Author Question: Assume a firm has the following cost and revenue characteristics at its current level of output: ... (Read 45 times)

Deast7027

  • Hero Member
  • *****
  • Posts: 538
Assume a firm has the following cost and revenue characteristics at its current level of output: price=8.00 . average variable cost=6.00 and average fixed cost =4.00 . In the long run, the firm
 a. Should shut-down as its making a loss of 2
  b. Should continue operating as long as it is covering the variable costs of 6
  c. Should continue operating as long as it is covering the fixed costs of 4
  d. Should not shut down

Question 2

To incentivize employees
 a. Measure performance, whether formally or informally
  b. Tie the performance metrics to compensation
 c. All of the above
 d. None of the above



jennafosdick

  • Sr. Member
  • ****
  • Posts: 345
Answer to Question 1

a

Answer to Question 2

c



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Aspirin is the most widely used drug in the world. It has even been recognized as such by the Guinness Book of World Records.

Did you know?

About 600,000 particles of skin are shed every hour by each human. If you live to age 70 years, you have shed 105 pounds of dead skin.

Did you know?

Today, nearly 8 out of 10 pregnant women living with HIV (about 1.1 million), receive antiretrovirals.

Did you know?

When Gabriel Fahrenheit invented the first mercury thermometer, he called "zero degrees" the lowest temperature he was able to attain with a mixture of ice and salt. For the upper point of his scale, he used 96°, which he measured as normal human body temperature (we know it to be 98.6° today because of more accurate thermometers).

Did you know?

The effects of organophosphate poisoning are referred to by using the abbreviations “SLUD” or “SLUDGE,” It stands for: salivation, lacrimation, urination, defecation, GI upset, and emesis.

For a complete list of videos, visit our video library