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morpeh [17]
3 years ago
9

When the average unit cost of a good or service decreases as the capacity and/or volume of throughput increases, it is known as

_____.
a. diseconomies of scale
b. capacity cushion
c. cost cushioning
d. economies of scale?
Business
1 answer:
Sergeu [11.5K]3 years ago
5 0
(d.) ECONOMIES OF SCALE

Economies of scale is achieved when the average goods and services decrease whereas the volume of the goods and services increases.
Diseconomies of scale is achieved when the average unit cost of goods and services increases with the increase in the volume of goods and services.

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If supply is price-inelastic and demand is price-elastic, then the firm can earn positive profits by increasing the price.
strojnjashka [21]
I think it might be true in my opinion
8 0
3 years ago
On December 31, 2018, Gardner Company holds debt securities classified as HTM with a face amount of $100,000 and a carrying valu
Sunny_sXe [5.5K]

Answer:

$2,850

Explanation:

Given the following :

Face value of security = $100,000

Carrying value = $95,000

Effective interest rate = 6%

Interest paid semianually = $2500

The effective interest revenue recognized for the six months ended December 31, 2018 is:

IF effective interest rate = 6%

Semiannual interest = 6% / 2 = 3%

Therefore effective interest revenue for six months will be the product of the carrying value and the interest rate within the six months period :

3% = 0.03

0.03 * $95,000 = $2,850

3 0
2 years ago
Tony Matheson plans to graduate from college in May 2018 after spending four years earning a degree in sports and recreation man
valentinak56 [21]

Answer:

1. Proprietorship, Partnership and Corporation (details below)

2. Refer the answer with details below

3. Refer the answer with details below

Explanation:

1. Three primary forms of business organizations

Proprietorship

Having a single owner and hence all liabilities and assets belong to the proprietor and he is personally liable, lower tax

Partnership

Partnership of two or more, and therefore profits and liabilities are distributed and they are personally liable, lower tax than corporation

Corporation

Separate legal identity and hence owners are not personally liable, limited liability with stringent controls and regulated, higher tax rates.

Given the circumstances of the Great Adventures i.e. safety and sustainability, corporation would be recommended.

2. Activities

A) Financing Activities may include common stock, borrowings, and repayments.

B) Investing Activities may include purchase and sell of assets like land, building and machinery and investments

C) Operating Activities may include providing goods and services to the customers ans related operational cost to run the day to day business.

3. Specific Account Names

Assets may include Cash, Merchandise Inventory, Accounts Receivable, Property, Plant and Equipment

Liabilities may include Accounts Payable, Bank Overdraft, Notes Payable, accruals, loans.

Stockholders' equity may include common stock, retained earnings

Revenue may include Service revenue, other income

Expenses may include Salaries, Rent, Insurance advertising

8 0
3 years ago
This is for my principles of business class
Kazeer [188]

Profit of 10,750.     91,750 - 81000= 10,750/

5 0
3 years ago
Why might some firms voluntarily pay workers a wage above the market equilibrium, even in the presence of surplus labor? Check a
Rashid [163]

Answer:

Paying higher wages boost up employees to be more productive, as higher wages is considered as a source of motivation to the employees and they will improve their level of work and complete their task in an effective and efficient manner which leads to productivity at workplace. Hence, this automatically leads to timely completion of work at almost zero cost.

The reasons why some firms voluntarily pay workers a wage above the market equilibrium, even in the presence of surplus labor are as follows:

  • Paying higher wages helps workers to be healthier in some developing countries.
  • Higher wages attract a more competent pool of workers.
  • Paying higher wages encourages workers to be more productive.

3 0
3 years ago
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