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Pavel [41]
3 years ago
12

The basic model of pure competition reviewed in this chapter finds that in the long run all firms in a purely competitive indust

ry will earn normal profits. If all firms only earn a normal profit in the long run, firms will develop new products or lower-cost production methods because they can:_________.a) innovate and possibly earn an economic profit in the short run. b) improve their management and earn an economic profit in the long run. c) eliminate competition. d) innovate and possibly earn a normal profit in the short run.
Business
1 answer:
Helen [10]3 years ago
7 0

If all firms only earn a normal profit in the long run, firms will develop new products or lower-cost production methods because they can innovate and possibly earn an economic profit in the short run.

Explanation:

Competition involves constant efforts by companies and executives to do more than the loss (normal gains) of new goods or by improving ways to manufacture current products at lower prices. Therefore, if businesses can invent, they will achieve short-term economic advantage.

Economic benefit encourages entry, economic losses lead to exit and firms in a highly profitable market earn little economic income in a long-term equilibrium. In an industry where inflation does not change the costs of materials (a market with a constant cost), the long-term supply curve is a horizontal line.

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Dawson Company issued 600 shares of no-par common stock for $5,400. Which of the following journal entries would be made if the
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Answer:

b. Cash               5,400 Debit

    Common Stock                                    1,200 Credit

    Paid-in Capital in Excess of Par          4,200 Credit

Explanation:

the cash proceeds will be for 5,400

common stock will increase for the face value:

600 shares x 2 = 1,200

the paid-in capital in excess of par value will be the difference:

5,400 - 1,200 = 4,200

Cash, which is an asset increase for mdebit side while the common stock and additional paid-in are equity accounts. They increase from the credit side.

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3 years ago
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klasskru [66]

Answer:

The answer is C.It makes recommendations that are validated using machine learning.

Explanation:

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7 0
3 years ago
Assume a state has a criminal statute that punishes "every person who by himself or his employee or agent sells anything at shor
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svlad2 [7]

Answer:

C

Explanation:

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Answer:

An office

Explanation:

an office  is the best option on this list.

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3 years ago
Read 2 more answers
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