This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: A perfectly competitive firm produces 3,000 units of a good at a total cost of 36,000. The fixed ... (Read 79 times)

tichca

  • Hero Member
  • *****
  • Posts: 554
on: Jun 29, 2018
A perfectly competitive firm produces 3,000 units of a good at a total cost of 36,000. The fixed cost of production is 20,000. The price of each good is 10. Should the firm continue to produce in the short run?
 
  A) Yes, it should continue to produce because its price exceeds its average fixed cost.
  B) No, it should shut down because it is making a loss.
  C) Yes, it should continue to produce because it is minimizing its loss.
  D) There is insufficient information to answer the question.

Question 2

If a firm has excess capacity, it means
 
  A) that the firm's long-run average cost of producing a given quantity exceeds its short-run cost of producing that same quantity.
  B) that the firm's quantity supplied exceeds its quantity demanded.
  C) that the firm expends too much of its resources on advertising its product without seeing an appreciable increase in sales.
  D) that the firm is not producing its minimum efficient scale of output.
InMicro ¦ Hubbard, O'Brien ¦ 1st Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

katheyjon

  • Sr. Member
  • ****
  • Posts: 331
Reply #1 on: Jun 29, 2018
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 25% of students answer this correctly


tichca

  • Member
  • Posts: 554
Reply 2 on: Jun 29, 2018
Gracias!

abro1885

  • Member
  • Posts: 337
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

The most destructive flu epidemic of all times in recorded history occurred in 1918, with approximately 20 million deaths worldwide.

Did you know?

Asthma cases in Americans are about 75% higher today than they were in 1980.

Did you know?

When intravenous medications are involved in adverse drug events, their harmful effects may occur more rapidly, and be more severe than errors with oral medications. This is due to the direct administration into the bloodstream.

Did you know?

The first monoclonal antibodies were made exclusively from mouse cells. Some are now fully human, which means they are likely to be safer and may be more effective than older monoclonal antibodies.

Did you know?

Disorders that may affect pharmacodynamics include genetic mutations, malnutrition, thyrotoxicosis, myasthenia gravis, Parkinson's disease, and certain forms of insulin-resistant diabetes mellitus.

A fixed action pattern as an example of innate behaviour. A fixed action pattern as an example of innate behaviour.
Competitive enzyme immunoassay. (a) Shows the uninhibited reaction and (b) shows the inhibited ... Competitive enzyme immunoassay. (a) Shows the uninhibited reaction and (b) shows the inhibited ...
Good alignment for sitting posture. Good alignment for sitting posture.
Repeating Units of DNA and RNA Repeating Units of DNA and RNA
Politics, Power and the Common Good: An Introduction to Political Science, 5/E Politics, Power and the Common Good: An Introduction to Political Science, 5/E
Increase in total spending in presidential campaigns, 1976-2020 Increase in total spending in presidential campaigns, 1976-2020
Video: Integumentary Anatomy

For a complete list of videos, visit our video library