<span>It is due to the profit maximising rule in a monopoly is Marginal Revenue=Marginal Costs (MR=MC). If the price or the output is below the ATC then the firm is operating at a loss; however, should shut down production until price or output is less than AVC.</span>
Answer:
B) the temporary reduction of jobs during a downturn in the business cycle
Explanation:
Cyclical unemployment is B) the temporary reduction of jobs during a downturn in the business cycle. Unemolyoment reduces when there's a upturn in the economy.
I hope my answer helps you
Answer: Sale of debt securities held. The profit of $12500 is recognized as income in the financial statements. The Acquisition of Additional trading securities doesnot affect the income statement it is a balance sheet transaction
Explanation:
debt securities were sold for $104500. The debt securities had a cost of 86000 and a Fair value of $92000. since the value of the Debt securities would have been Recognized at their Fair Value of $ 92000 in the Balance sheet, the Profit on Sale (Income) of debt securities in year 2 will be
104500 - 92000 = 12500.
A profit on sale (income) of 12500 would be Recognized in the income statement for year 2.
The Acquisition of additional Trading securities at a cost of $73000 will not affect the income statement because acquisition of an asset is not an expense. the acquisition of additional trading securities will only affect the Balance Sheet
In my opinion, I would say it is the interest rate.
Answer:
D
Explanation:
The term is asset restoration cost,it implies the cost of ensuring the environment where the exploration does is harmless to the residents of the area.
It is normally part of the asset costs from day one.It is expected to be discounted to present value and the discounting factor is applied to the present value each to determine the increase in asset which is added to asset value,in other words by the end of useful life,the asset would have its restoration cost required to restore the site.