When efficiency is disrupted in pure competition producers will reallocate resources until product supply is such that price will again equal marginal cost.
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Explanation:</u></h3>
Marginal cost refers to the cost that is incurred due to the production of additional one unit of any goods or services. It includes all the cost in the production of the extra one unit of the product or services. For instance consider an organisation is planning to build a new machine fore the product of a product and the cost associated with building the new plant will be the marginal cost.
Pure competition market is also called as perfect market. Here there will be a large number of sellers who are the competitors selling a same product. In such a market when the efficiency gets disrupted, then the producers can involve in the reallocation of resources until product supply is such that price will again equal marginal cost.
Answer:
$700
Explanation:
The computation of the average dividend amount paid is as follows:
Total net income for first four years is
= $6,000 + $4,000 + $7,000 - $3,000
= $14,000
And, the ending retained earning balance after 4 years is $11,200
So, the dividend payment would be
= $14,000 - $11,200
= $2,800
For per year it would be
= $2,800 ÷ 4 years
= $700
Answer: Fixtures
Explanation:
Fixtures are a type of fixed assets that are so named because they are fixed to the property they are in, in such a way that it would require substantial work to remove them.
Checkout counters are fixed to the ground in grocery stores and other places that use them and trying to remove a checkout counters takes a lot of effort so they qualify to fall under fixtures.
There are many risks that businesses face, including:
- Competition risk - there could be another business that draws customers away from your company.
- Economic risk- if the economy is doing poorly, it could increase costs or reduce sales
- Reputation - if someone posts a bad review online, how will that effect your sales?
- Legal/Compliance issues- you have to comply with industry regulations and laws, and there is great risk to you and the business if you break these rules
- Resources risk - if you rely on a specific material to run your business and that material isn't available you could be in trouble (ex. if the orange crop is wiped out by a hurricane, orange juice makers could be in trouble)
Answer:
opportunity cost is define as given below
Explanation:
- Opportunity cost can be defined as sacrifice for the individual, company or government. The opportunity cost of obtaining products or services is a forgiving option. For a person who aims to maximize his benefit from his limited available resources, he must allocate these limited resources to those who are most important. Opportunity Costing helps a person make good use of their scarce resources. .
- Opportunity cost is also important for a company because the company has to allocate its limited available raw materials to produce a certain product with high demand at the expense of other products that are less demanding.
