All categories

3 years ago

The main motivation for economic activity in a free enterprise system is

Business

2 answers:

lozanna [386]3 years ago

8 0

Answer:

C. maximizing profits

Explanation:

jekas [21]3 years ago

5 0

Answer:

C. maximizing profits

Explanation:

In the free market economy, productions and economic activities are conducted by individuals and privately owned firms. The government does not participate in economic activities in a market economy. Making profits is the primary reason why the private sector engages in business activities.

In the free market economy, the private sector owns the factors production. They risk their resources in producing goods and services to sell to the public. The reward for taking risks and for providing goods and services is the profits earned.

You might be interested in

This is whoever will be reading, listening or watching a story, text, or drama.

natima [27]

Audience refers to whoever is reading, listening or watching a story, text or drama.

7 0

3 years ago

Read 2 more answers

why did aig get bailed out while lehman brothers did not? group of answer choices it had a stronger balance sheet lehman brother

GarryVolchara [31]

Because all other big financial corporations would have failed due to the prospect of systemic risk, aig received bailout money while Lehman Brothers did not.

The process of raising money or capital for any form of spending is referred to as finance. It involves directing different sources of funding, such as credit, loans, and investment money, to the businesses that can use them most effectively. The definition of finances according to Finance Box is "The money that people, businesses, or national economies earn and spend." Risk is the potential for bad things to happen, to put it simply. Risk refers to uncertainty on how a certain action will affect or have implications for a human value (such as one's health, well-being, wealth, property, or the environment), frequently focused on unfavourable outcomes.

Learn more about Risk here

brainly.com/question/17284407

#SPJ4

3 0

1 year ago

Jaguar has full manufacturing costs of their S-type sedan of £22,803. They sell the S-type in the UK with a 20% margin for a pri

AveGali [126]

Answer:

12.18%

Explanation:

Company selling price in US = $55,000

(which is equal to price with 20% margin)

= 27,363 pounds × $2.01

= $55,000

Now the exchange rate increased to $2.15 per pound,

so here the manufacturing cost of the car will increase according to the increase in the exchange rate.

The selling price remains constant, then the profit margin is as follows;

Manufacturing cost of the car = 22,803 pounds × $2.15

= $49,026.45

Selling price = $55,000

Profit margin:

= Selling price - Manufacturing cost

= 55,000 - 49,026

= $5,973.55

Margin percentage = Profit margin ÷ Manufacturing cost of the car

= $5,973.55 ÷ $49,026.45

= 12.18%

4 0

4 years ago

Which of these situations produces the largest profits for oligopolists? a. The firms reach a Nash equilibrium. b. The firms rea

liraira [26]

Answer:

c. The firms reach the monopoly outcome.

Explanation:

The oligopoly is a market structure with a small number of competitors that have all of most if not all of the sales in an industry. According to Nash theory, the equilibrium is reached when each competitor is doing the best it can given what its competitors are doing and have no incentive to deviate (acting all together as a monopoly).

4 0

3 years ago

Your Company makes and sells a single product. Each unit sells for $32 dollars and has a unit variable cost of $20. The company

andre [41]

Answer:

Your Company

The cash that must be borrowed to cover all cash disbursements and to obtain the required November 30 cash balance is:

= $18,000.

Explanation:

a) Data and Calculations:

Selling price per unit = $32

Variable cost per unit = $20

Contribution margin per unit = $12 ($32 - $20)

Beginning cash balance on November 1 = $45,000

Cash disbursements = $1460,000

Depreciation expense = $35,000

Minimum required cash balance on November 30 = $75,000

Budgeted sales units for November = 46,000

Sales revenue (cash) = $1,472,000 (46,000 * $32)

Variable costs = 920,000 (46,000 * $20)

Contribution margin = $552,000 (46,000 * $12)

Cash Budget

For the month of November

Beginning cash balance $45,000

Total cash collections = 1,472,000

Cash available $1,517,000

Cash disbursements (1,460,000)

Cash balance $57,000

Cash to borrow 18,000 ($75,000 - $57,000)

Minimum cash balance $75,000

3 0

3 years ago