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3 years ago

In the short run, increasing marginal costs always imply increasing average total costs. a. Trueb. False

Business

1 answer:

Vinvika [58]3 years ago

8 0

Answer:

The answer is A. True.

Explanation:

Marginal Cost is the cost of producing one more product unit.

Marginal Cost = Average Total Cost / Average Goods Output

Therefore, in the short run, an increase in Marginal Cost implies a similar increase in Average Total Cost.

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DECA is a CTSO for

Rina8888 [55]

DECA stands for Distributive Education Clubs of America and it is a CTSO (Career and Technical Student Organization). A CTSO’s purpose is to provide co-curricular opportunities for students to receive career and technical education support to enhance their learning experience. DECA specifically focuses on preparing students in four career clusters: Business Management & Administration, Finance, Hospitality & Tourism, and Marketing.

Thus, the answer to the question is marketing students.

8 0

3 years ago

Determine the market potential for a product that has 20 million prospective buyers who purchase an average of 2 per year and pr

Gnoma [55]

4,000,000 units should be sold a company

Explanation:

Calculating the sales in units:

It has been given that the toal market demand is $20 million, average quantity purchased by buyer per year is 2 units, price average is $50, and the desired share of the market is 10%.

$Q=n * q * p$

Where:

Q = Total market demand,

N = number of buyers in the market, q = average quantity purchased by the buyer per year,

P = price of average unit

$$\mathrm{Q}=20,000,000$ buyers $* 2$ per unit per buyer $* \$ 50$ per unit$

= $2,000,000,000

Market share = $(20,000,000 \text { buyers } * 2 \text { units per buyer }) * 0.1$

= 4,000,000 units

Hence, the company should sell 4 million units to achieve 10 percent market share.

6 0

3 years ago

Recording Cash Discounts Schrand Corporation purchases materials from a supplier that offers credit terms of 2/15, n/60. It purc

SpyIntel [72]

Answer:

Schrand Corporation

Journal Entries:

January 20, 2019:

Debit Inventory $12,500

Credit Accounts Payable $12,250

Credit Purchase Discounts $250

To record the purchase of inventory on credit terms, 2/15, n/60.

February 15,. 2019:

Debit Discount Lost Expense $250

Credit Accounts Payable $250

To record the loss of discount following late payment.

Debit Accounts Payable $12,500

Credit Cash Account $12,500

To record the payment for purchase.

Explanation:

a) Data and Calculations:

Inventory purchase on January 20, 2019 = $12,500

Credit terms = 2/15, n/60

Net-of-discount purchase = $12,250 ($12,500 - 250)

Payment of invoice on February 15, 2019 = $12,500

b) The difference between the net and gross discount methods is that under the gross discount method, the purchases and Accounts Payable are initially recorded at full value. On the other hand, under the net discount method, the purchases and Accounts Payable are initially recorded at a reduced value.

8 0

3 years ago

There is no difference between you driving your car on public streets and Ford selling a product that it knows will sometimes ex

Gwar [14]

Answer:

1) The statement is: True.

2) The correct answer is letter: Cost-Benefit Analysis.

Explanation:

2) The Cost-Benefit Analysis is a tool used to make decisions based on cost and benefit. You can use the Cost-Benefit Analysis to evaluate a single option or compare two or more alternatives to choose the best. The Cost-Benefit Analysis is used to calculate all the costs of a particular decision and compare them with the expected benefits of that decision.

1) In the example, driving on a street has the cost of being in danger of crashing but the benefit of traveling comfortably in your vehicle. Ford selling cars could cost some of them -for an "x" reason- to explode but the benefit is to profit from the sales. Thus, there is no fundamental difference comparing the costs individuals are exposed while driving a car on the street and Ford being exposed to their cars' explosion.

4 0

3 years ago

During January, time tickets show that the factory labor of $7,000 was used as follows: Job 1 $2,300, Job 2 $1,780, Job 3 $1,570

Arisa [49]

Answer:

The direct labor cost is directly debited to work in process account of specific job and indirect labor cost is debited to factory overhead control account.

The summary journal entry to record factory labor used is given below.

Debit WIP JOB 1 $ 2,300

Debit WIP JOB 2 $ 1,780

Debit WIP JOB 3 $ 1,570

Debit Factory Overhead Control account $ 1,350

Credit Payrol account $ 7,000

4 0

3 years ago