Suppose a profit-maximizing firm operating in a perfectly competitive market experiences a decrease in its variable costs. Everything else held constant, the firm will respond to the change in variable costs by ________ the amount it produces in the short run and the firm's total profit will _________ in the short run.
a) not changing; increase
b) increasing; increase
c) not changing; not change
d) decreasing; decrease
e) increasing; not change
Answers
When a profit-maximizing firm operating in a perfectly competitive market experiences a decrease in its variable costs, it will adjust its production level to maximize its profit. In the short run, the firm will respond to the change in variable costs by increasing the amount it produces. The correct option is B.
This is because the decrease in variable costs means that the firm can produce more units at a lower cost, resulting in higher profit margins for each unit.With an increase in production, the firm's total profit will also increase in the short run. The reason for this is that the firm can now sell more units at a lower cost per unit, while still receiving the same market price. This leads to a higher overall profit for the firm as it can generate more revenue while reducing its costs.In summary, when a profit-maximizing firm in a perfectly competitive market experiences a decrease in variable costs, it will respond by increasing its production in the short run. This will result in an increase in the firm's total profit in the short run, as it can now produce and sell more units at a lower cost.For more such question on profit-maximizing
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Related Questions
QUESTION 1/10
A loss is when:
Ce
A. Revenue is greater than expenses.
C. Revenue is equal to expenses.
B. Revenue is less than expenses.
D. None of the above.
Answers
Answer:
B. Revenue is less than expenses
Explanation:
Business loss is a condition that arises when a business fails to earn enough income to pay all of its operating expenditures. A business loss might result from routine business operations or from an unusual occurrence that disrupts business operations. A business loss is recorded in an income statement by auditors. A typical operational loss occurs when a corporation loses more money than it earns within a certain time.
Which best diagrams the correct obstacle to the example?
Economic obstacle: Cort is struggling to get a job in construction because many businesses have closed down due to no work. Time obstacle: Francis has two more months to get a job as a practicing electrician before his certification expires. Financial obstacle: Sally wants to open her own business, but was denied a loan from the bank. Motivational obstacle: Rory wants to switch from a surgeon to a pediatrician so he can be happy working with children.
Time obstacle: Cort is struggling to get a job in construction because many businesses have closed down due to no work. Economic obstacle: Francis has two more months to get a job as a practicing electrician before his certification expires. Financial obstacle: Sally wants to open her own business, but was denied a loan from the bank. Motivational obstacle: Rory wants to switch from a surgeon to a pediatrician so he can be happy working with children.
Financial obstacle: Cort is struggling to get a job in construction because many businesses have closed down due to no work. Economic obstacle: Francis has two more months to get a job as a practicing electrician before his certification expires. Motivational obstacle: Sally wants to open her own business, but was denied a loan from the bank. Time obstacle: Rory wants to switch from a surgeon to a pediatrician so he can be happy working with children.
Economic obstacle: Cort is struggling to get a job in construction because many businesses have closed down due to no work. Motivational obstacle: Francis has two more months to get a job as a practicing electrician before his certification expires. Financial obstacle: Sally wants to open her own business, but was denied a loan from the bank. Time obstacle: Rory wants to switch from a surgeon to a pediatrician so he can be happy working with children.
Answers
Answer:
a
Explanation:
i just took the unit text and got a 100%
Surfaces on the same body are assumed to experience meteorite impacts with the same frequency. If this is true, what could account for the stark contrast in impact crater density on bordering regions of Ganymede in the photo?.
Answers
Craters are known to be cause by the collision of a meteorite with the Earth. It is true because the surface with fewer impact craters is said to be a new surface.
The factor that account for the stark contrast in impact crater density on bordering regions of Ganymede in the photo is because since it has not been impacted as many times as the older surfaces.
The impact craters are therefore too hard to recognize as a result of weathering and erosion of its surface.
The Moon is known to lacks water, atmosphere, and tectonic activity of which these factors or forces often erode Earth's surface and erase some new impacts.
