produced.

Hence , Total fixed cost = Average fixed cost × units produced

DATA

AFC - $14

Units - 10 units

Total fixed cost = 10 × 14 = $140

Average fixed cost for 20 units =Total fixed cost / Number of units

140/20 = $7

Average fixed cost for 20 units = $7

You might be interested in
When it comes to credit cards, what does prepaid mean?
stiv31 [10]
prepaid means already paid
8 0
2 years ago
How are prices determined in a free market economy​
professor190 [17]
If it’s free then I don’t think they need to determine the price bc it’s free
5 0
2 years ago
In a furniture store, a window display shows how colorful lamps and pillows
Zanzabum

Answer:C

Explanation: Provide a link to show how brighten a room is

3 0
3 years ago
Angie owns numerous strip malls. A major tenant of one of the strip malls wanted to cancel its lease because it was moving to an
Vlad [161]

Answer:

1. To determine whether she is in the business of being a person who LEASE out property as well as what will be her TAX BASIS for the lease.

2. Ordinary income of $60,000

Explanation:

1. Based on the information given the factors that she should consider in order to determine the amount as well as the character of her income from these circumstances is to determine whether she is in the business of being a person who LEASE out property as well as what will be her TAX BASIS for the lease.

b. Based on the information given we were told that the tenant paid her the amount of $60,000 in order to cancel its obligations under the lease which means that the amount and character of her income from the cancelled lease will be ORDINARY INCOME of the amount of $60,000 which we were told the tenant paid her in order to cancel its obligations under the lease.

7 0
3 years ago
You plan to purchase a $340,000 house using either a 25-year mortgage obtained from your local savings bank with a rate of 8.10
larisa [96]

Answer:

a. Interest under 10 year mortgage = CUMIPMT(7.1%/12, 10*12, 340000*80%, 1, 10*12, 0)

Interest under 10 year mortgage = 108662.44

Interest under 25 year mortgage = CUMIPMT(8.1%/12, 10*12, 340000*80%, 1, 25*12, 0)

Interest under 25 year mortgage = 363217.16

Difference in interest = 363217.16 - 108662.44

Difference in interest = 254554.72

b. Monthly payment under 10 year = PMT(7.1%/12, 10*12, 340000*80%)

Monthly payment under 10 year = 3172.19

Monthly payment under 25 year = PMT(8.1%/12, 25*12, 340000*80%)

Monthly payment under 25 year = 2117.39

Difference in the monthly payment = 3172.19 - 2117.39

Difference in the monthly payment = 1054.80

5 0
2 years ago
Other questions:
  • Fox Co. was organized January 2, with 30,000 authorized shares of $10 par common stock. During the year the corporation had the
    7·1 answer
  • That a company chooses a new product to introduce into the market is a ▼ capital budgeting capital structure working capital man
    5·1 answer
  • The desire of businesses to ____________, so that they can raise the prices that they charge and earn higher profits, has been w
    11·1 answer
  • What do you think are the most important values and attitudes to have in order to suucessful in a job? why?
    10·1 answer
  • When the owner of a sole proprietorship dies, what becomes of the business?
    6·1 answer
  • What does the Judge usually say when things get crazy in the court room?
    9·2 answers
  • The primary objective of expense recognition is to Promote comparability between financial statements of different periods. Prov
    10·1 answer
  • A student copies information from a website into a term paper without giving credit. This action is most strongly related to whi
    11·2 answers
  • 3. Based on sales, what products do customers want? How accurately did the
    14·1 answer
  • movie producers a, b, and c secretly meet and agree to release their summer blockbuster films in sequence, rather than at the sa
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!