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3 years ago

Economists normally assume that the goal of a firm is to

Business

1 answer:

Elina [12.6K]3 years ago

6 0

Answer:

Profit Maximisation

Explanation:

Profit is the difference between total revenue (receipts) from sale & total cost (expenditure) on production.

Total Revenue = Price x Quantity ; Total Cost = Average Cost x Quantity

Economists study all the producer behaviour, based on assumption that : Goal of firm is Profit Maximisation.

Maximising Profit implies maximising the difference between Total Revenue & Total Cost [ TR - TC] . This further leads to producer equilibrium rule of Marginal Revenue = Marginal Cost [MR = MC] ; i.e additional revenue per unit sold equals additional cost per unit production.

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Assume that Abby, Ben, Clara, Joe, and Matt are the only citizens in a community. A proposed public good has a total cost of $1,

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4 years ago

"Suppose the government guarantees the price of carbon. At this price, the payoff after 1 year is $120,190 for sure. What is the

In-s [12.5K]

Answer: a. U.S. Treasuries with 1 year to maturity

Explanation:

The Government guaranteed the price of the carbon and the payoff is to be one year later.

The opportunity cost will therefore be a similar Government security to the payoff term of the carbon sale which is 1 year.

The Government security with a similar payoff term is the US Treasury bill with 1 year left till maturity and this will be the opportunity cost because instead of the Government issuing and paying out that security they will instead pay for the carbon.

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3 years ago

The point where total expenses equals to total income?

Anna35 [415]

Answer:

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Explanation:

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3 years ago

Eastern University had the following transactions at the beginning of its academic year: Student tuition and fees were billed in

Thepotemich [5.8K]

Answer:

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Explanation:

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3 years ago

Given the series of demand data below Period: 1 2 3 4 5 6 7 8 9 10 Demand: 42 35 58 42 27 49 40 41 27 41 a. Calculate the foreca

Mumz [18]

Answer:

Kindly check Explanation

Explanation:

Given :

Period: 1 2 3 4 5 6 7 8 9 10

Demand: 42 35 58 42 27 49 40 41 27 41

Using n = 2

Week - - - - - - - - - - n = 2

7 - - - - - - ( 27 + 49)/2 = 38

8 - - - - - - (49 + 40)/2 = 44.5

9 - - - - - - -(40 + 41)/2 = 40.5

10 - - - - - - (41 + 27)/2 =34

11 - - - - - - - (27 + 41)/2 34

Using n = 4

Week - - - - - - - - - - n = 4

7 - - - - - - (58 + 42 + 27 + 49)/4 = 44

8 - - - - - - (42 + 27 + 49 + 40)/4 = 39.5

9 - - - - - - -(27 + 49 + 40 + 41)/4 = 39.3

10 - - - - - - (49 + 40 + 41 + 27)/4 =39. 3

11 - - - - - - - (40 + 41 + 27 + 41)/2 = 37.3

Using n = 6

Week - - - - - - - - - - n = 6

7 - - - - - - (42 + 35 + 58 + 42 + 27 + 49)/6= 42.2

8 - - - - - - (35 + 58 + 42 + 27 + 49 + 40)/6 = 41.8

9 - - - - - - -(58 + 42 + 27 + 49 + 40 + 41)/6= 42.8

10 - - - - - - (42 + 27 + 49 + 40 + 41 + 27)/6 =39.7

11 - - - - - - - (27 + 49 + 40 + 41 + 27 + 41)/6 = 37.5

4 0

3 years ago