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Leni [432]
3 years ago
12

One assumption that distinguishes short-run cost analysis from long-run cost analysis for a profit-maximizing firm is that in th

e short run,
a. the size of the factory is fixed.
b. output is not variable.
c. the number of workers used to produce the firm's product is fixed.
d. there are no fixed costs.
Business
1 answer:
scoray [572]3 years ago
8 0
A. The size of the factory is fixed.

We know there will always be costs of rent and etc when running a business so even in the short run there is fixed costs. The output is always variable depending on the number of workers. The number of workers is also not fixed, but the size of the factory is because you cant just get up and move your business over night, it costs money and is a lot of work.  
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Answer:

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Explanation:

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In the attachment, we calculate the NPV for each one of the projects using a rate of return i=3% for all of them. Any rate of return could be used as long as they are the same for all projects.

A positive NPV value means a good investment and the higher that number is the better the investment. In this case, we can see that Project X has the higher NPV of all the projects. Therefore, project X is the most attractive for an investor.

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3 years ago
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iragen [17]

Answer:

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Explanation:

Giving the following information:

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To determine the cost formula, first, we need to calculate the unitary variable cost and fixed cost.

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Total cost= unitary variable cost + fixed cost

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7 0
3 years ago
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ANEK [815]

Answer:

Kindly refer to the attached file for the tabular solution

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?

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