Answer:
B. average total cost
Explanation:
In the terms of economics, the Average total cost is the cost which is obtained by dividing the total production cost involved by the total number of output units.
The average total cost also determines the cost per unit for a product.
It helps in deciding the selling cost of the product for a specified profit margin.
Answer:
Management can implement a tax strategy to create future taxable income, but it will be detrimental to the future profitability of the company.- D.
The option that represents the rise in labor productivity will be C. GDP increased from 200 billion dollars to 400 billion dollars, while total labor hours increased from 50 million to 75 million.
Labor productivity simply means the workforce productivity. It's the real ouput per labor hours. It's the amount of goods that are produced for a given time period.
An increase in labor productivity will be the increase in the GDP from 200 billion dollars to 400 billion dollars, while total labor hours increased from 50 million to 75 million.
Learn more about GDP on:
brainly.com/question/1383956
Answer:
No, it is a bad idea to use only the cost of debt
Explanation:
Only using the cost of debt, is not a good idea because too much amount of borrowing could lose the confidence of the investors and it could lead to the uncertainty in the future cash flows.
Suppliers might be worried regarding the financial situation and lead to the supply disruption. Though, the debt might save the tax expenses, which could lead to the negative cash flow.
When the company does not have adequate amount of cash at hand, it could cause many disruptions of financial. WACC (Weighted Average Cost of Capital) rates need to be used as the capital costs as it weigh the used capital cost and the used debt.
