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Aleonysh [2.5K]
3 years ago
14

A firm facing a price of $10 in a perfectly competitive market decides to produce 100 widgets. If its marginal cost of producing

the last widget is $12 and it is seeking to maximize profit, the firm should ______.
Business
1 answer:
wel3 years ago
8 0

Answer:

produce fewer widgets until the marginal cost = $10

Explanation:

In a perfectly competitive market, all suppliers and consumers are price takers, so this company cannot increase its price so that it matches its marginal cost. Therefore, the only option it has is to try to lower its marginal cost is by lowering total production.

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Suitable options to solve the financial problem of a restaurant owner
kondor19780726 [428]

Answer:SBA Loans for Restaurants. ...

Restaurant Equipment Financing. ...

(Unsecured or Secured) Business Lines of Credit. ...

Unsecured Restaurant Business Loans. ...

Restaurant Cash Advances.

Explanation:

3 0
3 years ago
Alison's dress shop buys dresses from McGuire Manufacturing. Alison purchased dresses from McGuire on July 17 and received an in
kramer

Answer:

Allison should record the purchase at $5880

Explanation:

The net method for recording purchases implies that the purchases is recorded net of the envisaged cash discount on the transaction since the purchaser believes they would settle their account before the cash discount period expires.

Based on the above, the purchases would be recorded as shown below:

cost of purchase=original purchase value*(100%-discount rate)

original purchase price is $6,000

discount rate is 2%

cost of purchase=$6000*(100%-2%)

                           =$6000*98%

                            =$5880

4 0
3 years ago
Matt Shaw buys 100 shares of common stock for $8,000 in January. The value of the stock fluctuates in a narrow range (averaging
jekas [21]

Answer:

a. $8,200

Explanation:

The same accounting principles would be applied to non-profit entities while recording their assets as applied to other entities.

Non-profit entity would record its assets at fair value same as assets are recorded by other entities.

3 0
3 years ago
Uncollectible accounts are determined by the​ percent-of-sales method to be 22​% of credit sales. How much is​ uncollectible-acc
dybincka [34]

Answer:

Therefore uncollectibel account expense = 0.22 x 94,000 = $20,680

Explanation:

Uncollectible accounts are determined by the​ percent-of-sales method to be 22​% of credit sales. How much is​ uncollectible-account expense for 2014​?

Uncollectible Accounst will simply be 22% multiplied by the credit sales figure for the year.

Accounts Receivable.....26,000

Allowance for collectible account...1,500

Credit sales for 2014 ...$94,000

Cash Sales for 2014.....28,000

Collection from customers on account...100,000

Therefore uncollectibel account expense = 0.22 x 94,000 = $20,680

6 0
3 years ago
Stealth Fitness Center issues 7%, 15-year bonds with a face amount of $200,000. The market interest rate for bonds of similar ri
Vladimir [108]

Answer:

market price of bonds = $219,597.35

Explanation:

Since the coupon rate is higher than the market rate, the bonds will be sold at a premium.

PV of face value = $200,000 / (1 + 3%)³⁰ = $82,397.35

PV of coupon payments = $7,000 x 19.600 (PV annuity factor, 3%, 30 periods) = $137,200

market price of bonds = $219,597.35

8 0
2 years ago
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