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mixas84 [53]
2 years ago
6

n the short run, a perfectly competitive firm will always shut down if total revenue is ____ at all positive output levels. a. l

ess than variable cost b. less than total cost but greater than fixed cost c. greater than fixed cost d. less than total cost but greater than variable co
Business
1 answer:
pychu [463]2 years ago
5 0

In the short run, a perfectly competitive firm will always shut down if total revenue is less than variable cost at all positive output levels.

Explanation:

In the perfect competitive market, firms face the critical situation of the shut down when the firms unable to control the variable cost which includes labor costs, production, and other utility costs. The level of obtaining the low profit can be caused due to the following factors like ineffective management decisions, low sales volumes, market risks and the lack of cordial relations with other countries with respect to the trading of import and export of all goods.

When the operational expenses of the sunk cost (nonrecoverable cost) and the overhead cost in the short-run period are not able to control the efficiency of bridging the gap between the profit and the sales margin in all the conditions of all positive output levels.  

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Computers Inc. is a United States computer and consumer electronics company that designs and manufactures electronic devices. Co
Galina-37 [17]
No the electronic devices where made to text and easier to text
5 0
3 years ago
Two towns, each with three members, are deciding whether to put on a fireworks display to celebrate the new year. fireworks cost
Burka [1]
1) Town of Bayport:
We have that the residents value the fireworks at a total of 50+100+300=450$. That is the utility they gain. But they would also have to pay 360$ for the fireworks. The total outcome is 450$+(-360$)=90$. Hence, the outcome is positive and the fireworks pass the cost benefit analysis.

If the fireworks' cost is to be split equally, we have that each of the 3 residents has to pay 360/3=120$. Let us now do the cost-benefit analysis for everyone.
Jacques stands to gain 50$ from the fireworks but would have to pay 120$. He will vote against it.
Also, Kyoko will gain 100$ but would have to pay 120$. He will lose utility/money from this so he will vote against.
Musashi on the other hand, would gain 300$ and only pay 120$. He is largely  benefitted by this measure. Only he would

We have that 2 out of the 3 would vote against the fireworks, so that the fireworks will not be bought. The vote does not yield the same answer as the benefit-cost analysis.

2) Town of River Heights:

We have that the total value of the fireworks to the community is 20+140+160=320$. The total value of the fireworks is lower than their cost so their cost benefit analysis yields that they should not be bought.

However, let's see what each resident says. The cost to each resident is 360/3=120$. Rina is against the fireworks since she will only gain 20$. Sean and Yvette are for the fireworks since they gain 140$ and 160$ respectively, which are larger than the cost of the fireworks to each of them (120$). Hence, 2 will vote for the fireworks and one will vote against and fireworks will be bought.

Again, the vote clashes with the cost-benefit analysis.

3) The first choice is wrong. It is very difficult for a government to provide the exact types of public goods that everyone wants because that would be too costly; one cannot have a public good that everyone pays for so that only a couple of people enjoy it. In our example, we saw that in every case, a public good and its production would have sime supporters and some adversaries.

Majority rule is not always the most efficient way to decide public goods; as we have seen in the second case, the cost-benefit analysis yields that the fireworks are not worth it but they are approved by the majority nonetheless.

The final sentence is correct. The differing preferences of the people make a clearcut choice impossible and the government has to take into account various tradeoffs and compromises in order to determine which public goods to provide.
3 0
3 years ago
Read 2 more answers
Peter offers his manager some suggestions for a new holiday display. His manager shrugs his shoulders and tells Peter that the d
Sunny_sXe [5.5K]

Answer:

Equity Theory.

Explanation:

As Peter offers his manager some suggestions for a new holiday display. His manager shrugs his shoulders and tells Peter that the display is all set. Then Sarah approaches the manager with an idea for the display, and the manager tells her that it’s a great idea. Equity theory is the model of motivation that explains how Peter is striving for fairness and justice. Equity theory explains that employees should be treated equally and fairly in order to keep them motivated at the workplace. If employees started feeling that they not being treated fairly then they will dissatisfied and demotivated at the workplace which will definitely reduces their work productivity. Human beings are motivated when they are treated fairly and equally.

6 0
3 years ago
What can be researched about a nonprofit organization through a regulatory agency?
Alex787 [66]

<u>Answer:</u>

<em>The level of compliance to nonprofit status regulations.</em>

<u>Explanation:</u>

<em>A non profit association (NGO) </em>is a non-benefit, native based gathering that capacities autonomously of government. Operational NGOs, which spotlight on improvement projects.

Although NGOs are constantly responsible monetarily to contributors, there are no lawful way to control their exercises abroad. (A few governments have compromised NGOs' assessment status when they have reprimanded the <em>international strategy of the benefactor government</em>.)

4 0
2 years ago
Read 2 more answers
The following units of an inventory item were available for sale during the year:Beginning inventory 10 units at $55First purcha
Leto [7]

Answer:

$1150.

Explanation:

Given: Beginning inventory 10 units at $55

          First purchase 25 units at $60

          Second purchase 30 units at $65

          Third purchase 15 units at $70.

First, lets calculate total units of inventory available.

Total inventory available for sales during the year= (10+25+30+15)= 80\ units

∴ Total inventory available for sales during the year= 80 units

As given 60 units were sold out of total 80 units.

80-60= 20\ units

∴ 20 units of inventory is still remaining.

To determine the cost of unit sold, under LIFO accounting, you start with assumption that you have sold the most recent inventory and work backward.

As 20 units is still available after selling 60 units.

∴ The value of ending inventory= (10\ units \times \$60 + 10\ units \times \$55)

The value of ending inventory= \$600+\$550= \$ 1150

∴ The value of ending inventory using LIFO is $1150.

6 0
3 years ago
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