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
olga55 [171]
3 years ago
8

Perfectly competitive firms will: increase output up to the point that the marginal revenue of an additional unit of output is e

qual to the marginal cost. increase output up to the point that the marginal revenue of an additional unit of output is greater than the marginal cost. always attempt to minimize average variable cost. maximize total revenue by using the marginal decision rule.
Business
1 answer:
zavuch27 [327]3 years ago
7 0

Answer:

increase output up to the point that the marginal revenue of an additional unit of output is equal to the marginal cost.

Explanation:

In a perfect competition, there are many buyers and sellers of homogeneous products, and there is free entry and exit in the market.

This simply means that, in a perfectly competitive market, there are many buyers and sellers (price takers) of homogeneous products (standardized products with substitute) and the market is free (practically open) to all individuals or business entities that are willing to trade all their goods and services.

Generally, a perfectly competitive market is characterized by the following features;

1. Perfect information.

2. No barriers, it is typically free.

3. Equilibrium price and quantity.

4. Many buyers and sellers.

5. Homogeneous products.

Examples of a perfectly competitive market are the Agricultural sector, e-commerce and the foreign exchange market.

Perfectly competitive firms always strive to maximize profits by increasing their level of output, such that P = MC.

In a nutshell, in the long run equilibrium P = MR = MC.

Where;

P is the profit.

MR is the marginal revenue.

MC is the marginal cost.

You might be interested in
Project managers should wait to give feedback to the project team and team members until the project has been completed. Giving
xeze [42]

Answer:

False

Explanation:

Employees are so eager to learn about a potential raise that they tend to tune out constructive feedback. This action will help the whole team to fix their backwards at once and in time to have a better rusult rather than waiting unitl e project has been completed. At that time, it is too late for improvements.

5 0
3 years ago
What good or services is “AMAZON” KNOW FOR
Svet_ta [14]

Amazon. One of the largest online shopping websites in the world. The site is widely known for its wide selection of books, although the site has expanded to sell electronics, music, furniture, and apparel. ... Amazon was founded in 1995 by Jeff Bezos and is based out of Seattle, Washington.

8 0
3 years ago
Which of the following is not an input to the aggregate planning process? A. demand forecast B. cost information C. policies on
ale4655 [162]

Answer:

The correct answer is E. master production schedules.

Explanation:

Master production schedules is not an input to the aggregate planning process  all other options are its input,

Aggregate planning process is an attempt to respond to predicted demand within the constraints set by product, process and location decisions.

Hence, master production schedules is not a relevant input for this planning process but can be a result of the aggregate planning process. In other words master production schedule is formed after aggregated planning has been completed.

6 0
3 years ago
Read 2 more answers
What is the effect of KFC in the economy of the world?​
Ludmilka [50]

Answer:

There are many effects. They equate for a large portion in the fast food industry

Explanation:

8 0
3 years ago
1. The most recent trends in health care expenditures may be characterized as: A. Rapidly increasing B. Far exceeding growth in
Tasya [4]

Answer:

A. Rapidly increasing

3 0
3 years ago
Other questions:
  • Susan orders five table settings of china from bone china. each set includes a dinner plate, cup & saucer, bowl, and dessert
    12·1 answer
  • In general, head protection should do which of the following
    15·1 answer
  • Business level strategy addresses two related issues: what businesses should a corporation compete in and how can these business
    14·1 answer
  • Applying the concept of opportunity cost to the pollution of a lake, an economist probably would conclude that: pollution should
    7·1 answer
  • The Oxford Heating Company has been very successful in the past four years. Over these years, it paid common stock dividend of $
    10·1 answer
  • You are considering an investment project with an internal rate of return of 8.7 percent, a net present value of $393, and a pay
    8·2 answers
  • Whoever answers first gets 50 points
    12·1 answer
  • You started a new job working 4 days a week. During a work day you can complete 3 tasks per hour. You also take a half hour for
    14·1 answer
  • How to get power of attorney for someone who is incapacitated
    10·1 answer
  • What type of budget is used to forecast income and expense over some period of years?
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!