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omeli [17]
3 years ago
14

If a profit-maximizing, competitive firm is producing a quantity at which marginal cost is between average variable cost and ave

rage total cost, it will___________________.
a. keep producing in the short run but exit the market in the long run.
b. shut down in the short run but return to production in the long run.
c. shut down in the short run and exit the market in the long run.
d. keep producing both in the short run and in the long run.
Business
1 answer:
Murljashka [212]3 years ago
5 0

Answer:

a. keep producing in the short run but exit the market in the long run.

Explanation:

To answer the question, there is a need to look at the effect of the situation on the firm both in the short- run and the long-run

Short Run Effect

The Marginal cost is between average variable cost and average total cost. The business can still continue producing goods because the quantity being produced is still able to cover the average variable cost. This means that the firm is still able meet its variable costs by setting the price of its goods to its marginal cost which is an amount greater than its average variable cost.  

Long Run Effect

However, in the long-run the company will begin to have issues even meeting other important costs such as the fixed costs associated with production and as such, the firm will need to exit the market in the long run. For instance the cost of long term loans (principal and interest) may not be covered by the net income of the firm.  

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Three employees in the maintenance department are responsible for repairing the video games at Pinball Wizard, a video arcade. A
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Answer:

(D) Calling a patient to confirm an appointment.

Explanation:

Which among the following processes of a dentist's office is the most likely a back-office process?

A back office process is a process that supports the front office processes. In the service industry such as this - dental services - a back office process won't require the presence of the client.

THE ANSWER IS (D)

Calling a patient to confirm an appointment doesn't require facing the patient or having them around.

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Cleaning a patient's teeth requires his or her presence at the dental clinic.

Same with option C.

8 0
3 years ago
The external competitiveness of an organization's pay relative to elsewhere in the industry is measured by its ________. Group o
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Answer:

B) incorporate the unique demands of different cultures

Explanation:

To be effective, an employee involvement program must ________.

A) rightsize the company by eliminating obsolete positions

B) incorporate the unique demands of different cultures

C) mandatorily establish work councils in the company

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2 years ago
U.S. appliance manufacturers find that different customs about shopping must be considered to determine product design. For inst
vovangra [49]

Answer:

Global marketing strategy

Explanation:

A global marketing strategy (GMS) is a strategy that encompasses countries from several different regions in the world and aims at coordinating a company's marketing efforts in markets in these countries. A GMS does not necessarily cover all countries but it should apply across several regions.

Competing on a global basis allows customers worldwide to be better-informed and more focused on the products and services you offer. Creating a comprehensive global marketing strategy also allows your company to adapt quickly wherever needed based on customer demands and trends in the global marketplace.

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5 0
3 years ago
Read 2 more answers
Peterson Company purchased machinery for $960,000 on January 1, 2014. Straight-line depreciation has been recorded based on a $6
Molodets [167]

Answer:

198,000

Explanation:

(960000 - 60,000) / 5 = 180k

Deprecation expense = 180,000 x 5 = 720,000

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4 0
3 years ago
Concord Corporation owned 16000 shares of Ivanhoe Corporation. These shares were purchased in 2017 for $130000. On November 15,
mafiozo [28]

Answer:

  • Gain = $271,310
  • Net reduction in retained earnings = $‭105,690‬

Explanation:

Gain = (Ivanhoe market price - Purchase price) * Number of shares issued as property dividend

Purchase price = 130,000 / 16,000

= $8.13

Number of shares issued as property dividend = 130,000 shares of Concord / 10

= 13,000 Ivanhoe shares

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= $‭271,310‬

Net reduction in retained earnings:

= Dividends payable - Gain

= (13,000 * 29) - ‭271,310‬

= $‭105,690‬

4 0
3 years ago
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