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mars1129 [50]
3 years ago
15

When a firm is experiencing economies of scale, long-run a. average total cost is minimized. b. average total cost is greater th

an long-run marginal cost. c. average total cost is less than long-run marginal cost. d. marginal cost is minimized.
Business
1 answer:
USPshnik [31]3 years ago
7 0

Answer:

A. Average total cost is minimized

Explanation:

Economies of scale refers to the cost advantages a firm enjoys when production becomes efficient. Economies of scale can be achieved by increasing production and and lowering cost of production.This is because cost are spread over a larger number of goods, thereby, making per unit cost cheaper.

There are two types of cost

1. Fixed cost: They are cost that doesn't change during the production process. Such as buildings, furnitures and fittings, machineries.

2. Variable cost: They are cost that changes with production process such as cost of raw materials.

When a firm is experiencing economies of scale, long-run, average total cost is minimized.

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Which of these describes what can happen with an adjustable-rate mortgage?
olga55 [171]

Answer:the answer is D

Explanation:

It goes up and down due to the adjustable rate of the mortgage

4 0
3 years ago
Read 2 more answers
During December, Far West Services makes a $1,600 credit sale. The state sales tax rate is 6% and the local sales tax rate is 2.
vredina [299]

Answer:

Account Receivables 1,736 debit

   Sales Revenue             1,600 credit

   sales tax payable            136 credit

Explanation:

The company will charge to the 1,600 sale the sales tax :

1,600 x (0.06 state + 0.025 local) = 136

the salestax is levied in the consumer not the firm thus it is not an expense the company is just an intermediary between the government and the consumer.

3 0
3 years ago
In the short run, a perfectly competitive firm will maximize profits (minimize losses) by producing the level of quantity at whi
Elena L [17]

Marginal revenue is equal to marginal cost.

A perfectly competitive firm will maximize profits (minimize losses) by producing the level of quantity.

The profit maximize firms will occur at a level of quantity where marginal revenue equals to the marginal cost. It can also maximize its profit when its total cost curve intersects curve. Economic profit is the difference between the total revenues and economic costs.

Perfectly competitive firms are called the price taker firm to maintain and maximize profits. It definitely raise the prize for its profit otherwise it losses all its production in terms of sales. It is generally an atomic market condition intensively depending on ideal price.

To learn more about perfect competition here,

brainly.com/question/28081306

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8 0
1 year ago
He Wall Street Journal reports that the rate on three-year Treasury securities is 4.75 percent and the rate on four-year Treasur
Volgvan

Answer:

1 +1R4= {(1 +1R3)(1 + E(4r1) +L4)}1/4

1.0500 = {(1.0475)^3(1 + 0.0525 +L4)}1/4

(1.0500)^4= (1.0475)3^(1 + 0.0525 +L4)

(1.0500)^4/(1.0475)^3= 1 + 0.0525 + L4

(1.0500)4/(1.0475)^3-1.0525

L4= .0050358564 = 0.504%

4 0
3 years ago
The name for computations that allow you to determine how much money to deposit now to earn a desired amount in the future is
nydimaria [60]

Answer:

Future value

Explanation:

The name for computation that allows you to determine how much money to deposit now to earn a desired amount in the future is "Future value." Future value is the equivalent of an asset at a particular date. It estimates specific nominal future sum of cash that an invested sum of money is "worth" at a stipulated period in the future considering a specific interest rate, or more commonly, rate of interest; it is the immediate price multiplied by the aggregation function.

5 0
3 years ago
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