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Ghella [55]
3 years ago
6

Nation Furniture is a furniture manufacturing facility. Its workers just signed a two-year contract. The price level in the econ

omy has increased.
a. If the price level increases, input prices will:_____.
a) increase.
b) decrease.
c) remain constant.
b. If the price level increases, output prices will:___.
a) increase.
b) decrease.
c) remain constant.
c. In the short run, the firm will experience a(n):______.
a) increase in economic profits.
b) decrease in economic profits.
c) increase in economic loesses.
Business
1 answer:
Nina [5.8K]3 years ago
6 0

Answer:

  • a. c) remain constant.
  • b. a) increase.
  • c. a) increase in economic profits

Explanation:

a. The workers have just signed a two-year contract which means that in the short run, their wages are fixed to what was agreed to in the contract. Input prices will therefore remain constant.

b. Output prices on the other hand will increase to match the increase in price levels.

c. The company would therefore see an increase in economic profits because they are getting a higher revenue from the increased prices of outputs than they are incurring costs from the constant input prices.

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Answer:

have greater marginal utility than existing substitute products

Explanation:

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Goods and services deemed to be of high utility value are always in high demand. Consumers will be willing to pay more for such commodities. A product with high utility value will outsell its competitors in the market.

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3 years ago
Under Life Solicitation Rule, the definition that applies to a consumer that is most concerned about death benefit proceeds to b
Fiesta28 [93]

Answer:

life insurance net payment cost index

Explanation:

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6 0
3 years ago
When all companies and their managers in a society behave in a socially responsible way, business increases, quality of life inc
Mkey [24]

Available Options Are:

A. A climate of caring will pervade.

B. Lawlessness all but ceases to exist.

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Answer:

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Explanation:

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7 0
3 years ago
The degree of risk is associated with the probability or magnitude of loss.
pochemuha

The degree of risk is associated with the probability or magnitude of loss. The given statement is true.

The area of mathematics known as probability deals with numerical representations of the likelihood that an event will occur or that a statement is true. An event's probability is a number between 0 and 1, where, roughly speaking, 0 denotes the event's impossibility and 1 denotes certainty.

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4 0
1 year ago
MV Corporation has debt with market value of ​million, common equity with a book value of ​million, and preferred stock worth mi
kirza4 [7]

Answer:

The Weighted Average cost of capital measures the cost to the company of its current capital structure by using the weights of the various capital measures. WACC usually uses market values so;

Total amount = Debt + Preferred stock + common equity

= 100 million + 20 million + ( 50 * 6 million)

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<u>Proportions.</u>

Debt

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Preferred Stock<u> </u>

= 20/420

= 5%

Common Equity

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= 71%

6 0
3 years ago
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