What is accurate about calculating accounting profit? a) Includes implicit cost. Ob) Usually less than economic profit. Oc) Does not include all opportunity costs. d) Want to set total revenues equal to total costs.
Q: Which of the ff. statements will cause the supply of rice to shift to the right? A. More farmers…
A: The supply curve shifts when the determinants of supply change except for the price of the good. The…
Q: a. The city council has approved the building of a new bridge over Running Water Creek. The bridge…
A: Given that, Initial Cost = $17000 Maintenance cost = $1000 Rate = 6% = 0.006
Q: 7. Modified by fiscal or governmental action -market failure -allocation of resources -artificial…
A: Government action or fiscal action represents the government intervention in the market to regulate…
Q: A firm produces 220 units of a good which cost an average of £8.25 each to produce and sells them at…
A: Profit means the amount excess of total revenue over the total cost.
Q: In a competitive market, the current equilibrium price is $100 per unit. A firm that produces Q…
A:
Q: A market is said to be purely competitive if there is a large number of (gap), the output of all…
A: Note: “Since you have asked multiple questions, we will solve the first question for you. If you…
Q: Where do monopsonists maximize profit Select one: None of the options are correct By hiring large…
A: When there is just one buyer and many sellers, it is called monopsony. There is only one employer…
Q: For both parties to gain from trade, the price at which they negotiate the terms of trade must…
A: Trade is an economic practice in which countries exchange goods with each other. The trading of…
Q: a. The demand for pizza is given by ?" = 85 − 0.4? where ?" is the quantity demanded in slices and P…
A: "Since you have asked multiple questions, we will solve first question for you.If you want…
Q: Mr. Jones borrowed P150,000 two years ago. The terms of the loan are 10% interest for 10 years with…
A: The interest and loans will both be repaid. Depending on the type of loan, each will have a unique…
Q: Question 2: (Product Line) Consider the Product line pricing problem discussed in class. Assume that…
A: It is given that:
Q: Refer to the information provided in Table 1 below. What is the unemployment rate?
A: What is unemployment rate?
Q: Given that If Alfonso's marginal cost is $6, their best-response function is, Pa=(Pb+30)/2 and If…
A: Given, Best Response Function for Alfonso: PA=PB2+15 Best Response Function for Bernice: PB=PA2+18…
Q: Of all the influences on production plans, which influences are constant along the aggregate supply…
A: Aggregate supply depicts the relationship among the quantity of real GDP supplied and the price…
Q: 2. Now assume that CC Inc. is hiring Marie as a consultant to computerize its office operations.…
A: Utility is a gauge of how contented a person feels after consuming certain goods. To put it another…
Q: Needing a new pair of shoes, Joe has decided to look up shoes online and liked a pair that costs…
A: The buying of any product is chosen on the basis of the product's price. And in competitive market…
Q: You are considering the purchase of a certain stock. You expect to own the stock for the next four…
A: When referring to investments with known or anticipated return rates, the term "expected return"…
Q: Distinguish between a stock and a flow of renewable resource.
A: Renewable resources are resources that can be used again and again. Even after being consumed by the…
Q: Suppose the price elasticity of demand is given by E= 90 What quantity level maximizes total…
A: The concept of elasticity is used to study the changes in quantity demanded or supplied due to…
Q: A monopoly sells its good in the U.S. and Japanese markets. The American inverse demand function is…
A: Here we have a monopolist who sells products in the US and the JAPAN market. The markets are…
Q: how can tariff be a source of government revenue?
A: All of the government's earnings from taxes and other sources are referred to as government revenue.…
Q: Explain the consequences of both too low and too high a growth rate?
