What is "economies of scale"? Compare the impact of economies of scale on both large and small businesses.
What will be an ideal response?
Economies of scale is a condition that allows the long-run average cost to continue downward as production increases. It leads (in its most extreme case) to a condition where a single firm making 100 percent of the product is the most efficient. In reality, this condition is moderated by the ability of management to control the size. Large firms can obtain economies of scale in some industries. In other words, large firms can sometimes do things more efficiently because of their ability to operate on a larger scale than can a small firm.
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The most common applications of virtual reality are found in the _____ industry.
A. hospitality B. manufacturing C. travel D. entertainment
Good packaging
A. can lower distribution costs. B. can make a product easier or safer to use. C. can make products easier to handle and display. D. can be an important promotional tool. E. All these answers are correct.
For Melinda's will to be valid, she must be mentally competent at the time of A) death
B) the acquisition of the property to be distributed under the will. C) the making of the will. D) the probate of the will.
Equipment costing $118,000 has accumulated depreciation of $94,000. The equipment is a trade-in for new equipment costing $196,000. If the trade-in value received for the old equipment is $28,000, the journal entry to record this transaction is to:
A) debit Equipment (New) for $196,000, and credit Cash for $196,000. B) debit Equipment (New) for $196,000, debit Accumulated Depreciation – Equipment for $94,000, credit Equipment (Old) for $118,000 and credit Cash for $172,000. C) debit Equipment (New) for $196,000, debit Accumulated Depreciation – Equipment for $94,000, debit Loss on Exchange of Assets for $24,000, credit Equipment (Old) for $118,000, credit Cash for $196,000. D) debit Equipment (New) for $196,000, debit Accumulated Depreciation – Equipment for $94,000, credit Gain on Exchange of Assets for $4,000, credit Equipment (Old) for $118,000 and credit Cash for $168,000.