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3 years ago

The break-even point is that level of activity where:

Business

1 answer:

nata0808 [166]3 years ago

6 0

Answer:

2. contribution margin equals fixed cost.

Explanation:

Break-even point is the point at which a business does not make any profits or losses. At break-even, the total cost equal to total revenue. Business express break-even as the number of units produced or sold or revenue generated.

In calculating the break-even point, a business must understand its costs and revenues. Business expenses are classified into fixed and variable costs. At break even, the total revenue will match the total of fixed and variable costs.

The contribution margin is the result of the difference between the selling price and variable cost. Therefore, the contribution margin takes care of the variable costs. If the contribution margin matches break-even, a business will not make any loss or profits.

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Competitive price taker firms always earn zero economic profit in long run equilibrium because:_______

Westkost [7]

Competitive price taker firms always earn zero economic profit in long-run equilibrium because of the following reasons which include easy entry & exit, small player etc.

Perfect competition exists when there are many sellers, firms can easily enter and exit, products are identical from one seller to the next, and sellers are price takers.

A perfectly competitive firm must accept the equilibrium price at which it sells goods because it is a price taker.

A perfectly competitive firm will be unable to make any sales if it charges even a small amount more than the market price.

Furthermore, a perfectly competitive firm must be a very small player in the overall market, allowing it to increase or decrease output without affecting the overall quantity supplied and price in the market.

Hence, Competitive price taker firms always earn zero economic profit in long-run equilibrium.

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2 years ago

Roberta transfers property with a tax basis of $495 and a fair market value of $546 to a corporation in exchange for stock with

Volgvan

Answer: $546

Explanation:

The amount realized by Roberta in the exchange will be gotten through the addition of the fair value of the stock that was acquired to the liability that's assumed by the corporation. This will be:

Fair value of stock acquired = $356

Add: Liability assumed by corporation = $190

Amount realised = $356 + $190 = $546

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3 years ago

Benefit corporations differ from traditional corporations in three main ways. The main purpose is to benefit the ___ , so direct

larisa86 [58]

The correct answers are, Public, Environment, Derivative Suit, Benefit Report.

Explanation:

Any corporation which is established to benefit people, society and the environment, is called as the Benefit corporation.

The main purpose is to benefit the Public, so the directors must consider the impacts of their decisions on society and the Environment. Shareholders have an additional right to private action called a Derivative Suit, that allow them to sue the corporation for failure to pursue the purpose. Finally, benefit corporations must issue an annual Benefit Report on its performance and include a third party standard of assessment.

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Zenovia inc., a well-established and reputed multinational enterprise (mne), is headquartered in a highly developed economy. it

Svet_ta [14]

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3 years ago

When creating text ads to advertise a client's small chain of italian restaurants, what should you include in the ad text to mak

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