A: We know that Economic growth refers to the increasing production activities in a country over a…
Q: Explain how the following situation would affect a nation's production possibilities curve. A…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: 4. A decision-maker must choose between two lotteries, L₁ and L₂. The lottery L₁ gives 0 dollars…
A: Lottery 1 gives: $0 with probability 1/4 $20 with probability 3/4 Lottery 2 gives $12 for sure
Q: 7. Which of the following production models exhibit(s) constant returns to scale? A. Y = K + L B. Y…
A: Constant returns to scale is a state of production where increase in output is proportionally equal…
Q: Why are goods and services counted in GDP at market value
A: The gross domestic product (GDP) is the sum of the market values of all finished goods and services…
Q: Suppose that the economy is characterized by the following behavioural equations: • C = 300+ 0.3 Yd…
A: IS curve shows equilibrium in the goods and services market. LM curve shows equilibrium in the money…
Q: As a manager which do you think should you consider accounting profits or economic profits? why?
A: Cost of production is the monetary value incurred in the process of production on factors used in…
Q: A restaurant hires cooks and waiters. Cooks earn $10 an hour; waiters earn $5 an hour. The manager,…
A:
Q: classify the following as macroeconomics or micro economics and provide a justification for your…
A: “Since you have posted a question with multiple subparts, we will solve the first three sub-parts…
Q: Consider the following OLS regression results, In(inc)=1.970+.083educ, R2=.186, where inc represents…
A: Given Estimated regression equation: ln(inc)=1.970+0.083 educ R2=0.186 Here inc represents the…
Q: Which among the following is not a measure of income inequality? Select one: a. All the answers are…
A: Income is explained as household disposable income in a specific year. It comprises earnings,…
Q: 8. Read the Washington Post article "Chicago poised to create one of the nation's largest guaranteed…
A: Income: It refers to the money that people earn. An increase in income makes people buy more goods…
Q: Compensation for a rise in price Charlie's utility over X and Y is given by U(X,Y)=XY, Px-Py-1 and…
A: Here we are given the well behaved utility function of the consumer and also the budget of the…
Q: Please explain why this statement is (False). The unbiased expectations hypothesis of the term…
A: The unbiased expectations hypothesis expresses that the forward loan costs are unprejudiced…
Q: A. Suppose that the economy is characterized by the following behavioral equations: • C = 160+ 0.6…
A: The marginal propensity to consume is equivalent to ΔC/ΔY, where ΔC is the adjustment of…
Q: The CPI denotes the relative cost of the bundle of goods and services Compute the Big Mac price…
A:
Q: A great deal of international trade is transshipment trade. (A: intra-industry trade; B:…
A: International trade is economic exchanges that are made between nations. Among the things normally…
Q: A stock you are evaluating is expected to experience supernormal growth in dividends of 12 percent…
A: A stock's fair value can be calculated by regressing all expected dividends to the present value at…
Q: Plz do the both questions 1. True or False. According to behavioral economists, self-control…
A: Behavioural economist are those economist who assumes that people make rational decision based on…
Q: Question!: / XP₂ ((1-x) p₁ 1-α in = h₁ (p₁u) b₂(pin) = ((1-4) p.) ² u apz V[p,w) = α²² (1-a)1-a N…
A: Here the highest equivalent lump sum tax would be such that, the utility the consumer receives with…
Q: Which of the following items would have a low price elasticity? A Yacht Gasoline Dinner at an…
A: Elasticity refers to the responsiveness of quantity demanded to changes in price level.
