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Verdich [7]
3 years ago
15

Assume that marginal revenue equals rising marginal cost at 100 units of output.

Business
1 answer:
Digiron [165]3 years ago
5 0

Answer:

b) -$700.

Explanation:

The economic profit or loss will be:

economic result = revenue - total cost

<u>Where:</u>

fixed cost + variable cost = total cost

400 + 600 = 1,000

revenue = units x selling price per unit

100 units x $3 = $300

economic result = revenue - total cost = 300 - 1,000 = -700

The company is on the optimal level, marginal revenue = marginal cost at 100 units of output.

But, it is not selling at the correct price. It should sale at a higher price.

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______ ratios measure how much operating income an organization is able to generate relative to assets, owners' equity, and sale
tankabanditka [31]

According to business strategy, the <u>Profitability</u> ratios measure how much-operating income an organization can generate relative to assets, owners' equity, and sales.

<h3>What are Profitability ratios?</h3>

Profitability ratios s a form of financial method or procedure in which firms assess or evaluate the ability to generate income or revenue based on the capacity and resources.

<h3>Different types or methods of Profitability ratios:</h3>

  • Gross Profit Ratio
  • Operating Ratio
  • Operating Profit Ratio
  • Net Profit Ratio
  • Return on Investment

Hence, in this case, it is concluded that the correct answer is "<u>Profitability ratio."</u>

Learn more about the Profitability ratio here: brainly.com/question/25253887

4 0
2 years ago
Karen runs a print shop that makes posters for large companies. It is a very competitive business. The market price is currently
V125BC [204]
AFC mean average fixed costs. This is equal to total fixed costs divided by the amount of output. If the output is equal to 1000, then the AFC is

AFC = $250.00 ÷ 1,000
AFC = $ 0.25

I hope I was able to answer your question. Thank you and have a good day.
6 0
3 years ago
Which of the following statements regarding budgets is true? a. Budgets are detailed forward-looking financial reports based on
Shkiper50 [21]

Answer:

a. Budgets are detailed forward-looking financial reports based on expected income and expenses.

Explanation:

A budget is a financial plan used for the estimation of revenue and expenditures of an individual, organization or government for a specified period of time, often one year. Budgets are usually compiled, analyzed and re-evaluated on periodic basis.

The first step of the budgeting process is to prepare a list of each type of income and expense that will be part of the budget.

The final step by the management of an organization in the financial decision making process is making necessary adjustments to the budget.

The benefits of having a budget is that it aids in setting goals, earmarking revenues and resources, measuring outcomes and planning against contingencies.

It is typically used by various organizations or companies due to the fact that, it's tied directly to the strategy and tactics of a company on an annual basis. Also, it is used to set a budget for marketing efforts while anticipating on informations about the company.

3 0
3 years ago
Which of the following is true of an unsecured loan?
Ilya [14]

The statement "The value of an item where the borrowers owned but they are not at the repossession risk" is to be true.

The unsecured loan is the type of loan in which there is no need for any type of collateral property.

The lender does not takes the assets of the borrower as the security but it gives the approval of an unsecured loan depends upon the creditworthiness of the borrower.

Examples are:

  • Personal loans.
  • Students loans.
  • Credit cards.

The following information related to unsecured loans is

  1. It does not for cars, houses, or any other large purchases
  2. In this, the collateral does not involve.
  3. It contains high interest.

Therefore we can conclude that,  option d is correct.

Learn more about the unsecured loan here: brainly.com/question/8347317

7 0
3 years ago
Read 2 more answers
Shelley compared the number of oak trees to the number of maple trees as part of a study about hardwood trees and a woodlot she
Masja [62]

There were 72 (108 - 36) more maple trees in the woodlot before the bug problem. There were 108 maple trees in the woodlot before the bug problem. There are 36 maple trees in the woodlot after the bug problem.

The following information is given in the question:

Ratio of maple trees to oak trees before bug problem = 9:5

Ratio of maple trees to oak trees after replanting = 3:11

Total number of oak trees after replanting =132

Total number of trees in the woodlot is the same before and after the bug problem.

Let the number of maple trees after replanting be 'x'

From the data above, we can find the number of maple trees after replanting as follows:

\frac{3}{11} = \frac{x}{132}

\frac{(3*132)}{11} = {x}

x = 36

So, number of maple trees after replanting in the woodlot are 36.

Total number of trees in the woodlot =   No. of maple trees + No. of oak trees.

Total number of trees in the woodlot =  168 (132 + 36)

Let number of maple trees before bug problem be 'z'.

We can find the number of maple trees before bug problem as follows:

\frac{9}{(9+5)} = \frac{z}{168}

\frac{9*168}{14} = z

z = 108

6 0
3 years ago
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