What is a marginal cost?

Which of the following industries is most likely to exhibit the characteristic of free entry? a. nuclear power b. municipal wate

gogolik [260]

Answer:

c. dairy farming

Explanation:

Free entry can be defined as the situation in which business firms such as sellers of goods or service providers can enter into the market freely and start selling to consumers.

This ultimately implies that, there are no legal barriers or just a minimum barrier, if any for new firms starting the same business as others.

Hence, dairy farming is the industry which is most likely to exhibit the characteristic of free entry.

A diary farming is one of such industries that allows new agents to come into the business without any barrier because it simply involves the production of essential commodities such as milk, beef etc which are usually required on a large scale in an economy.

7 0

3 years ago

Assume the state of Alabama placed a tax on playing cards of 6 cents per pack. If the state generated $48600 in revenue, how man

Rasek [7]

Answer:

the number of packs of cards sold is 810,000 units

Explanation:

The computation of the number of packs of cards sold is shown below:

Tax revenue = tax per good × goods

$48,600 = 0.06 × Q

Q =$48,600 ÷ 0.06

Q = 810,000

hence, the number of packs of cards sold is 810,000 units

We simply applied the above formula so that the correct value could come

And, the same is to be considered

3 0

3 years ago

What is the best online marketing service provider around the world?

SIZIF [17.4K]

Answer:

Let me name a few...

Explanation:

1.Digital Marketing Agencies in USA

2.Digital Marketing Agencies in UK

3.Digital Marketing Agencies in Australia

4.Digital Marketing Agencies in Canada

5.Digital Marketing Agencies in Netherlands

6.Digital Marketing Agencies in India

hope this helped :)

3 0

3 years ago

In the month of June, Bedford Company sold 350 widgets. The average sales price was $34. During the month, fixed costs were $6,3

VikaD [51]

Answer:

Results are below.

Explanation:

Giving the following information:

In June, Bedford Company sold 350 widgets. The average sales price was $34. During the month, fixed costs were $6,320 and variable costs were 40% of sales.

First, we need to calculate the unitary variable cost:

Unitary variable cost= 34*0.4= $13.6

Now, we can determine the contribution margin per unit and the contribution margin ratio:

contribution margin per unit= selling price - unitary variable cost

contribution margin per unit= 34 - 13.6= $20.4

contribution margin ratio= contribution margin per unit/selling price

contribution margin ratio= 20.4/34

contribution margin ratio= 0.6

To calculate the break-even point in units and dollars, we need to use the following formula:

Break-even point in units= fixed costs/ contribution margin per unit

Break-even point in units= 6,320/20.4

Break-even point in units= 310 units

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 6,320/0.6

Break-even point (dollars)= $10,533

To calculate the margin of safety, we will use the following formula:

Margin of safety= (current sales level - break-even point)

Margin of safety= 350*34 - 10,533

Margin of safety= $1,367

Finally, the desired profit is $4,000:

Break-even point in units= (fixed costs + desired profit) / contribution margin per unit

Break-even point in units= (6,320 + 4,000) / 20.4

Break-even point in units= 506 units

Break-even point (dollars)= (fixed costs + desired profit)/ contribution margin ratio

Break-even point (dollars)= 10,320/0.6

Break-even point (dollars)= $17,200

3 0

3 years ago

ABC Company received $9,631 for its 5-year, 10% bonds with a total face value of $10,000. The market rate of interest was 11%. T

Anastaziya [24]

Answer:

The correct answer is Option A.

Explanation:

The effective interest rate (EIR) method is used when a bond is purchased at a discount or premium.

In the case of the question, the bond was purchased at $9,631 with a face value of $10,000. Interest expense is calculated as the bond price multiplied by the market rate, i.e. $9,631 x 11% = $1,059.41.

Therefore, ABC Company would record $1,059 on the first annual interest payment date using the effective-interest method.

5 0

3 years ago

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What is a marginal cost?​

What is a marginal cost?