Q: tilists are a group of economists with views of trade that are inconsistent with the views of…
A: Mercantilist theory of international Trade is all together different from the classical theory of…
Q: a tax of $10 per ton of coal causes the price, inclusive of the tax, to increase from $60 per ton to…
A: When a tax is imposed by the government, some proportion of it is borne by the consumers while the…
Q: Assistant Professors earn more than Instructors. This statement is a: A. Positive statement B.…
A: In economics, a positive statement is the direct statement that can be proven right or wrong using…
Q: Louise's utility over baskets of pounds of Kale (K) and heads of Lettuce (L) is U(K,L) = 50K¹/2L¹2.…
A:
Q: If the number of people classified as unemployed is 5,000 and the number of people classified as…
A: When someone actively seeks employment but is unsuccessful, they are said to be unemployed. The…
Q: When each person specializes in production of the good or service for which he or she has a…
A: The gains from specialization and trade are based not on absolute advantage but on comparative…
Q: An increase in the price of an input will most likely? shift the demand to the left shift…
A: Shift in demand curve or supply curve usually happens because of other factors or say factor other…
Q: With a flat yield curve do you prefer to lend in the short term or long term A Short term since…
A: When talking about yield curve, it can be said that it represents the relationship between the…
Step by step
Solved in 3 steps
- Which of the following is considered when calculating economic profit but not accounting profit? a. implicit cost b. explicit cost c. total revenue d. marginal cost e. All of the above are considered when calculating accounting profit.Please answer all questions thank you. 1. When ONLY Total Costs (TC) are known, explain how to calculate each of the following: a. Fixed costs (FC) b. Variable costs (VC) c. Average variable costs (AVC) d. Average total costs (ATC) e. Average fixed costs (AFC) f. Marginal costs (MC)Water and electricity used in manufacturing company is an example of: A Manufacturing overhead - Variable cost B Direct labor - Variable cost Direct material - Variable cost D Manufacturing overhead - Fixed cost E Direct labor - Fixed cost F) Sales overhead - Fixed cost
- A firm's economic profit is always a) greater than its accounting profit because economic profit considers implicit costs, which accounting profit does not. Ob) less than its accounting profit because accounting profit considers explicit costs, which economic profit does not. Oc) equal to accounting profit because both subtract all costs from revenues to obtain profit. d) greater than its accounting profit because accounting profit considers implicit costs, which economic profit does not. e) less than its accounting profit because economic profit considers implicit costs, which accounting profit does not.When output increases from 20 to 30 units the total cost increases from $500 to $600. Assuming the fixed cost is $200, which of the following is true? a. Average total cost falls b. The production cost per unit is increasing c. Average fixed costs rise d. Marginal cost is equal to fixed costq4- Total cost increases from $500 to $600 when output increases from 20 to 30 units. Fixed costs are $200. Which of the following is true? Select one: a. The production cost per unit is increasing b. Average fixed costs rise c. Marginal cost is equal to fixed cost d. Average total cost falls
- The graph shows the cost curves are they profit maximizing firm in a competitive market. If the market price is $30 and the firm produces at the profit maximizing quantity, what is the total variable cost A: $5400 B: $7200 C: $3960 D:39) If the marginal cost curve is below the average variable cost curve, then A) average variable cost is increasing. C) marginal cost must be decreasing. B) average variable cost is decreasing. D) average variable cost could either be increasing or decreasing.A manufacturing firm faces the cost of production as follows : Quantity Total Fixed Costs Total Variable Costs 0 $ 100 0 1 $ 100 $ 40 2 $ 100 $ 60 3 $ 100 $ 80 4 $ 100 $ 130 5 $ 100 $ 190 6 $ 100 $ 350 (a) Calculate the company's average fixed costs, average variable costs, average total costs,, and marginal costs at each level of quantity larger than zero (b) Suppose the price of the firm's product is $ 90, what is the firm's optimal production quantity? What is the firms profit under this quantity?
- 2. Costing. Using the given information, compute the following: Item Inclusion Unit Cost (Php) Total Cost (Php) 1. Evaporated Milk 1 can 54.00/can 54.00 2. Sugar 1/2 cup 65.00/cup 32.50 86.50 3. Ingredient Cost (IC = 1+2) 4. Processing Cost 69.20 (PC = 20% of IC ) 5. Total Cost (IC+PC) 155.70 6. Breakeven Price (BP = Total Cost/Yield) Yield: 217 grams 7. Selling Price (15% mark-up) = Show your computation here:Find the value of the profit when the total revenue is $65 billion and total cost is $25 billion?In the long run, if 1,000 units are produced at a cost of $8,000 and 1,200 units at a cost of $9,200, then in this output range there are Select one: a. economies of scale b. increasing marginal returns c. diminishing marginal returns d. decreasing marginal costs e. diseconomies of scale