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3 years ago

In long-run equilibrium, a purely competitive firm will operate where price is ________.

Business

2 answers:

ahrayia [7]3 years ago

4 0

Answer: The correct answer is "D. equal to MR, MC, and minimum ATC.".

Explanation: In long-run equilibrium, a purely competitive firm will operate where price is equal to MR, MC, and minimum ATC.

In perfect competition the companies are accepting price, therefore they will produce as long as the price is equal to the marginal cost and the marginal income thus ensures that the sale of each unit of product does not cost more than the profit obtained from the sale. of this and when the average total cost, that is, the total cost of producing each unit of product, is the least possible.

Elden [556K]3 years ago

3 0

Answer:

Explanation:

In long-run equilibrium a purely competitive firm will operate where price is: A. greater than MR but equal to MC and minimum ATC.

A normal profit (zero economic profits) is what we would expect individual firms in a perfectly competitive market to earn in the long run because there are no barriers to entry.

And in long run equilibrium the P = MC (allocative efficiency, more later) and P = minimum ATC (productive efficiency, more later).

The correct answer to the question is A

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Planet Corporation acquired 90 percent of Saturn Company’s voting shares of stock in 20X1. During 20X4, Planet purchased 52,000

Zepler [3.9K]

Answer:

Purchase of Inventory by Planet (Parent)

Inventory $1,456,000 (debit)

Cash $1,456,000 (credit)

Sale of Inventory by Planet (Parent) to Subsidiary (Saturn)

Revenue $1,258,000 (debit)

Cost of Sales $1,258,000 (credit)

Sale to third Parties by Saturn

Cash $1,813,000 (debit)

Cost of Sales $1,036,000

Sales Revenue $1,813,000 (credit)

Inventory $1,036,000

Explanation:

Purchase of Inventory by Planet (Parent)

Inventory $1,456,000 (debit)

Cash $1,456,000 (credit)

Inventory : 52,000 × $28 = $1,456,000

Sale of Inventory by Planet (Parent)

Note : This is an Intragroup transaction and need to be eliminated

Revenue $1,258,000 (debit)

Cost of Sales $1,258,000 (credit)

Revenue : 37,000 × $34 = $1,258,000

Sale to third Parties by Saturn

Cash $1,813,000 (debit)

Cost of Sales $1,036,000

Sales Revenue $1,813,000 (credit)

Inventory $1,036,000

Sales Revenue = 37,000 × $49 = $1,813,000

Cost of Sales = 37,000 × $28 = $1,036,000

7 0

4 years ago

a(n) blank market is created when a customs union lifts restrictions on the mobility of services, labor, and capital among membe

Deffense [45]

A common market is created when a customs union lifts restrictions on the mobility of services, labor, and capital among member nations.

<h3>Why was the common market formed?</h3>

Through the removal of the majority of trade barriers and the development of a unified external trade strategy, the EEC was created with the goal of establishing a common market among its members. In order to shield EEC farmers against agricultural imports, the treaty also called for the creation of a unified agricultural policy, which was implemented in 1962.

A free trade zone with a reasonably unrestricted circulation of goods and services is referred to as a common market. When it was a regional organization from 1958 to 1993, the European Economic Community was known as the "Common Market."

In a customs union, all or almost all of a country's imports, exports, and transiting commodities are subject to the same set of processes, regulations, and tariffs. Customs union participants typically have similar trade and competition laws.

Learn more about Common market here:

brainly.com/question/15242077

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7 0

2 years ago

Match the following terms to their definitions: 1. privatization 2. restructuring 3. agent 4. leveraged buyouts 5. underpricing

RUDIKE [14]

Answer:

1) UNDERWRITE involves the act of taking on any risk that might be related with the issue of a new security.

2. BEST EFFORTS is the responsibility of sharing a security without transferring the risk associated with the new issue from the company to the investors.

3. UNDERWRITING SYNDICATE involves a group of investors formed to share the risk of a security offering.

4.UNDER PRICING is the process of setting the price of a new security slightly below the market value to ensure a receptive sale.

5. AFTERMARKET is a secondary market where securities are traded after its initial offering to the public.

6.AGENT is one who sells or places an asset for another party.

7. SHELF REGISTRATION permits large companies to file one comprehensive statement with the Securities and Exchange Commission (SEC) outlining their financial plans for the next two years.

8. LEVERAGE BUYOUT occurs when either management or another investment group borrows the needed cash to rebuy all traded shares from the shareholders.

9. RESTRUCTURING involves the divisions and products are sold and assets redeployed into better yielding areas.

10. PRIVATIZATION is a situation Investors that take a company public, the investment bankers sell companies previously owned by governments.

8 0

3 years ago

Gold Nest Company of Guandong, China, is a family-owned enterprise that makes birdcages for the South China market. The company

Natali5045456 [20]

Answer:

Goldnest company

A. Journal entries

1.Raw Materials Purchased.

Debit Direct Raw materials Account with $ 169,000

Credit Accounts Payable Account with $ 169,000

2.Labour Costs incurred

Debit Direct labor with $ 156,000

Debit Indirect labor with $ 182,000

Debit Sales commissions with $ 25,000

Debit Administrative salaries with $ 45,000

Credit Cash with $ 408,000

3.Rentals Costs for the year

Debit Factory Rent for the year with $13,900

Debit Office Rent for the year with $5,900

Credit Cash Account with $18,900

4. Utility costs incurred in the factory

Debit Factory Utility Account with $20,000

Credit Cash Account with $20,000

5.Advertising Expense Incurred

Debit Advertising Expense Account with $15,000

Credit Cash Account with $15,000

6. Depreciation recorded on equipment

Debit Depreciation on Factory equipment with $15,000

Debit Depreciation on Office equipment with $6,000

Credit Accumulated depreciation with $21,000

7.Sales in the Year

Debit Cash Account with $509,000

Credit Sales with $509,000

B. T Accounts are included in the attached for your understanding

C. Manufacturing overhead has been over applied by $34,300. Workings of this has been attached for your understanding

D.income statement closes with a net profit of $195,000. Refer to attached for detailed breakdown

Explanation:

4 0

3 years ago

On January 2013, Pennington Bancorp acquired $100,000 of marketable securities and classified them as Available for Sale. On Mar

saveliy_v [14]

Answer:

b. Net Income

e. Cash from Investing Activities

Explanation:

Calculation to determine Which of the following items would be increased by the sale of the marketable securities

Using this formula

Gain from investment = Selling price of the security - Value of the security

Let plug in the formula

Gain from investment= $93,000 - $85,000

Gain from investment= $8,000

Based on the above calculation The sell of marketable security will INCREASE CASH which means that CASH FROM INVESTING ACTIVITIES will increase and NET INCOME will increase.

Therefore the items that would be increased by the sale of the marketable securities are :

b. Net Income

e. Cash from Investing Activities

4 0

3 years ago