1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
statuscvo [17]
3 years ago
14

Which of the following statements is correct?

Business
1 answer:
artcher [175]3 years ago
3 0

Answer: It is reasonable to assume that a profit-maximizing firm will never operate in the inelastic portion of its demand curve.

Explanation:

It should be noted that a firm that profit maximizing will not operate in the inelastic portion of its demand curve because at that point, the firm isn't maximizing profit.

When there's an inelastic demand, an increase in price will bring about a less than proportionate reduction in the quantity of the goods that's demanded. In such case, if the firm operates at the inelastic portion of its demand curve, when it increases price, this will lead to a reduction in income and profit will not be maximize.

You might be interested in
Listed below are accounts to use for transactions (a) through (1), each identified by a number. Following this list are the tran
Furkat [3]

Answer:

The accounts to use for transactions is shown below. it also indicates which transaction is placed either in the debit or credit side.

Explanation:

Solution

       Accounts Debited                  Accounts Credited

a.     Utilities Expense                       Utilities Payable

b.     Utilities Payable                              Cash

c.      Prepared insurance                       Cash

d.      Insurance Expense                 Prepared insurance  

e.       Cash                                       Unearned Cash

f        Unearned Fees                       Fees Earned

g.      Office supplies                        Cash, Accounts Payable

h        Cash                                        Notes Payable

i         Interest Expense                     Interest Payable

j         Depreciation Expense-Office  

         (Office Equipment)                Accumulated Depreciation

                                                              (Office Equipment)

7 0
4 years ago
Bonita Industries produces corn chips. The cost of one batch is below: Direct materials $18 Direct labor 14 Variable overhead 12
sp2606 [1]

Answer:

$19

Explanation:

Data provided

Direct material = $18

Direct labor = $14

Variable overhead = $12

Offered price from outside supplier = $25

The calculation of Bonita Industries save is shown below:-

Total cost of production = Direct material + Direct labor + Variable overhead

= $18 + $14 + $12

= $44

Savings = Total cost of production - Offered price from outside supplier

= $44 - $25

= $19

5 0
3 years ago
Benton Company is preparing its annual profit plan. As part of its analysis of the cost of its purchasing activity, management e
maksim [4K]
Hey will you please help me with my essay and I’ll get back to yours please ASAP
8 0
3 years ago
For a nail salon, the costs associated with the purchase of nail polish and other products like polish remover and disposable fl
ira [324]

Answer: Variable cost; should be considered

Explanation:

For a nail salon, the costs associated with the purchase of nail polish and other products like polish remover and disposable flip flops are examples of variable costs. These should be considered when building a MCS.

Variable costs are the costs that varies with production. They are the opposite of fixed costs which are fixed. The nail polish and other products like polish remover and disposable flip flops are variable costs because the amount that'll be bought depends on the available customers and therefore isn't fixed.

6 0
3 years ago
VelSad is contemplating the acquisition of Po, Inc. The values of the two companies as separate entities are $32 million and $16
svetoff [14.1K]

Answer:

7.58m

Explanation:

The VelSad is considering to acquire Po, Inc. by offer of 20 million cash or either 44% holding. The cost of acquisition refers to all cost incurred by a company to acquire another company. The benefit VelSad can get after acquiring Po, Inc is that it can save marketing and administrative cost by $560,000 every year. The cost of stock offer is 7.58 million. This is calculated by taking 44% of VelSad value and then discounting it at cost of capital which is 10%.

7 0
4 years ago
Other questions:
  • The countries of mimbo, juwan, and ninot agreed to remove all barriers to the trade of goods and services among each other. howe
    14·2 answers
  • A monopolist will earn economic profits as long as his price exceeds. True or False
    10·1 answer
  • Income Statement Talbot Enterprises recently reported an EBITDA of $7.5 million and net income of $1.875 million. It had $1.95 m
    13·1 answer
  • A newly issued bond pays its coupons once annually. Its coupon rate is 5.2%, its maturity is 20 years, and its yield to maturity
    7·1 answer
  • One broad skill students can gain by taking this course is​ ______.
    8·1 answer
  • If the distribution of water is a natural monopoly, then (i) multiple firms would likely each have to pay large fixed costs to d
    10·1 answer
  • If farmer sam macdoanld can produce 200 pounds of cabbages and 0 pounds of patotes or 0 pound of cabbes and 100 pounds of potato
    12·1 answer
  • Businesses offer many of the marketing functions, and consumers usually take part in _____ when they make purchases.
    6·1 answer
  • At the end of the first month of operations, the Lamar Company's accountant prepared financial statements that showed the follow
    7·1 answer
  • The demand for spring water at the SLC WalMart is 600 liters per week. The setup cost for placing an order to replenish inventor
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!