If a firm can earn ________, the firm is creating value for its shareholders.

27. Average cost curves (except for average fixed cost) tend to be U-shaped, decreasing and then increasing. Marginal cost curve

jasenka [17]

Answer:

Explanation: Both the marginal cost curve and the average variable cost curve are U-shaped. For many firms, this is true because their production exhibits increasing returns at low levels of output and decreasing returns at high levels of output. At the minimum of average cost, the marginal cost curve intersects the average cost curve. This is because when marginal cost is above average cost, average cost is decreasing and when marginal cost is below average cost, average cost is decreasing.

6 0

3 years ago

Read 2 more answers

Building Restoration, Inc. (BRI), enters into a contract to refurbish an old train depot for CasualDining, Inc., to open as Eat

maksim [4K]

Answer:

D

Explanation:

Substancial performance is a terminology used in contract law. It actually means the degree of performance of a contract work which is not completely or fully finished,but is so nearly equivalent that it would be unfair to deny the contractor the payment agreed upon in the contract. The owner has a right to recover whatever damages he has incurred by reason of the contractor's failure to render full and complete performance.

Building Restoration must have at least substantially performed the it's side of a bargain before they can call on the CasualDining,Inc to perform the their side of the bargain e.g. by paying an agreed amount. What actually constitute substantial performance depends on the circumstances.

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3 years ago

A farmer raises wheat and pays a portion of it as a tax that is collected by government agents and sent to a central storage fac

Alisiya [41]

Answer: redistribution

Explanation: In simple words, redistribution refers to the process in which something is distributed in way to achieve a specific objective like equality etc.

In other words, it can be seen as transfer of wealth or resources from one section of the society to the other sections. Redistribution is performed by governments of the country and is implemented using tools such as taxes, charity and public services etc.

Hence from the above we can conclude that the given example depcits redistribution.

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3 years ago

Kevin purchases 1,000 shares of Bluebird Corporation stock on October 3, 2020, for $115,000. On December 12, 2020, Kevin purchas

salantis [7]

Answer:a)$195,500 b) $10,735 c)$6,900

Explanation

a)adjusted basis of Kevin’s Bluebird stock on December 31, 2020?

1,000 shares was bought for $115,000

Therefore it was bought at $115 per share

Also

750 shares was bought at $80,500 and therefore bought at 107.33 per share

So in total of 1750 shares, He spent $195,500 ($115,000+ $80,500)

b.On December 12, 2020,he bought shares at 107.33 per share

500 shares would be 500 x $107.33=$53, 665

Therefore, Kevin’s recognized gain or loss from the’ sale of Bluebird stock on March 1, 2021 would be

$64,400- $53, 665 = $10,735

c.Assuming he cannot identify the shares sold, then we can say they are sold on a FIFO ( first in first out) basis. So we would consider the shares bought on October 3, 2020

so we have that

500 x $115=$57,500

$64,400 - $57,500 = $6,900

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3 years ago

Jeri and Knute are members of Lighthouse Tours LLC, a limited liability company. With respect to Lighthouse Tours’s liability, a

slava [35]

Answer:

Personal liability

Explanation:

Jeri and Knute are shareholders in lighthouse tours LLC. As lighthouse tours LLC is a limited liability company, Jeri and Knute enjoy limited liability.

Legally, lighthouses LLC is independent of its shareholders. It has the right to own assets and incur liabilities. Should the company get to the dissolution stage, its assets will be used to settle its obligations. If the assets of the company are not sufficient, the shareholders' private properties cannot be used to pay the debts. Jeri and Knute will be liable only to the extent of capital contribution.

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3 years ago