Shortages below equilibrium will drive up price that decrease quantity demanded and increases quantity supplied moving toward equilibrium. Also because of the two conditions one is informal and the other one is free market entry. <span />
Answer: Finite loading approach
Explanation: In a finite loading approach, the work centers are scheduled to load up to a predetermined capacity amount. This is a type of approach that is used in manufacturing process that are heavily dependent on a single cost center.
Thus, we can conclude that the right answer for the given case is finite loading approach.
A natural monopoly, such as a local electricity provider, is the result of long run average total costs declining continuously as output increases. The correct option among all the options that are given in the question is option "3". The initial cost of power generation and power distribution cost is high. Once the generation starts and the number of consumer increases, the average cost starts declining.
Answer:
5 units
Explanation:
Breakeven point is the point or number of units sold that makes the cost equal with the revenue generated. In other words, it is the point in which the profit or loss made by an entity is 0.
Given;
Variable cost per unit = $20
Selling price per unit = $50
Fixed cost = cost of rent = $150
Let the number of units to be sold be c
Total revenue = 50c
total cost = 20c + 150
To break even, total revenue = total cost
20c + 150 = 50c
50c - 20c = 150
30c = 150
c = 5
Ray must sell 5 units to break even.
