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Arisa [49]
4 years ago
13

You are a producer of calculators. last month, a tornado at your factory eliminated 50% of your firm's production capability. at

the same time, your compensation costs increased by 5% because of an increase in healthcare costs. what is the consequence of these events?
Business
1 answer:
Alex Ar [27]4 years ago
4 0

As per the question 50% of the organizations production capacity has been affected due to a tornado at the premises, and a 5% increase in compensation cost have occurred due to health care, In the light of the above situation, we may conclude that a consequence due to 50% of the production facility being hampered may be a reduction in the firms profits due to reduction in sales which is directly proportionate to reduction in production, the profits may be low for a period until the manufacturing facility has been restored. The 5% increase in compensation costs will be temporary as they have occured only once.

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able below shows the marginal revenue and costs for a monopolist. Demand, Costs, and Revenues Price (dollars) Quantity Demanded
aniked [119]

Answer:

The profit maximizing output for a monopolist is the output level where marginal cost is equal to marignal revenue.

Explanation:

Price  Q Demanded Marginal Revenue Marginal Cost

$76     100                 $76                         $25

71        200                  66                           68

66       300                  56                           56

61        400                  46                           82

56       500                  36                           76

51        600                  26                           48

Arranging the information in the chart above, we can see that for a quantity demanded of 300 units, and a price of $66, marginal revenue and marginal cost are exactly the same, $56.

Thus, the profit-maximizing level of output is 300 units.

4 0
2 years ago
Which of the following The holding-period return (HPR) on a share of stock is equal to(s) the level of real interest rates? I) T
____ [38]

Answer: D. I, II, and III.

Explanation:

The demand for investment funds determines the demand for loanable funds and when this is higher than the supply, the rate increases. The reverse it true. It therefore affects real interest rates.

The savings of households and business firms are the source of loanable funds so if these are high relative to demand, the rate will decrease. The reverse is true.

Government demand for funds will increase interest rates as the supply will decrease when the government borrows massively. The reverse is true.

All three therefore impart real interest rates.

7 0
3 years ago
What tool in Word can you use to search your entire document for spelling and grammar errors?
Sindrei [870]

Answer:

Spelling and Grammar check.

Explanation:

5 0
2 years ago
After developing a computer locking system, Caffrey Computer Corp. worked out a licensing deal with Chicago Desktop (a potential
Vika [28.1K]

Answer:

<u>A Strategic Alliance</u>

Explanation:

A Strategic Alliance refers to a combined effort or activities of two firms so as to strengthen their market position and yet at the same time maintain their individual separate corporate existence.

It represents a mutually beneficial agreement between two corporate firms under which, terms are less binding and stringent than a joint venture.

The purpose behind such an alliance could be, expansion, product line improvement or together gain a competitive advantage.

Such an alliance helps both businesses achieve a common goal driven by mutual assistance and pooling of resources.

In the given case, the tie up between Caffery computer corp. and Chicago desktop to sell computer locking systems alongside computers, would be termed a strategic alliance, since such an arrangement would benefit both, reduce competition for each with collective gain w.r.t market share.

3 0
3 years ago
Total variable costs A. always increase with output. B. initially decrease and then increase with output. C. initially increase
galina1969 [7]

Answer:

A. always increase with output.

Explanation:

There are basically 2 groups of cost namely; Fixed and variable cost.

The fixed cost are usually like sunk cost that will be incurred irrespective of how many units are produced.

Total variable costs refers to all elements of cost that vary proportionately with the level of activities or output. A good example is the direct material cost.

It is the total of the marginal cost over the units produced. The right answer is A. always increase with output.

6 0
3 years ago
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