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lakkis [162]
2 years ago
13

Consider a profit-maximizing firm in a competitive industry. Under which of the following situations would the firm choose to pr

oduce where MR= MC?
Yes?/No? Minimum AVC < Price < minimum ATC.
Yes?/No? Price > minimum ATC.
Yes?/No? Price < minimum AVC
Business
1 answer:
atroni [7]2 years ago
5 0

Answer:

The answer is given below

Explanation:

A firm maximizes profit to produce where the marginal revenue is equal to the marginal cost provided that the price of the product is greater or equal to the average variable cost (AVC)

i)  Minimum AVC < Price < minimum ATC

Id the price is greater than the minimum average variable cost (AVC) and less than the minimum average total cost (ATC), the firm would produce only for the short run making small losses.

ii) Price > minimum ATC.

Yes the firm should produce when Price > minimum ATC.

iii) Price < minimum AVC

When Price < minimum AVC, the firms should stop producing and shut down because it cannot cover its variable cost.

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Lynna [10]

Answer and Explanation:

The preparation of the cash budget for the month of March ended is presented below:      

                                              Cash Budget

Particulars                           Amount  ($)

Opening Cash Balance         72,000

Add: Cash Receipts from Sales 300,000

Total Cash Available           372,000

Less:

Cash Payments  

Purchases                             140,000

Salaries                                    80,000

Cash Expenses                     45,000

Repayment of Bank Loan      20,000

Total Payments                    -285,000

Closing Cash Balance              87,000

We simply deduct the all payments from the total cash available so that the ending balance of cash could come

8 0
2 years ago
Budgeted performance is a better criterion than past performance for judging​ managers." do you​ agree? why?
eimsori [14]
Not really, the budgeted performance is like an expectation of a work, which is still uncertain until the result comes, in other words, an opinion on a work; while the past performance was the fact, which came from the employee's work in the past few months. To judge the fact is better than an uncertain picture.
3 0
2 years ago
Tariff effects: An overview
Darya [45]

Answer:

The answer is "Option E, Option B, and Option C".

Explanation:

There are two Alagir and Ertil nations, and both iGadgets are created by the nations. Its price throughout the world was lower than in the world, and the manufacturers in Ertil will be more likely to ask their government for just a tariff on iGadgets to protect them against the international competition so because the cost in the nation is higher and consumers are starting to import goods from the country.

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1 year ago
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The value of money will always dropped. Let's say that in the present time, you could get one hamburger with $1. In the future, it will be more likely that the cost will increase, maybe you need about $ 1.5 - $ 2 to buy a hamburger by the time you retire

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