Answer:
a family-owned restaurant
a manufacturer of cars
A company that invented a very comfortable razor
Explanation:
A family owned resturant is an example of a monpolistically competitive firm. A monpolistically competitive firm is characterised by many firms selling differentiated products. Advertising is one of the ways to attract customers to the restaurant.
A family owned farm is an example of a perfectly competitive firm. A perfectly competitive firm is characterised by many firms selling homogenous products. Thus, it won't be so necessary for a farm to advertise since its product is homogenous.
A car manufacturer exists in a monopolistic market. A monpolistically competitive firm is characterised by many firms selling differentiated products. Advertising is one of the ways to attract customers to purchase cars.
Forklifts aren't so differentiated. Therefore, there would be little need to advertise.
A manufacturer of a very comfortable razor should advertise his product to inform and attract customers. The manufacturer of a uncomfortable razor has no need to advertise.
I hope my answer helps you.
Answer:
1. The firm does not have excess capacity.
Minimum transfer price on full capacity = Variable Cost + Contribution to be Lost
Minimum transfer price on full capacity = $360 + ($600 - $360)
Minimum transfer price on full capacity = $360 + $240
Minimum transfer price on full capacity = $600
Transfer Price = $600 per Unit (Market price per unit).
2. The firm does have excess capacity. Minimum transfer price on excess capacity = $360 per Unit (Standard Variable Manufacturing cost per unit).
Answer:
The correct option is (b)
Explanation:
Private carrier is an organization that transports only the products produced by firm that own it.
Such organization's primary business activity is not transporting products from one place to another. In other words, these carriers do not transport goods of other companies.
Companies find having their own carriers cost effective as compared to hiring one.
Therefore, private carrier is a trucking operation that transports goods for the firm that owns it.
Answer: Differentiation vs Integration environment
Link between strategy, structure and culture
Mechanistic vs Organic environment
Explanation:
Differentiation and integration environment
Differentiation looks at how an organization is being divided as regards functional areas and departments while integration looks at how a firm operates at the component level ie inter-deparment. A firm that seeks to survive must find a way to balance the two.
Link between strategy, structure and culture.
Strategy is all about the firm's long term vision and plans and how management hope to actualize them. Structure refers to the way the organization function; its chain of command. Culture refers to the shared values within the organization. The relationship between these three concepts is key.
Mechanistic vs Organic environment
The mechanistic environment is more suitable for a organization that is in a stable environment as it is rigid. An organic environment is more dynamic and will fare better in an unstable environment since it can easily cope with changes.
Answer:
$2.45
Explanation:
Fixed cost = $9,800
Variable cost:
= Units sold × (cost of the ice cream and cone + franchise fee)
= 24000 × ($0.76 + $0.24)
= $24,000
So,
total cost = Fixed cost + Variable cost
= $9,800 + $24,000
= $33,800
Profit = $25,000
Now,
Sales = $58,800
Sales unit = 24,000
So,
Sales price per unit:
= $58,800 ÷ 24,000
= $2.45
Hence, the price one should charge for each ice cream cone to achieve a $25,000 profit for the three-month period is $2.45.
