Answer:
ive seen this question like FIVE TIMES
Answer:
Profit can be increased by decreasing production.
Explanation:
Marginal cost is the change in total cost when quantity produced is increased by one extra unit. Marginal revenue is the change in total revenue when quantity produced is increased by one extra unit.
Perfect competition is a market structure where there are many firms with ease of entry and exciting into and out of the market. They producing homogenous products and are price takers.
If marginal costs are higher than marginal revenue, that means that with every extra unit produced, the cost of it is higher than the revenue made from it. Hence, if the firm wants to make higher profits, it can only be done if the firm reduces its production and produces at the quantity where MR = MC. The firm which may have been making very little profit or even a loss can now make normal profits, producing where the MC, AC and MR curves intersect, and D is equal to MR = AR.
Answer:
d. the service is performed
Explanation:
According to the revenue recognition principle, the revenue is recognized when it is earned or realized not when the cash is received. It is based on the accrual basis of accounting. It does not depend upon the cash.
In other words, whether cash is received or not but the revenue is recognized on the books when the service is performed.
Answer:
0.05386 or 5.39%
Explanation:
Market Value of debt:
= 102% × $250,000
= 2,55,000
Market value of Preferred stock:
= 2,000 shares × $38
= 76,000
Market value of common stock:
= 45,000 shares × $24
= 10,80,000
Total Enterprise Value:
= Market Value of debt + Market value of Preferred stock + Market value of common stock
= 2,55,000 + 76,000 + 10,80,000
= 14,11,000
Weight of Preferred stock = Market value of Preferred stock ÷ Total Enterprise Value
= 76,000 ÷ 14,11,000
= 0.05386 or 5.39%
Answer:
Correct option is (c)
Explanation:
Make-or-buy decision is a form of strategy to analyse if a product must be manufactured internally or sourced from outside suppliers.
Cost and benefits related to the product being produced internally or outsourced is studied and compared before arriving at a decision. If cost of producing and storing goods are less as compared to the cost incurred in outsourcing, then decision to make will be taken and vice-versa.
So, make-or-buy decision involves considering relevance of purchase price of goods sourced externally.
