AudioCables, Inc., is currently manufacturing an adapter that has a variable cost of $0.50 per unit and a selling price of $1.40
per unit. Fixed costs are $14,000. Current sales volume is 30,000 units. The firm can substantially improve the product quality by adding a new piece of equipment at an additional fixed cost of $6,000. Variable costs would increase to $0.75, but sales volume should jump to 50,000 units due to a higher-quality product. What is the current profit and proposed profit of the sales of AudioCable?
Answer: The quantity of money circulating in the economy, such as money market mutual funds and stocks.
Explanation: Money stock also known as the money supply of an economy is the amount of money in circulation in an economy at a specific time, mainly influenced by the central bank of a country. It consists of the value of total money available in an economy in its different forms such as: stocks, mutual funds, and physical cash.
Each firm in the monopolistic competitive industry produces a slightly differentiated product.
The monopolistic competition occurs where competitive firms produces or manufactures products or services that are similar and close substitutes to one another.
The characteristics of the monopolistically competitive market includes:
presence of many sellers in the market
easy entrance and exit of consumers in the market
differentiated products in the market.
Therefore, the Option D is correct because each firm in the monopolistic competitive industry produces a slightly differentiated product.
The e commerce partnership with Ali baba will enable them (Costco) buy (import) and sell (export) goods using the internet, and also transfer money and data to execute these transactions.
Importation involves buying of goods or services from other countries.
Exportation means selling of goods and services to other countries.
Countetrading means the exchange of goods and services which are paid in part or whole with other goods and services.
