Which of the followings regarding a firm in perfect competition is correct?
| a. |
The firm cannot exit the market in the long run if its average cost is above market price. |
|
| b. |
For all firms, average revenue equals the price of the good. |
|
| c. |
If a firm raises its price, the firm may be able to increase its total revenue. |
|
| d. |
Each firm faces a downward sloping demand. |
In: Economics
1. A high demand for labor in one industry will:
a. decrease the number of hours worked in that industry.
b. cause a shortage of workers.
c. cause a surplus of workers.
d. attract workers from another industry.
2. The increase in a firm's revenues created by hiring an
additional worker is called:
a. marginal revenue of labor.
b. marginal product.
c. marginal revenue.
d. marginal product of labor.
In: Economics
Vaughn Co. is a retail store operating in a state with a 7%
retail sales tax. The retailer may keep 2% of the sales tax
collected. Vaughn Co. records the sales tax in the Sales Revenue
account. The amount recorded in the Sales Revenue account during
May was $747930.
The amount of sales taxes payable (to the nearest dollar) to the
state for the month of May is
$37307.
$47951.
$51310.
$61874.
In: Accounting
Use the table to answer the following questions
| Output | Total Revenue | Total Cost |
| 0 | 0 | 30 |
| 1 | 40 | 55 |
| 2 | 80 | 98 |
| 3 | 120 | 125 |
| 4 | 160 | 152 |
| 5 | 200 | 180 |
a) What is the price of the product? b) What is the marginal revenue from the fourth unit output? c) What is the profit, when firm produce 5 units?
In: Economics
In: Economics
Many people are out of work as a result of COVID-19. This means that they will not be paying as much money in taxes so government revenue will decrease. At the same time, the government spending has increased as the government bails out businesses, increases spending on healthcare, and provides income assistance to a growing number of people. How does declining tax revenue and increasing government spending impact the government debt?
In: Economics
Assume that the NFL is considering expanding the league by placing a team in Las Vegas. Using a model for gate revenue (and ignoring other revenue streams), illustrate a scenario in which this franchise would not exist unless the NFL could guarantee the new owner local monopoly power. Further assume that MC=0. Be sure to interpret and label the graph where appropriate and use a few well chosen sentences.
In: Economics
The current year and prior-year balance sheet of NCA show the following account balance:
| current year | prior year | |
|---|---|---|
| Supplies | $4000 | $6500 |
| Unearned Revenue | $8400 | $8000 |
During the current year, NCA $13300 of supplies expense and received $8700 of cash for services to be performed later.
Required: Using the ledger accounts, determine NCA's supplies expense and service revenue for the current year.
In: Accounting
Determine the gross profit percentage for the year ended December 31
Selling Expenses $8,500 Interest Revenue 2,000 Net Sales Revenue 150,500 Cost of Goods Sold 80,000 Administrative Expenses 10,000
I know its gross profit / net sales rev = gross profit percent. I just need help visualizing it with the numbers. what makes the gross profit?
In: Accounting
Production is a process of combining various material inputs and immaterial inputs in order to make something for consumption. It is the act of creating an output, a good or service which has value and contributes to the utility of individuals. In the short run some of the inputs will be fixed others will be variable. Analyze the relationship between marginal revenue and total revenue in the short run and bring out the three stages of production using the diagrams.
In: Economics