Answer:
(i) The farm can cover its revenue using its total variable cost, therefore the farm will continue producing 200 units
(ii) The farm cannot cover its revenue using its total variable cost, therefore the farm will shut down
(iii) The two relevant points on supply curve will be: (Price = $12 & Quantity = 0) and (Price = $25 & Quantity = 200)
Explanation:
(i)According to given data, When output is 200 but price is $20, this price is equal to ATC, so the farm breaks even. But since this price is higher than AVC of $15, the farm can cover its revenue using its total variable cost, therefore the farm will continue producing 200 units.
(ii) When output is 200 but price is $12, this price is equal to ATC, so the farm makes economic loss. Also, this price is lower than AVC of $15, so the farm cannot cover its revenue using its total variable cost, therefore the farm will shut down.
(iii) The farm's supply curve is the portion of its Marginal cost (MC) curve above the minimum point of AVC. Since price equals MC, the two relevant points on supply curve will be: (Price = $12 & Quantity = 0) and (Price = $25 & Quantity = 200).
Answer:
the correct answer is a. more difficult than
Explanation:
Unlike Transaction exposure, economic exposure is difficult to predict and difficult to mitigate in an event of occurence, thus making it harder to manage than transaction exposure.
This is mainly because economic exposure can happen due to various macro economic factors and international political incidents.
Answer: Budget Constraint
Explanation: Because from the Question we can see that brain needs $50,000 for his research but was dropped to $30,000 , so the $20,000 not given is the budget constraint .
Control happens once competitor brokers comply with a typical worth for sales commissions, fees, or management rates. The Sherman just Act forbids any style of control in any business.
Tie-in agreements are called fastening agreements. For instance, a developer United Nations agency is additionally a true estate broker agrees to sell one among the developer's properties to a purchaser providing the customer agrees to list the buyer's house with the broker.
The just prohibition on fixing commission rates means that 2 or additional realty companies might not agree on the commission rate that everyone can charge. As noted earlier, control may be a violation of just laws.
To learn more about tie-in agreements, visit here
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