Answer:
There are numerous factors that impact the price elasticity of supply including the number of producers, spare capacity, ease of switching, ease of storage, length of production period, time period of training, factor mobility, and how costs react.
Answer:
B. $108,000
Explanation:
The computation of the overhead applied is as follows:
= Total actual direct labors cost × overhead rate
= $180,000 × 0.60
= $108,000
Hence, the overhead was applied during August by Ranson Productions is $108,000
We simply applied the above formula
Answer:
The Final Value is $40,305.56
Explanation:
Giving the following information:
Gerry deposits $1,500 at the end of each quarter for five years.
Interest rate= 12% quarterly compounding
To calculate the final value, we need to use the following formula:
FV= {A*[(1+i)^n-1]}/i
A= quarterly deposit= 1,500
i= 0.12/4= 0.03
n= 5*4= 20
FV= {1,500*[(1.03^20)-1]} / 0.03
FV= $40,305.56
Answer:
C) the market price falls below $170 per unit.
Explanation:
If this firm is a price taker, it means that it is operating in a perfect competition market. In such markets, since the entry and exit barriers are very low or nonexistent, if the equilibrium price falls below the variable cost, the firms should halt production in the short run until the equilibrium price rises again. The firm should resume production only after the equilibrium price exceeds the variable costs.
This situation is only applicable on the short run. On the long run the firm should only produce if the equilibrium price is greater or equal to its marginal cost.
Answer:
Working capital=$59,200
Current ratio= 3
:1
Explanation:
Current ratio = current assets/ current liabilities
Current ratio = 31000+ 14600+432000 =88800
Current liabilities = 22,100+7,500 = 29600
Working capital = Current asset - current liabilities
= 88800 - 29600=59200
Working capital=$59,200
Current ratio = Current asset /current liabilities
= 88800
/29600 = 3
:1
Current ratio= 3
:1