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3 years ago

How do the entry and exit of firms in a purely competitive industry affect resource flows and long-run profits and losses?

Business

1 answer:

Irina18 [472]3 years ago

5 0

Answer:

The fact that in a purely competitive industry there are neither barriers to entry nor barriers to exit is what makes economic profit, in this type of industry, impossible in the long-run.

This is because when there is economic profit in the industry, firms are lured to enter, saturating the market, and lowering economic profit to zero in the process. When this happens, some firms opt out of the industry, bringing economic profit back to positive territory, causing the cycle to repeat itself.

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When comparing short-run average total cost with long-run average total cost at a given level of output, a. short-run average to

elena-14-01-66 [18.8K]

Answer:

c. short-run average total cost is typically above long-run average total cost

Explanation:

In the case when the average of the total cost of the short run should be compared with the average of the total cost of the long run for a given output level so this means that the average of the total cost of the short run should be more than the average of the total cost of the long run

Therefore as per the given situation, the option c is considered

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3 years ago

As a manager, when you provide rewards or reprimand your subordinates, you are practicing transactional leadership. question 35

MissTica

The statement given in the question is (A) True.

Transactional leadership is defined as a leadership style that emphasizes rewards and punishments on behaviors that the followers exhibit. This style of leadership seeks to maintain the status quo.

Its contrast is transformational leadership, where the leader works with teams to problem-solve and bring a vision into reality by directly involving themselves.

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3 years ago

True or false: Through shared perceptions and values, culture builds a sense of commitment by employees to their organization. T

NISA [10]

Answer:

Through shared perceptions and values, culture builds a sense of commitment by employees to their organization True

7 0

3 years ago

Under corporate social responsibility theory, to who(m) does the chairman and CEO of the company owe an ethical duty? a) The wor

Morgarella [4.7K]

Answer: Option B

Explanation: In simple words, corporate social responsibility refers to the business model which states that the business organisation has gained its resources from all its stake holders and hence it owes some moral accountability to all of them.

Thus, as per the given case, the chairman owes responsibility to all the stakeholder whether they are customers, shareholders, workers and community.

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3 years ago

Smith Law Firm specializes in the preparation of wills for estate planning. On October 1, 2021, the company begins operations by

kompoz [17]

Answer:

Cash flow from financing $34,100

Explanation:

The amount of financing cash flows that Smith would report in year 2021 is as follows:

Issuance of stock by Smith law firm $12,000

Loan from local bank $24,000

Dividends paid to stockholders ($1,900)

Cash flow from financing $34,100

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3 years ago