Answer:
a. Profit; $520
b. Firms will enter; Left
c. Zero profits or normal profits
Explanation:
A restaurant is operating in a monopolistic competitive market.
The restaurant is producing 260 meals per day.
This is the profit maximizing level of output where the marginal cost is equal to marginal revenue.
The average total cost at this point is $10.
The price level is $12.
The profit or loss to the restaurant will be equal to the difference between total revenue and total cost.
a. Profit
= Total Revenue - Total cost
= $12
260 - $10 260
= $3,120 - $2,600
= $520
b. This supernormal profit will attract other firms to enter the market, as a result the market share of existing firms will decline. The demand curve of the restaurant will move to the left.
c. In the long run, the firms in a perfectly competitive market earn only zero economic profits as positive profits attract new firms and negative profits cause the firms to leave.
So the restaurant will have zero or normal profits in the long run.
Answer:
A. True
Explanation:
This is true, the estimate we get of the cost of common stock from retained earnings is not fully accurate. So we often use all three methods and then average out to use a reasonable estimate.
Answer:
On-the job training.
Explanation:
This is explained to be normal emphasized training that working staffs are seen to undergo; especially newly employed staffs, which is a direct training while doing the actual job they are been hired or paid for. A a good and reasonable trainee in this aspect is seen to be appreciative when given this chance to develop knowledge and skills without ever leaving work. In this employee training format, employees are seen to receive your workplace needs, norms, and culture and familiarize with them. Internal job training and employee development bring a special plus. This is why in the scenario above, Joel's supervisor trains him off-site on the use of firearms.
Matt co. is the lessor in connection with an operating lease. matt co. would record a depreciation expense. The lessor records it as a depceciation expense becuase they are using a stright-line lease as a source of revenue. As the operation lease declines, it will keep showing as a depreciation on their balance sheets.
Answer:
o identify the reasons for switching of clients to B&S , we shall first examine our weaknesses and loopholes toward the valuable clients. It will give us some basics like pricing policies, benefits to the clients, strongest part of our immediate competitor, style of our services team and managers etc.
After knowing the possible reasons of customers switching to other business, i will start improving our offerings. I will make a team of client service officers who will carefully contact the existing as well as older clients and make them assure to reorder with our business as our offerings have more advantages to them. We shall offer them cost advantage, product's increased benefits, revival of their plans and requirements and door step delivery and 24×7 hours services. I will give competitive discounts on bulk order . Even , we shall give them better credit facilities which will attract more clients to associate with our offerings.
I think that clients will again back for our products and services . We shall welcome them again with improved products and services. I hope that the sales turnover and market share of our organization will increase day by day with respect to our immediate competitor.
