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3 years ago

The perfectly competitive price and output level occur where

Business

1 answer:

jasenka [17]3 years ago

7 0

Answer:

It occur where MR = MC

Explanation:

Perfectly competitive organization or firm is the one who is price taker, which states that they must accept the price at which it sells the goods to consumer.

In a firm that is a perfectly competitive, the level of output as well as the price happen where the Marginal Cost is equal to the Marginal Revenue.

It is stated as MR = MC.

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pAn office building owner agrees to buy a minimum of 270 chairs and up to 440 chairs from a supplier. The price will be $85 per

erastova [34]

Answer:

The largest revenue the supplier can make under this deal is $24,151.2

Explanation:

Working file has been attached to help understand how the answer was derived. Some points to note in the sheet are:

The sheet represents the following columns which are S. No., Chairs, Price, Total Revenue and difference in each revenue.
As the no. of chairs rises the price is dropping by $0.2 in the entire order.
However, at first this increase in order of chairs is beneficial even with the drop in the price of entire order.
At the point, where chairs ordered are 348 and price is $69.4 the revenue is at its largest which is $24,151.2.
After this point the increase in the no. of chairs is only decreasing the overall total revenue of the supplier.

Download xlsx

4 0

3 years ago

Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant ra

Contact [7]

Answer:

The increase in net operating income will be $8

Explanation:

1000 units

Selling price = $20,000 / 1,000 = $20

Variable cost = $12,000 / 1,000 = $12

1001 units

Contribution margin Income statement

Sales $20,020

Less: Variable Expenses $12,012

Contribution margin $8,008

Less: Fixed Expenses $6,000

Net operating Income $2,008

Selling price = $20 x 1,001 = $20,020

Variable cost = $12 x 1,001 = $12,012

Increase in Income statement = $2,008 - $2,000 = $8

4 0

3 years ago

What is one of the opportunity costs of attending college?

loris [4]

One example of opportunity cost of attending college is “the highest valued alternative one forfeits to attend college”.

So basically, the opportunity cost would essentially be anything you would have done, and the money earned and saved had you not attended college. When people go to college, they come to a decision to put off full-time employment or a career for four years. Depending on one's scenario, the opportunity cost could be higher.

5 0

4 years ago

Read 2 more answers

Please explain how your past personal and professional experience make you a quality candidate for the position for which you ar

PolarNik [594]

If I was applying for a freelance job about writing about gems and geology for example, I would explain that I have over 40 years of professional experience as a practicing mainly field geologist with 19 years of it in a large producing open pit copper/molybdenum/gold/silver operation. I would stress that with so much field experience I am able to visualize many mining/geological situations and I am both very practical and very theoretical. Also, I would say that I have just written a book about the history of mining and geology so have considerable valuable writing experience plus doing some geological reports on the internet. Also, since I understand that such work could require talking to people in other countries and since Latin America has some valuable gems like emeralds, and since I learned Spanish while travelling in Latin America, I will be able to do phone research for such mineral occurrences.

3 0

3 years ago

"Which statements are TRUE about IO tranches? I When interest rates rise, the price of the tranche falls II When interest rates

horrorfan [7]

The available options are:

A. I and III

B. I and IV

C. II and III

D. II and IV

Answer:

C. II and III

Explanation:

IO tranche which is an acronym for Interest Only tranche is defined as a form of tranche which earns interest only from a secured loan which is derived from Principal Only tranche.

However, Interest Only tranche is quite different from a typical bond, simply because when market interest rate increases the rate of prepayment decreases, which in turn makes the rate of maturity to be longer. Thereby when interest rates increase, prices increase, and vice versa.

Hence the true statements are:

II When interest rates rise, the price of the tranche rises

III When interest rates fall, the price of the tranche falls

5 0

3 years ago