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GuDViN [60]
2 years ago
10

Consider the statement: "Even if a firm is losing money, it may be better to stay in business in the short run." This statement

is true, if the loss is less than variable costs. false, because it could be better to stay in business in the long run. false, because a firm should only operate if it is making money. true, if the loss is less than fixed costs. b. The firm should produce in the short run as long as price is less than the average fixed cost. exceeds the average variable cost. is less than the average variable cost. exceeds the average fixed cost.
Business
1 answer:
IRINA_888 [86]2 years ago
4 0

Answer:

if the loss is less than fixed costs

Price exceeds the average variable cost.

Explanation:

If a business is making losses and wants to shut down operations, it will need to keep paying the fixed cost component.

In a case where the loss made from running the business is less than the fixed cost that will be incurred, it is better for the business to keep producing in the short run. The cost of closing up will be higher.

Also the business should stay open if the price of a product is higher than its average variable cost. This is because as production increases the positive contributing margin will eventually exceed cost incurred. This can be achieved by scaling production upward.

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NISA [10]

The three factors used to determine a company’s credit rating are its current ratio, its debt-to-equity ratio, and its interest coverage ratio.

<u>Explanation:</u>

  • A credit rating comes in the list of the company’s annual performance targets. It helps to decide the company’s current year progress.  
  • A company’s debt-to-equity ratio is used to know the debt of a company as compared to the total equity. If this ratio is high, the company is taking on much debt.  
  • The current ratio marks a way to compute the liquidity of the company. It shows how well a firm is placed to meet the short term obligations. Broadly, a 2-1 ratio is considered a good ratio.
  • The interest coverage ratio tells how well the company may pay its future loan payments. If the ratio is higher than 3-to-1, it suggests that the company is in a good position to make future payments.   

8 0
2 years ago
Do you agree with the following statement: AVC and MC intersect at the minimum of marginal cost. a. Yes, since an upward sloping
insens350 [35]

Answer: c. No, since the MC and AVC curve intersect at the minimum of AVC

Explanation:

Marginal cost is the cost of producing one extra unit of a product while average cost is the average of all the units produced so far. Therefore, when Marginal cost is low, it pulls the average costs down with it because it will be lower than the Average costs.

However, as Marginal costs start to rise, average cost will still be low because it is taking into account the lower previous marginal costs. Marginal cost will then keep rising until it intersects the average costs at it's minimum. Once this happens Average cost will start being pulled up because the current high costs will on average eclipse the current low costs.

3 0
3 years ago
A volume-cycled ventilator is in the control mode and the I/E ratio alarm is sounding. Which control adjustment would correct th
Mkey [24]

Answer:

Option "D" is the correct answer for the following.

Increase the flow rate.

Explanation:

The quantity the ventilator provides differs with adjustments in airway pressure, lung performance and ventilation system integrity.

  • Volume-cycled ventilators: Air passes to the patient until a fixed volume is supplied to the ventilator system, even if the airway pressure is very high.
  • Inspiratory: Expiratory ratio applies to the inspiratory period scale: time of expiry. ... This offers a 1:2 I: E ratio, which reads "one to two."
  • In asymmetric, this ratio is typically changed due to the increased expiration time. They could have a ratio of 1:3 or 1:4 to I: E.

4 0
3 years ago
Which of these can be listed as benefits of filing your tax return online? I. Allows you to claim a larger number of deductions
telo118 [61]

Answer:

The answer is: C) II and III

Explanation:

The benefits for filing your tax return online are:

  • You can save money since you don't have to hire an accountant or other professional to file your taxes
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3 0
3 years ago
Read 2 more answers
You and a friend are putting together a film on a very small budget. the script takes place in the 1970s, but you don't have muc
myrzilka [38]

Some of the ways that you could find costumes for your film are the following:

<span>1. </span><span>It would first help to have actors that already look like they belong in the 1970’s. Having the authentic look can help sell the costumes even more. </span>

<span>2.</span> Relying on second-<span> hand/low-budget vintage stores would be the way to go.</span>

<span>3. </span><span>Go to a Fabric store or some place online and order fabric to create, If there were a piece that couldn’t be find and needed in the film.</span>





7 0
3 years ago
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