Answer:
(C)
Explanation:
First, what does it mean for a firm to be a price-taker and then in 2 market places?
If a firm is a price-taker, this means that the firm accepts the price presented by the other group. The other group in this case is either laborers (labor market) or customers/other firms (output market).
A firm that is a price-taker does not set or use its own desired price and this is usually for business reasons.
The labor market is a resource market; since labor is one of the resource inputs or factors used in production.
A price-taker firm in the labor market is one that accepts the price at which labor(ers) chooses to work. This price could be lower or higher than what the firm is willing and able to pay.
The output market is the market for buying and selling of finished or semi-finished goods/products. It is the final market; where manufactured goods are made available to their various consumers.
A price-taker firm in the output market is one that accepts the price set by other firms in the industry or the price agreed upon by consumers. Again, this price could be higher or lower than the price at which the producer is willing to give the product away.
Now, what happens to the income statistics of firm that is a price-taker in both the labor market and the output market?
The firm will be running on less than the marginal revenue product of labour.
I’m assuming you mean that the contribution margin is $50 not 50. Contribution margin usually takes into account variable costs but not fixed costs. Assuming the profits take into account fixed costs this means that the net contribution should be $35,000 ($30,000 profit + $5,000 fixed costs = net contribution). That means that 700 units must be sold in order to generate $35,000 (700 x $50)
Answer:
No she won't.
Explanation:
Vicki will not be able to present evidence as to the sales representative's statements concerning the warranty that "This writing is the full and final expression of the parties' agreement; anything said before signing or while signing is irrelevant." thereby excluding the car's warranty.
Hence, any evidence of the discussion of the warranty would most likely be excluded by the parol evidence rule.
Answer:
A firm is deciding how much of its equipment to sell so that it can reduce its monthly loan payments for equipment.