Answer:
Since a perfectly competitive firm must accept the price for its output as determined by the product’s market demand and supply, it cannot choose the price it charges. Rather, the perfectly competitive firm can choose to sell any quantity of output at exactly the same price. This implies that the firm faces a perfectly elastic demand curve for its product: buyers are willing to buy any number of units of output from the firm at the market price. When the perfectly competitive firm chooses what quantity to produce, then this quantity—along with the prices prevailing in the market for output and inputs—will determine the firm’s total revenue, total costs, and ultimately, level of profits.
Answer:
Delwazic Inc. is a multinational corporation (MNC) that creates products specialized for a few host countries. It manufactures berets in France, cowboy hats in the United States, bowlers in the United Kingdom, and bush hats in Australia. In this scenario, Delwazic Inc. is most likely a monopolist
Explanation:
A monopolist is solely responsible for sales of products to many buyers, such market is termed a monopoly market
Answer:
"Complements in production" is the correct answer.
Explanation:
The changes throughout the demand through one counterbalance throughout manufacturing resulted in higher consumption of one another.
- Complements instead in production however are commodities manufactured collaboratively from a certain revenue stream as well as input.
- This generally occurs when the revenue stream in the discussion has components that could be composed of certain commodities categories.
Answer:
Variable cost per unit= $1.5
Fixed costs= $2,000
Explanation:
Giving the following information:
Miles Driven Total Cost
January 10,000 $17,000
February 8,000 13,500
March 9,000 14,400
April 7,000 12,500
<u>To calculate the variable and fixed costs under the high-low method, we need to use the following formula:</u>
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (17,000 - 12,500) / (10,000 - 7,000)
Variable cost per unit= $1.5
Fixed costs= Highest activity cost - (Variable cost per unit * HAU)
Fixed costs= 17,000 - (1.5*10,000)
Fixed costs= $2,000
Fixed costs= LAC - (Variable cost per unit* LAU)
Fixed costs= 12,500 - (1.5*7,000)
Fixed costs= $2,000
Answer:
Domestic demand: Q = 5,000 – 100P; Supply: Q = 150P
At equilibrium, demand equals supply.
5,000 – 100P = 150P
250P = 5,000
P = 5,000/250
Equilibrium price (P) = $20
Substituting P in demand equation:
Q = 5,000 – (100*20)
Equilibrium quantity (Q) = 3,000 portable radio would be imported