The impact crater is often influenced by the appearance of impact craters and ejecta are said to be the size and velocity of the impactor.
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The three elements of the marketing concept are __________.
a. Market share, customer needs, marketing mix
b. Customer needs, company goals, profits
c. Channel management, customer needs, profits
d. Planning, target market, social media marketing
Answers
Answer:
B. Customer needs, company goals, profits
Explanation:
what kind of standardized tests do new yorkers take in high school?
Answers
Answer:
regents state tests SAT ACT
A printing company manufactures notebooks of various sizes. The company manufactures 3 000 notebooks each day. Should the company use process costing or job order costing ?
Answers
Based on the information provided, the printing company manufacturing 3,000 notebooks each day would be better suited to use process costing.
Process costing is a costing system used when a company produces large quantities of identical or similar products in a continuous flow. It is particularly appropriate when the products are indistinguishable and go through a series of standardized production processes. In this case, the printing company manufactures notebooks of various sizes, which indicates that they are producing a standardized product. The production process for notebooks is likely to be a continuous flow with standardized steps such as printing, binding, and cutting. Each day, a large number of notebooks are produced, suggesting a high level of repetition and mass production. Process costing is designed to allocate costs to each unit produced in continuous production process, making it suitable for calculating the average cost per unit. The costs are spread across the entire production process, enabling the company to determine the cost per unit of the notebooks based on the total costs incurred. In contrast, job order costing is used when products are unique or customized, and costs are tracked for each specific order or job. This is not applicable in the case of the printing company manufacturing a large volume of standardized notebooks. Therefore, considering the high volume and standardized nature of the production process, the printing company should use process costing to accurately allocate costs and determine the average cost per unit of their notebooks.
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A change in the asset turnover ratio from 2.0 to 1.8 would indicate: ____________
a. a favorable trend in using assets to generate sales.
b. an increase in the effectiveness of assets in producing sales.
c. an unfavorable trend in using assets to generate sales.
d. None of these choices are correct.
Answers
The decline in the value of the asset turnover ratio indicates an unfavorable trend in using assets to generate sales.
What is the asset turnover ratio?The asset turnover ratio is a financial ratio known as the activity ratio. It measures the efficiency with which a firm carries out its operations. The higher the asset turnover ratio , the more efficient the firm is and the lower the ratio, the less efficient the firm is.
The asset turnover ratio = revenge / average total ratio
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Describes at least three resources you have used in the past to find information
Answers
Answer:
1. newspaper
2. books
3. internet
If you were to design an energy drink ad that contained a positive subliminal message, what is likely to be the outcome when it comes to viewers of the ad buying the product?
Answers
When designing an energy drink ad with a positive subliminal message, the likely outcome is an increased likelihood of viewers buying the product. Subliminal messages are designed to influence the subconscious mind without the viewer's conscious awareness.
By incorporating positive messages, such as associating the drink with energy, happiness, or success, viewers may develop positive associations with the product. This can lead to an increased desire to purchase the energy drink. However, it's important to note that the effectiveness of subliminal messaging is still debated and may vary among individuals. The success of the ad will also depend on various factors like the overall appeal of the ad, the target audience, and the quality of the product itself.
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You want to create an account for a new user, using the username thor and giving the user a uid of 2019. the command to do this is useradd _______.
Answers
You want to create an account for a new user, using the username thor and giving the user a uid of 2019. the command to do this is useradd 1926 the.
To add/create a new user, you need to specify the 'username' after the 'useradd' or 'adduser' command. "Username" is the user login name that the user uses to log into the system. You can add only one user, her, and this username must be unique (distinct from other usernames already in the system).
Type useradd -h or useradd --help at the command prompt to answer the questions. No home directory is created, regardless of system settings.
Note that useradd will not create home directories for such users, regardless of the default settings in /etc/login. defs (CREATE_HOME). The -m option must be specified when creating home directories for system accounts.
