All categories

3 years ago

In exhibit 7-15, if the market price of mowing lawns is $16 per lawn, then e-z-care will earn the biggest profit by mowing:

Business

2 answers:

Andrew [12]3 years ago

5 0

Answer:

7 lawns

Explanation:

Any firm will maximize its accounting profits at the price where average total cost = marginal costs, in this case the market price is higher, so that will enable EZ Care to make an economic profit besides an accounting profit, but the quantity supplied will not vary, it will still be 7 lawns per day.

professor190 [17]3 years ago

3 0

Answer:

B. 8 lawns per day.

Explanation:

As seen in the graph below, The AVC and ATC curves intersect the MC curve at the minimum of the MC curve. The marginal cost curve intersects the AVC curve to the right of the minimum of the AVC curve. It also intersects the ATC curve to the right of the minimum of the ATC curve. At first, marginal cost decreases with additional output, but then it increases with additional output. The firm’s profit-maximizing level of output will occur where MR = MC (or at a level close to that point).

Therefore, from the graph; at $16 per lawn, the maximum profit = 8 lawns per day.

You might be interested in

In business, failure usually means what? A. The market wasn't saturated enough. B. The company was unethical. C. The customers h

Pie

Hi!

Usually, in the business world, the reason for failure is due to the company running out of money this can be a culmination of all the reasons listed above or for other reasons, but a company is not really considered a failure until it runs out of money.

-ASIAX Frequent Answerer

5 0

3 years ago

Read 2 more answers

Part U16 is used by Mcvean Corporation to make one of its products. A total of 13,000 units of this part are produced and used e

ad-work [718]

Answer:

Financial disadvantage of 138,600

Explanation:

$\left[\begin{array}{cccc}&produce&buy&Differential\\$Purchase&&-447,000&-447,000\\$Avoidable\: Cost&-283,400&0&283,400\\$Unavoidable\: Cost&-114,400&-114,400&0\\$Total Cost&-397,800&-561,400&-163,600\\$additional segment&0&25,000&25,000\\$Net Effect&-397,800&-536,400&-138,600\\\end{array}\right]$

The allocate cost and teh depreciation cost will be unavoidable, so should be considered as a cost for the purchase option

Also the inocme from teh additional segment is only considered for the purchase option

The avoidable cost will be:

Direct Materials

Direct Labors

Variable overhead

Supervisor

Thse cost are zero in the purchase escenario

4 0

3 years ago

The paper is written, the next step is to __________. limit your topic and make the purpose of your paper clear use an acceptabl

JulijaS [17]

The next step to be approached after the paper is written is that an individual should limit their topic and that they should make a purpose of the paper as this is a method that is effective when planning and making an effective essay or topic.

3 0

3 years ago

Government regulations help balance negative externalities such as: Multiple Choice No smoking rules enforced to mitigate the ef

amm1812

Government regulations help balance negative externalities such as no smoking rules enforced to mitigate the effects of second-hand smoke.

<h3>What is negative externality?</h3>

Negative externality is when the activities of producers or consumers negatively affect third parties not involved in production or consumption activities.

For example, smoking affects those who are not smoking. They are affected by the second-hand smoke. To prevent this, no smoking rules can be enforced.

To learn more about externalities, please check: brainly.com/question/26266710

4 0

1 year ago

What must the Nederlander Organization do effectively to take its musicals to foreign markets?

mart [117]

The Nederlander Organization must effectively use teaser and revealers promotion campaigns to take its musicals to foreign markets.

Option a

Explanation:

Nederlander Organization will adopt to the use of teaser and revealers promotion campaigns for its musical foreign market. After doing the market analysis and known about the customer’s interest the company will go with the strategy called revealers promotion campaigns.

This is an advertising campaign which creates a curiosity in the minds of consumers till the brands last ad. This type of campaign will keep the consumers always think about the product and ad which is going to be launched soon.

4 0

3 years ago