Answer: Reduce output
Explanation:
According to the given question, the barrel O' Biscuits is one of the type of perfectly competitive organization in which its overall marginal cost increasing the company's marginal revenue.
For maximizing the profit of an organization then we should reduce the output as in the perfect competition the company majorly affected the output only and for shift the overall marginal cost of the company we reducing the output.
Therefore, Reduce output is the correct answer.
Answer:
Interpersonal Skills
Explanation:
Interpersonal skill is the skill that connects one person with other due to the employee's behavior which helps him to get along with others. In other words, when we talk about interpersonal skills we are actually talking about the excellent way of interacting with people that results in better relation, respect, better job environment, motivation of employees, etc.
In this case, Herb Kelleher, the CEO has better relations with his company employees as he interact with the people well which is interpersonal skills.
Answer:
option (c) $875 per year
Explanation:
Given;
Average cost of collision claims for careful drivers = $500 per year
Average cost of collision claims for for poor drivers = $3000 per year
Poor drivers known by the company = 15%
thus,
Careful drivers = (100% - 15%) = 85%
Therefore,
Insurance company's breakeven price for the collision insurance
= (Poor drivers known × Average cost of collision for poor drivers ) +( Careful drivers × Average cost of collision claims for careful drivers)
= 0.15 × $3000 + 0.85 × $500
= $450 + $425
= $875 per year
Hence, the correct answer is option (c) $875 per year
Answer: Agency problem
Explanation:
Agency problem is the issue rises when the agents fails to display appropriate interest of principles.This interest conflict usually occurs between the organisation's stakeholder and management.
In this situation,manger is the person who usually acts as the agent for providing best interest to the stakeholder to increase their wealth and benefit.But if failure in this case occurs , then conflict is experienced between both the parties.
