Answer:
Because this market is a monopolistically competitive market, you can tell that it is in long-run equilibrium by the fact that P = ATC, P>ATC, MR =MC, or MR>MC at the optimal quantity. Furthermore, the quantity the firm produces in long-run equilibrium is the efficient scale. True False
This indicates that there is a markup on marginal cost in the market for shirts. True False
Explanation:
In the long run, monopolistically-competitive entities produce at a level where marginal cost and marginal revenue are equal. This makes it impossible for individual companies to sell their products at prices above the average cost. This situation means that monopolistically-competitive companies will always earn zero economic profit in the long run.
Answer:
$600,000
Explanation:
For computing the overhead applied first we have to find out the predetermined overhead rate
Predetermined overhead rate = (Total estimated manufacturing overhead) ÷ (estimated machine hours)
= $800,000 ÷ 200,000 hours
= $4
Now the overhead applied is
= Actual direct labor-hours × predetermined overhead rate
= 150,000 hours × $4
= $600,000
Answer: yes
Explanation: although the manager was aware of the weather condition, his negligence hampered him from posting a sign to caution incoming customers. This negligence had incurred a damage to his account and he is liable to compensate Kim for negligence
Answer:
The correct answer is option (D) Profits earned in the domestic economy are counted as part of GDP under the resource cost-income approach.
Explanation:
Solution
Gross domestic product (GDP) refers to sum of all value of goods and services manufactured within the geographical border of the country.
Now the investment for plant in carried within the geographical borders of The United States so it will include in GDP as gross domestic capital formation.
Thus the construction of the plant will cause a rise in U.S GDP.
Now this plant produce profit of $250000. profit produced within the economy so it will include in GDP.
These profit will increase US GDP since profits gained in the domestic economy are counted as a part of GDP under the resource cost or operating in income approach.
Answer:
The incorrect statement regarding the cash budget is :
The total cash available is calculated by adding cash receipts and the ending cash balance.
Explanation:
The Cash available is calculated by <em>adding</em> the Cash Receipts to the Opening Cash Balance <u>instead of</u> the Ending Cash Balance.
The Cash that is available would then be used to meet cash expenditures for the anticipated period.
