Cost of inventory destroyed in fire is $1,140,000
<u>Explanation:</u>
The loss from fire to inventory can be calculated by finding the cost of the inventory on the may 4 , 2021.
Cost of sales = Sales – profit on sales
= 9000000-1800000
=$7200000
The value of inventory on the may 4 = opening inventory on January 1 + purchases + freight in – cost of sales
=1980000+5880000+480000-7200000
=$1,140,000
Cost of sales is referred to the amount that is incurred in producing the goods. Cost of sales is included in the sale price of the product to earn a profit beyond the cost. So sales includes cost and profit which can be used to find the cost of sales.
One problem with government operation of monopolies is that the government typically has little incentive to reduce costs.
<h3>What is a monopoly?</h3>
A monopoly is when there is only one firm operating in an industry. there are usually high barriers to entry of firms. The demand curve is downward sloping. A monopoly sets the price for its goods and services.
An example of a monopoly is a utility company
Here is the complete question:
One problem with government operation of monopolies is that a. a benevolent government is likely to be interested in generating profits for political gain. b. the government typically has little incentive to reduce costs. C. a government-regulated outcome will increase the profitability of the monopoly. d. monopolies typically have rising average costs.
To learn more about monopolies, please check: brainly.com/question/10441375
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Answer:
November 30
Explanation:
it's hard for me to explain it but basically sales are made whether the company receives the money or not
Answer:
B
Explanation:
SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. SWOT analysis (or SWOT matrix) is a strategic planning technique used to help a person or organization identify strengths, weaknesses, opportunities, and threats related to business competition or project planning.
Answer:
c. Marginal cost is $8, and average total cost is $5.
Explanation:
Marginal cost of a firm is the cost difference in producing an additional unit of a firm's output. The extra amount result from the an extra unit of output produced. It is derived by calculating the difference between the total cost and dividing it by the difference in output i.e change in TC/ change in output
In the question, The change in TC is calculated as $5008 - $5000 = $8 and the change in quantity is 1001 - 1000 = 1
Therefore 8/ 1= 8 marginal cost is = $8
on the other hand, Average total cost is the cost per unit of output i.e the cost of a commodity out of all the products produced by a firm. it is calculated by dividing the total cost by the total number of output
In the question above, The total cost is $5,000 and the Total output is 1,000
$5,000/ 1000 =$ 5
similarly, when the total output increased to 1001 and the total cost rises to $5008 the Average cost still remains at$ 5
prove: 5008/ 1001 = 5.0002 which is approximately equal to 5.
therefore the correct answer is c. Marginal cost is $8, and average total cost is $5.
