Answer: b. P2
Explanation:
Average Cost Pricing regulations being imposed on natural monopolies means that the regulators want them to charge customers a price that is close to or is the same as the Average cost it costs to produce goods and services.
The price that the Monopoly will charge is therefore the intersection between the Average Total Cost Curve and the Demand curve.
From the graph that price is P2 so that is the price that will be charged.
Answer:
the answer is 22,000 dollars
Explanation:
Its head math you subtract 40,000 from 75,000=35,000 dollars than you subtract 14,000 from 35,00 giving you 22,000 dollars.
Answer: increase - increase - fulfilled
Explanation: The attitude of optimism towards future sales and profits will increase spending on plants and equipments but in turn, there is increase in employment and income and, hence, their expectations are fulfilled.
Answer:
A. $565,000
Explanation:
The computation of the budgeted operating income is shown below:
Sales revenue ($750 × 2,500) $1,875,000
Less: Variable cost ($500 ×2,500) $1,250,000
Contribution margin $625,000
Less: Fixed cost $60,000
Budgeted operating income $565,000
The losing of sales by Ann Taylor in this scenario is known as cannibalization.
<h3>What is cannibalization?</h3>
It should be noted that cannibalization simply means the reduction of the sales of a company.
This reduction simply occurs when the company introduces another similar product just as illustrated by Ann Taylor.
Learn more about sales on:
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