D asking your instructor to assign you a topic
Answer and Explanation:
Material participation in the business is when involvement in the business activity exceeds 500 hours during the year. Furthermore, if the activity is a significant activity of participation and the number of aggregate hours worked in all such activities exceeds 500 hours per year, of that kind participation is also construed as material participation.
Therefore, the participation of John and Jeff would be considered as material.
Answer:
average total cost per unit is not at its lowest possible cost
Explanation:
A monopolistic competition is defined as such a market where many different firms or companies sells various differentiated products. Here the firm has some control on the price of the product. It is a market structure of considerably no price competition.
The monopolistic firms are not productive enough because the output is very less than the optimum level of the society as the average total cost of the producer per unit is not at the lowest possible cost.
Answer:
A. Multifactor productivity
Original Value of output 2500 un. x $200/un. = $500,000 Value of input 2500 un x $120/un. = $300,000 Multi-factor productivity $500,000/$300,000 = 1.67 Overtime Value of output 4000 un. x $200/un. = $800,000 Value of input 4000 un. x $144/un. = $576,000 Multi-factor productivity $800,000/$576,000 = 1.39 Multi-factor productivity (1.67 – 1.39) / 1.67 = 16.8% decrease
B. LABOR PRODUCTIVITY
Original Value of output 2500 un. x $200/un. = $500,000 Input = (100 people x 40 hr/person) = 4000 hours Labor productivity $500,000/4000 hr = $125/hr Overtime Value of output 4000 un. x $200/un. = $800,000 Input = (100 people x 72 hr/person) = 7200 hours Labor productivity $800,000/7200 hr = $111/hr Labor productivity ($125/hr – $111/hr) / $125/hr = 11.1% decrease
C.GROSS PROFITS
Original $500,000 - $300,000 = $200,000 Overtime $800,000 - $576,000 = $224,000
$24,000 increase
