If firms "satisfice" this means that a. objectives such as profit are not maximized. b. managers need to be paid enough to stop them leaving the company. c. short-run profits are maximized. d. long-run profits are maximized.

Q: What is the role of economies of scale to determine the success of a firm in managing forces of…

A: Competition: It refers to a situation that exists in a market where there is a number of firms that…

Q: Profits are maximized at the output at which marginal cost equals marginal revenue. If the market…

A: Average variable cost is minimum where MC=AVC

Q: A firm will choose to operate rather than shut down as long as  Select one: a. Price is greater…

A: In perfect competition, There exists a large number of buyers and sellers. The firm will produce…

Q: In which stage of the product life cycle would we expect the most money to be invested in…

A:

Q: In the long run, which plan has the higher payout? Plan A Payout P(Payout) −$35,000 0.57 $30,000…

A: The long run is a amount is a during which all factors of production and prices are variable. within…

Q: Which of the following is important in making managerial decisions? PLEASE EXPLAIN   A. Analyzing…

A: In economics, managerial decision refers to the decisions that are after analyzing the given…

Q: Explain in detail why economic profits are zero in the long run in the Perfect Competition (PC)…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Perfect competition implies that Select one: a. there are many firms in the industry. b. all firms…

A: In economics, market structure refers to how different industries are classed and distinguished…

Q: Cost MC Select one: ATC AVC ABC D Quantity C in the figure above represents the output level where…

A: MC, marginal cost is the additional cost incurred to produce one more unit of the good.

Q: If the marginal revenue is greater than the marginal cost at a certain level of production, then the…

A: Marginal revenue is the amount of extra revenue that might be made by selling just one more unit of…

Q: Suppose a perfectly competitive firm is breaking even (profit is equal to zero). In the short run,…

A: In perfect competition there are many firms producing identical goods.

Q: 2. Do the following 4 businesses have a positive profit? Should they shut down or not? Circle the…

A: Average cost is total cost divided by total production while marginal cost is the change in total…

Q: lease show make the work. I do not understand how the answer is C. However, someone said the answer…

A: Optimal price / quantity and profit for a firm: A firm always try to maximize its profits given the…

Q: When the marginal-cost curve lies below the marginal-revenue curve     a. the firm cannot improve…

A: Marginal cost is the price at which the production of a firm takes place for a commodity which…

Q: When are you are you expecting companies to produce in the short run? A. costs equal equal revenue…

A: A firm tends to earn positive profits when its  earned revenues can cover its total costs.

Q: products following is most likely to be true with regard to the company? It has a high level of…

A: Scarcity in economy alludes to when the demand for a resources is more noteworthy than the supply of…

Q: Explain the concepts of revene, costs, and profit

A: Production is the process of merging numerous material and immaterial inputs (plans, know-how) to…

Q: Perfect competition is characterized by all of the following EXCEPT a. well-informed buyers and…

A: Perfect competition is a type of market structure.

Q: When discussing pure competition, the term long run refers to a period of time long enough to allow:…

A: Option ‘c’ is the correct answer. Option ‘c’ - Because Option ‘a’ and ‘b’ both are correct. Hence,…

Q: Consider a firm's total profit (TP) function as follows: TP = 50Q - Q2 (Q refers to the quantity of…

A: Profit = total revenue - total cost

Q: n long run market supply it is a factor prices rise as new firms enter the market and existing firms…

A: The industry supply curve for increasing cost industry is more inelastic. In long run, firms are…

Q: a. Draw a perfectly competitive firm earning a loss but still producing. Label the price, quantity…

A: A perfectly competitive firm is a theoretical construct in microeconomics that represents a market…

Q: The long run is characterized by: Multiple Choice at least one fixed input. the relevance of the law…

A: The long run is a period of time in which all factors of production and costs are variable. In the…

Q: If profits depend on both how much is produced (output) and on the level of advertising, then a…

A: It can be defined as a concept of economic and business strategy where a company or an individual…

Q: If I am earning positive economic profit then I made the decision that is a. the best by all…

A: Economic profit = Total revenue - Economic cost.  Economic cost = Explicit cost + Implicit cost.…

Q: Alpha is a price taking firm. At Its currant output level of 100 widgets. Alpha's total revenue is…

A: A price taking firm is one that operates its business in the competitive markets, such that a…

Q: A perfectly competitive firm will operate and incur an economic loss in the short run if A. it…

A: In the short run, a perfectly competitive firm will continue producing if price per unit or average…

Q: 1. Perfect Competition: a. What are the key features of a perfectly competitive market? b. Will a…

A: "Since you have posted a question with multiple subparts, we will solve the first three subparts for…

Q: You operate a cafe which generated total revenue was $60,000. Your costs for rent and supplies were…

A: Opportunity cost refers to foregone income that could have been earned if resources were invested…

Q: If a firm's profit margin is negative,   this means that:   a. The average cost is above the price.…

A: If price exceeds average cost, then a firm generates an economic profit. However, if price falls…

Q: A. For what value of q is the total revenue growing fastest? B. Complete the following sentence:…

A: The total revenue is growing the fastest at the point where the marginal revenue is maximised. Thus,…

Q: usiness profit is generally greater than economic profit. a. True b. False

A: According to the given question Economic profits are also known as the accounting profit which…

Q: In the long​ run, firms in a competitive market A. earn positive accounting​ profit, but zero…

A: A competitive market refers to the market in which there is a large number of firms that sell…

Q: A competitive firm maximizes profit when marginal cost: a. equals the price. b. is less than the…

A: There are many firms offering the same identical products in a market system with perfect…

Q: In the short run, the firm should continue to produce if and only if a.Price exceeds average total…

A: Total fixed cost is independent of output produced whereas  variable cost varies with the level of…

Q: a. A firm operating in a perfectly competitive market is earning K20 million economic profits. What…

A: Opportunity cost: When a firm picks an option then it has to foregone other options. And the…

Q: 7. Which of the following is true? a. Productive efficiency occurs in perfect competition because…

A: 7.In perfect competition,both productive and allocative efficiency is there.That would be the case…

Q: No.4) The Profit of Firm GG is uu= -2q² + 280q .What is the profit maximizing quantity? What is the…

A: We have the profit function, π = -2q2+ 280q In order to find the profit-maximizing level quantity,…

Q: In a perfectly competitive market Select one: a. each firm takes the good's price as given to it by…

A: When talking about perfectly competitive market, it is said that it is the most common market form…

Q: Suppose a restaurant that is highly profitable during the summer months is unable to cover its total…

A: In the short run, a firm will have two types of cost: fixed cost and variable cost. Total variable…