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jekas [21]
4 years ago
6

Both monopolistically competitive firms and perfectly competitive firms maximize profits A. by producing where marginal revenue

equals average revenue. B. by producing where price equals average variable cost. C. by producing where price equals average total cost. D. by producing where marginal revenue equals marginal cos
Business
1 answer:
34kurt4 years ago
3 0

Answer:

The correct answer is option D.

Explanation:

A monopoly or monopolistic firm faces a downward-sloping demand curve. The firm is a price maker. A monopolistic firm is at equilibrium or maximizes profit at the point where marginal revenue equals marginal cost.  

A perfectly competitive firm is a price taker and the price is determined by market forces. It faces a horizontal demand curve. This horizontal line shows average revenue, marginal revenue, and price of the product. The equilibrium is achieved when all these are equal to marginal cost.

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6.3) Annie Lennox recently took over a cleaning supply store. Her predecessor always ordered carpet shampoo in quantities of 100
nata0808 [166]

Answer:

Annie should increase the order size to 148 bottles per order and she will be able to save $91.85 per year.

Explanation:

we must calculate the economic order quantity (EOQ) in order to determine the size of the order that reduces costs:

EOQ = √[(2 x S x D) / H]

  • S = cost per order = $35
  • D = annual demand = 2,500 bottles of shampoo
  • H = holding cost per unit) = $8

EOQ = √[(2 x 35 x 2,500) / 8] = √(175,000 / 8) = √21,875 = 147.90 ≈ 148 bottles of shampoo

total cost when ordering 100 bottles = (25 orders x $35) + (100/2 x $8) = $875 + $400 = $1,275

total cost when ordering 148 bottles = (16.89 orders x $35) + (148/2 x $8) = $591.15 + $592 = $1,183.15

Annie will save $1,275 - $1,183.15 = $91.85 per year

7 0
3 years ago
What is the point called where the supply curve and the demand curve meet?
disa [49]

Answer:

I would have to say, C Supply is how much of an item you have and demand is how much demand you have

3 0
3 years ago
What is the term for a loan with a co-signer?
Nady [450]
I think it’s a consignment loan.
4 0
3 years ago
According to Rashi Glazer, smart markets are blurring boundaries between: A. management and shareholders B. firm and competitor
Natasha2012 [34]

Answer: B. Firm and competitor

Explanation: Rashi Glazer is of the opinion that information-intensive markets otherwise known as smart markets are breaking down traditional boundaries, thereby blurring the lines between product offerings, departments, and the firm with its external world, competitors inclusive. For firms deciding to follow the approach to technological advancement while leaving the stability of what already exists often place them at risks since these advancements are by nature risky. Choosing not to either places them at a disadvantage to those firms who decide to and are successful.

5 0
3 years ago
If a potential source presents any kind of bias, it should automatically be ruled out.
slava [35]

True

A source’s objectivity and bias is a key consideration when evaluating the objectivity of sources. It is vital that sources used are credible hence the need to ensure that they are objective. As such, a biased source should not be used.


7 0
3 years ago
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