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velikii [3]
3 years ago
12

Firms in every market structure: make long-run economic profits. are in competition with many other firms. leave the market as s

oon as they experience loss of profits. will attempt to maximize profits. face a horizontal demand curve.
a. true
b. false
Business
1 answer:
aliya0001 [1]3 years ago
4 0

Answer:

b. False

Explanation:

Firms are not in competition with many other firms in every market structure. Some market structures such as monopolies or oligopolies feature either one single firm, or only a few firms, that frequently collude instead of competing.

Not all firms leave the market as soon as they lose profits. Some do, but others stay. A monopoly can survive decades without increasing its profits.

Not all firms will try to maximize profits, some will try to maximize market share instead, especially in perfectly-competitive market structures.

Not all firms face a horizontal demand curve. In some market structures, demand can be very dynamic, either sloping upwards (increasing) or downwards (decreasing).

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What does a low asset turnover compared to the industry imply? The investment in assets may be too high. Sales are higher than a
Finger [1]

Answer:

A low asset turnover compared to the industry implies Net income is low relative to the investment in assets.

Explanation:

Asset turnover is the ratio of total sales or revenue to average assets. It is a measure used to gauge how effectively companies are using their assets to generate sales.

Higher turnover ratios mean the company is using its assets more efficiently. Lower ratios mean that the company isn't using its assets efficiently and most likely have management or production problems.

The asset turnover ratio measures the value of a company's sales or revenues relative to the value of its assets

If a company has a low asset turnover ratio, it indicates it is not efficiently using its assets to generate sales.

3 0
3 years ago
Is the WTO's idea of "fair competition" really a code phrase for free trade?
Semenov [28]

Answer:

Yes, the WTO stands for trade liberalization, which requires transparency, economic reform, and no protectionism, regardless of the member nation's economic situation.

3 0
3 years ago
Lenny's Landing has a net Section 1231 gain in the current year of $12,000. In the previous five years, there are $3,000 in unre
Ratling [72]

Answer:

As the $3,000 is unrecaptured losses, it will be carried forward to this year and would be set off against the current year's capital gains.

Explanation:

The previous year unrecaptured loss of $3000 will carried forward and would be set off against the capital gains of $12,000. The gain for the year can be calculated as under:

Capital Gain for the year = Gain Before unrecaptured losses   -  Carried Forward Losses

By putting values, we have:

Capital Gain for the year = $12,000  -  $3,000 = $9,000

The resultant $9,000 would be the capital gain for the year.

7 0
3 years ago
As a business owner, explain the importance of scanning the internal and external environment of a business.
maw [93]

Answer:

1. Identification of strength

2.identificationof weakness

3. Identification of opportunity

4. Identification of threat

5. Optimum of use of resources

8 0
3 years ago
Todd Johnson had the following items of income and losses during the tax year:
Zina [86]

Answer:

b. $700

Explanation:

Todd's capital gains = -$1,000 (bad debt) - $2,000 (gain on commodities held for 2 years) - $800 (loss on stock held for 2 years) - $4,500 (flood damage) + $5,000 (gain on stocks held for 13 months) = $700

Capital losses due to federally declared natural disasters can offset capital gains.

8 0
3 years ago
Read 2 more answers
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