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the sales department at a local company determines that product a will moderately boost sales and have a shorter production schedule, so it is decided that this product will be manufactured and sold without considering other options. in choosing this product, the sales department is
Answers
The action that is been taking by the sales department when they are determining the kind of product that will bring about sales boost with their shorter production schedule and manufacturing of product is Satisficing.
Satisficing can be regarded as a decision-making strategy that is carried out for satisfactory or adequate result.This done as opposed to the optimal solution, satisficing involves taking pragmatic effort to face a task.Therefore, satisficing is correct answer.
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Review each of the following statements to determine which is correct regarding the importance of assessing a company's risk of paying debt.
a) A company that finances their assets by borrowing will need to make enough money to pay off the debt.
b) Assessing a company's risk of paying off debt is not required when the company is highly leveraged.
c) If a company has a lot of debt, they may not be able to afford to take on new debt.
d) A company's required debt payments may be greater than its ability to generate money to make those payments.
Answers
The correct statement regarding the importance of assessing a company's risk of paying debt is when a company finances their assets through borrowing and will need to make enough money to pay off the debt.
Financial Risk is defined as the possibility of making a loss or a gain on a particular investment.
As a result of this, it is important that a company makes a good risk assessment to find out if there is a good chance of paying off a debt.
The importance of this is to make sure that there is enough money to settle the debts through income.
Therefore, the correct answer is option A
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equity method mechanics an investor owns 25% of the outstanding common stock of an investee company, which allows the investor to exercise significant influence over the investee. the equity investment was reported at $500,000 as of the end of the previous year. during the year, the investor receives dividends of $50,000 from the investee. the investee reports the following income statement for the year: revenues $2,000,000 expenses 1,570,000 net income $430,000 required a. how much equity income should the investor report in its current year income statement? $answer b. what amount should the investor report for the equity investment in its balance sheet at the end of the year? $answer
Answers
The equity method is used to account for investments in which the investor has significant influence over the investee, typically ownership of 20-50% of the outstanding common stock. Under this method, the investor recognizes its share of the investee's net income or loss as equity income or loss in its own income statement.
a. To calculate the equity income for the current year, we need to determine the investor's share of the investee's net income. The investor owns 25% of the outstanding common stock, which means it is entitled to 25% of the net income. Therefore, the equity income for the current year is $107,500 ($430,000 x 25%).
b. The investor's equity investment is reported at cost plus or minus its share of the investee's net income or loss, minus any dividends received. At the end of the previous year, the equity investment was reported at $500,000. During the current year, the investor received dividends of $50,000 and its share of the investee's net income was $107,500. Therefore, the investor's equity investment in the investee company at the end of the year is $557,500 ($500,000 + $107,500 - $50,000).
In summary, the investor should report equity income of $107,500 in its current year income statement and its equity investment in the investee company should be reported at $557,500 in its balance sheet at the end of the year.
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Imagine your class has been asked to organize a career fair for your school. Now that you know about all the career clusters, you want to be sure to include each one in the career fair,
Working in small groups, imagine your class has been asked to organize a career fair for your school. Now that you know
Brainstorm how you would begin to organize this career fair. What would you need to do? What information would you
need to have? What permissions would you need to secure? Where will this be held?
Describe your plan below in detail.
Answers
Answer: Organizing a career fair requires knowledge of a variety of career clusters. Here are certain ideas you can use while organizing a career fair:-
After dividing the class into smaller groups assign each group a particular career path on which they can prepare a presentation.Prepare an itinerary for the presentations and assign each group a particular time slot.These itineraries can be distributed as pamphlets to the target audience.Each group can make an effort to invite certain professionals or experts from the field for the occasion.Permission from the School Council and higher authorities might be required for the use of school grounds and auditoriums.Each group must have a leader for the coordination of the activities.The leaders must work together as a team and keep each other updated about the progress of their individual groups.In 2019, Concord sold 1000 units at $500 each, and earned net income of $40000. Variable expenses were $400 per unit, and fixed expenses were $210000. The same selling price is expected for 2020. Concord’s variable cost per unit will rise by 10% in 2020 due to increasing material costs, so they are tentatively planning to cut fixed costs by $10000. How many units must Concord sell in 2020 to maintain the same income level as 2019? A. 1000 B. 4000 C. 2667 D. 2000
Answers
Concord must sell 4,000 units in 2020 to maintain the same income level as 2019.
