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just olya [345]
3 years ago
14

Al's Donuts produces about 600 dozen doughnuts daily. If flour prices increase 20 percent

Business
1 answer:
Sergeeva-Olga [200]3 years ago
4 0

Answer:

(D) marginal cost, the average variable cost, and the average total cost will shift up.

Explanation:

Given the nature of business of AI's Donuts, flour prices is part of the variable cost of the business as it will change will any change in the output of the firm.

An increase in flour prices, a variable cost, will have the following effect on the following costs.

  • Average variable cost will increase since flour is a variable cost.
  • Average total cost will increase since average total cost = average variable cost + average fixed cost.
  • Marginal cost will increase since marginal cost = (change in total cost)/(change in quantity). Marginal cost will thus increase since total cost will increase.
  • Average fixed cost will however remain unchanged since only variable cost will increase.

Therefore, option (D) is correct as marginal cost, the average variable cost, and the average total cost will shift up.

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Read the Leading Innovation and Change: Best Practices Case Study and answer the following in the Lesson Forum: What elements of
4vir4ik [10]

The correct answer to this open question is the following.

Although there is no further information about the case of study, we can say that the question possible refers to the case where the name of the company is just "The Client." The name of the document is "Leading Innovation Change - The Kotter Way."  

This case refers to the challenges faced by an organization when it is time to innovate. Many members want to innovate but the culture of the company or the lack of proper leadership from managers often hinders the innovation efforts of the company.

So some of the elements of Kotter's Eight Stages of Leading Change that were included in the case were the following.

Create Urgency. The creation of new products of the company was limited and was not enough to compete in the future. A sense of urgency was needed to implement innovation.

Form a Powerful coalition. The company had to be very selective about the kinds of products that could help it to successfully compete in the future. The company had to use the best it had to establish priorities.

Create a vision for change. It was critical for the company to establish a new vision to get the results it needed. A renovation of the processes to face new necessities was imperative. Change has to be part of every member's mind.

Communicate the vision. This new vision had to be shared through the entire company. The members had to understand the importance of the innovative practices and each and every one of them had to be part of this new mentality.  

6 0
3 years ago
PLEASE HELP............
sleet_krkn [62]
I would say D all of the above
6 0
3 years ago
​"Relevant costs for pricing decisions are full costs of the​ product." Do you​ agree? Explain. A. ​Yes, full costs of the produ
dedylja [7]

Answer:

c

Explanation:

depend on the scenario.. all costs that are directly related to that decision all relevant cost.

7 0
4 years ago
McGuire Company acquired 100 percent of the voting common shares of Able Corporation by issuing bonds with a par value and fair
-Dominant- [34]

Answer: $650,000

Explanation:

Given that,

Fair and par value of issued bonds = $150,000

Prior acquisition, McGuire reported

Total assets = $500,000

Liabilities = $280,000

Stockholders’ equity = $220,000

At that date, Able reported

Total assets = $400,000

Liabilities = $250,000

Stockholders’ equity = $150,000

Account payable to McGuire = $20,000

Total assets reported by McGuire after acquisition:

= Total assets + Fair value of investment

= $500,000 + $150,000

= $650,000

4 0
3 years ago
Pei's savings account balance is $12,000 today. Pei opened the account exactly 7 years ago with a $10,000 deposit. Pei has made
koban [17]

Answer:

2.64%

Explanation:

A = P(1 + r)^n

A = $12,000

P = $10,000

n = 7 years

12,000 = 10,000(1 + r)^7

(1 + r)^7 = 12,000/10,000 = 1.2

(1 + r)^7 = 1.2

1 + r = (1.2)^1/7

I + r = 1.0264

r = 1.0264 - 1 = 0.0264

r = 0.0264 × 100 = 2.64%

5 0
3 years ago
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