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Brums [2.3K]
3 years ago
10

Assume the XYZ Corporation is producing 20 units of output. It is selling this output in a purely competitive market at $10 per

unit. Its total fixed costs are $100 and its average variable cost is $3 at 20 units of output. This corporation: Group of answer choices should close down in the short run. is realizing an economic profit of $40. is maximizing its profits. is realizing a loss of $60. PreviousNext
Business
1 answer:
stich3 [128]3 years ago
8 0

Answer: is realizing an economic profit of $40

Explanation:

The total cost involved in the production will be:

Fixed cost = $100

Variable cost = $3 × 20 = $60

Total cost = $160

The selling price will be:

= $10 × 20

= $200

The economic profit will then be;

= Selling price - Cost price

= $200 - $160

= $40

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Answer:

Thinking on the margin will ensure that each pair of inserts produced is turning a profit. Once a profit is no longer being made on a pair of inserts, production must be cut back. Understanding these margins will also help me stay competitive in a market that is open to other producers. If additional producers enter the market, I know that I have the ability to lower prices or offer discounts while still maximizing profits.

Explanation:

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3 years ago
Suppose that a 5-year Treasury bond pays an annual rate of return of 2.9%, and a 5-year bond of the fictional company Risky Inve
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The risk premium is 4.4%

Explanation:

The risk premium on any given investment is the difference between the risky investment and the risk free investment and in this case we know treasury bonds are risk free and offer a certain return of coupons because they come from governments rather than the fictional ones like the one from risky investment inc so to find the risk premium we say :

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3 0
3 years ago
Read 2 more answers
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Answer:

b. Long-term care insurance is allowed as a deduction, subject to a dollar limitation.

Explanation:

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Answer:

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<em>2012</em>

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Sales Rep   Sales Rep      Maintain Rep       Rep assistant     Sales Rep

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