Answer:
decrease
Explanation:
Marginal cost is a concept that explains the cost a company has to produce one more unit of good. This is a measure that is associated with the productivity of the inputs used in the production process. When a company increases production, marginal cost tends to decrease as inputs are better utilized. This is because the company specializes in production in order to streamline inputs and increase productivity.
Answer: a. always declines with increased levels of output.
Explanation: the average fixed cost curve graphically illustrates or shows the relation between average fixed cost a firm incurs in the short-run production of a good or service, and the quantity produced. The average fixed cost curve always declines with increases in the level of output resulting in a negatively sloped curve. This is to say that the average fixed cost is relatively high at smaller quantities of output, which then declines as the level of production increases--the more output increases, the more average fixed cost declines. Why this occurs is that a given fixed cost is spread over an increasingly larger quantity of output and as such, firms can profitably charge a lower price with increased output.
Answer:
accrued interest owed at the end of the year = $400 x interest rate x 6/12 months
the interest rate was not given, but we can assume that it was 5% just as an example:
total accrued interest expense = $400 x 5% x 6/12 = $10
the journal entry would be
December 31, 2021
Dr Interest expense 10 million
Cr Interest payable 10 million
