in the budgeting process you should create a budgeted balance sheet and budgeted income statement. Your balance sheet and income statement, whether budgeted or actual, are the two great financials. They reflect the bottom line, showing how the business is doing.
Answer:
Speed of the truck should be 64.03 miles per hour to minimize the cost.
Explanation:
Data provided in the question:
Distance = 150 miles
Wage = $14 per hour
Cost of fuel = ( v² ÷ 250 )
Now,
Total time taken = Distance ÷ speed
= 150 ÷ v
Therefore,
Total cost, TC = Wage + Cost of fuel
= $14 × (150 ÷ v) + ( v² ÷ 250 )
= 
for point of minima differentiating with respect to 'v'
TC'(v) = 
= 0
or
= 0
or
or
v³ = 2100 × 125
or
v = ∛262500
or
v = 64.03 miles per hour
hence,
Speed of the truck should be 64.03 miles per hour to minimize the cost.
Factors of production are the resources people use to produce goods and services;
They are four categories: land, labor, capital, and entrepreneurship.
Answer:
Creation Theory
Explanation:
The creation Theory is a theory that sees the entrepreneurs are the actors; i.e, entrepreneurs create opportunities via their actions, reactions, and experiments around new products, services, and business models. The creation theory assumes that opportunities are created by entrepreneurs who are searching for ways to gain economic advantage in the market in which they operate.
Answer:
C. Stay Open because Shutting Down would be More Expensive
Explanation:
Although it is quite obvious that in the short-run the business is not breaking even, based on the available options, staying open will be the best current course of action. Staying open and seeing if the trend of things change in coming fiscal years or financial periods will be better than shutting down.
Shutting down takes alot of processes that are quite expensive. Some of the processes include
- The Decision to Close
- File dissolution documents
- Cancel registrations, permits, licenses, and business names
- Comply with employment and labor laws
- Resolve financial obligations
- Maintain adequate records
These processes are expensive and since the business does not know what is causing the inability to cover its entire costs, it should investigate and find ways of increasing its total revenue to cover its entire costs before deciding to shut down completely.
a. Shut Down- Shutting Down is More Expensive
b. Exit the Industry- There isn't enough information to know exactly why the business is not making a profit