So, the correct answer is option B.
How to maintain the same income levelTo maintain the same income level in 2020 as in 2019, Concord must determine the required number of units to sell.
We'll use the given information to calculate this:
2019 information:
- Units sold: 1,000
- Selling price: $500
- Variable expenses: $400 per unit
- Fixed expenses: $210,000
- Net income: $40,000
2020 information:
- Selling price: $500 (unchanged)
- Variable expenses: $400 × 1.10 = $440 per unit (due to a 10% increase)
- Fixed expenses: $210,000 - $10,000 = $200,000 (due to a planned $10,000 cut)
To maintain the same net income level in 2020, we can use the formula:
Net Income = (Selling Price ×Units Sold) - (Variable Expenses × Units Sold) - Fixed Expenses $40,000 = ($500 ×Units Sold) - ($440 × Units Sold) - $200,000
Now, we can solve for Units Sold:
$40,000 + $200,000 = ($500 - $440) × Units Sold $240,000 = $60 ×Units Sold Units Sold = 240,000 / 60 = 4,000
The answer is option B. 4,000
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start a conversation with me and you get points plus brainliest
Answers
Answer:ok
Explanation:
Hi
Hi! So how long have you been using brainly?
The percentage of the last dollar you earn that goes toward your taxes is your. A) tax deferral rate. B) base tax rate. C) average tax rate.
Answers
Option A is Correct. Your tax deferral rate is the portion of your final dollar of income that is allocated to paying taxes.
The amount of additional tax paid for each new dollar of income received is known as the marginal tax rate. Total taxes paid divided by total income generated is the average tax rate. At a marginal tax rate of 10%, tax would be deducted from the following dollar of income at a rate of 10%.
The percentage of income a taxpayer pays in taxes is known as their average tax rate (also known as effective tax rate). The tax rate levied on a taxpayer's final dollar of income, however, is known as their marginal tax rate. Average tax rates paid by taxpayers are often substantially lower than marginal tax rates.
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what country consumes the most chocolate per capita?
Answers
Answer:
Switzerland
Explanation:
amounting to an impressive 8.8 kilograms.
Answer:
Switzerland
Explanation:
what is the importance of information for employment ?
Answers
Answer:
Provide quality management.
Explanation:
Due to the necessity of living on a fixed income, many retirees find it difficult to _______. a. Afford to keep their large homes b. Maintain their old standard of living c. Pay for unexpected expenses d. All of the above
Answers
Answer:
D:all the above
Explanation:
i took the unit test.
Answer:
Its 100% D
Explanation:
Got a 100%
are partnerships that provide professional and noncommercial assistance or advice.
Trading partnerships
Non-trading partnerships
General partnerships
Hi Special partnerships
Answers
Answer:
Non-trading partnerships
Explanation:
The non-trading partnership is a partnership that provides the professional and uncommercial advice or suggestions in terms of legal, medical, accounting, etc. Here all the partners have an active role for managing the business also they have unlimited liability with respect to any claim that against the firm
Therefore as per the given situation, the second option is correct
Janet wants to line a block of text on the right what up come in and allow her to do this
a. indet
b. window control
c. justification
d. line and page breaks
Answers
Answer:
I believe the answer would be C. Justification
Explanation:
She would be allowed to do this.
Which is a good rule to follow when sending business emails? (1 point)
Answers
Answer:
Avoid forwarding spam and unnecessary messages such as chain letters.
Explanation: did the test
The good rule that must follow at the time of sending business emails is to avoid forwarding spam and unwanted texts like chain letters.
What is email?An email, is also called as the electronic mail. It is one of the most extensively employed features of the Internet, that is mostly used in the formal business organizations.
It allows a person to transport and acquire messages from nay person in the globe that has an email account. Within the TCP/IP suite, email uses a variety of protocols.
When sending business emails, a good tip to follow is to avoid forwarding spam and undesirable texts like chain letters.
Therefore, the use of formal languages and proper formats made the emails more accurate.
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*
Every year,
large public corporations commit fraud.
3 out of 7
5 out of 7
O
1 out of 7
4 out of 7
Answers
How do banks create money?
a) by issuing loans and opening checking accounts
b) by holding money in their vaults
c) by charging interest
d) by printing it
Answers
Banks do not really have any goods to sell, they’re in the business of holding money for others and loaning that money out to others, normally with interest. It is the interest off of loans that normally create income and allow the bank to have a positive cash flow.
The correct answer is option B) by holding money in their vaults.
How does a bank make money?
Banks make money from service charges and fees. These fees vary based on the products, ranging from account fees (monthly maintenance charges, minimum balance fees, overdraft fees, non-sufficient funds (NSF) charges), safe deposit box fees, and late fees.
Where do banks borrow money from?Banks can borrow from the Fed to meet reserve requirements. The rate charged to banks is the discount rate, which is usually higher than the rate that banks charge each other. Banks can borrow from each other to meet reserve requirements, which are charged at the federal funds rate.
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according to the video what are some quality's petroleum engineers need? check all that apply.
Answers
Hello! Your answer is shown below,
Petroleum engineers should have natural abilities to make them successful. Personal attributes include strong mathematics and analytical skills to design equipment and solve problems in drilling.
Hope this helps!
Answer:
The answer is
A) willingness to travel
E) problem-solving skills
F) patience
Explanation:
One of the major trends in the lodging sector is that organizations are becoming more international.
O False
O True
Mark this and return
Save and Exit
Nex
Subm
Answers
.Equipment is sold for $3,000 resulting in a $500 gain on sale.
Give the effect on NOPAT [nopat]
a. $-500
b. $500
c. $0
Answers
The effect on NOPAT in this scenario would be an increase of- b. $500. NOPAT, or Net Operating Profit After Tax, is calculated by subtracting operating expenses and taxes from operating revenue.
What is the reason?The sale of equipment for $3,000 resulted in a gain of $500, which would be added to operating revenue. This increase in revenue would lead to a higher NOPAT since operating expenses and taxes would remain the same.
It is important to note that while the sale of equipment resulted in a gain, this would not necessarily be reflected in net income as it is a non-operating item.
Therefore, the correct answer would be b. $500.
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Explain five steps in product design for a business
Answers
Explanation:
Five phases guide the new product development process for small businesses: idea generation, screening, concept development, product development and, finally, commercialization.
What is the first step in the federal budget process?
a. Congress debates and compromises on a budget
b. Federal agencies propose spending
c. Executive branch creates a budget
d. President signs or vetoes budget
Answers
Answer:
executive branch create a budget
Explanation:
i think in every budget process the first step is to plan or create a budget
The Executive branch creates a budget, which is the Frist step in the federal budget process. Therefore option C is correct.
What is Budget?
A spending plan based on income and costs is called a budget. In other words, it's a projection of your income and expenses for a specific time frame, like a month or a year.
You can always have enough money for the things you need and the things that are crucial to you because budgeting helps you to make a spending plan for your money. Maintaining a budget or spending plan will also assist you in remaining out of debt or, if you are already in debt, in overwhelming it.
Depending on the specific area of the business that has to be prioritized, different budgets can be prepared. Below are three examples of common budgeting plans.
Forecast Budget
Performance Budget
Cash Budget
Hence, firstly executive branch creates a budget.
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