Ski resorts have begun to offer activities in the summer, like music festivals and mountain biking, rather than closing down the facilities for the season. This a good decision for a ski resort when

A. the extra revenue exceeds the variable costs of staying open during the summer.
B. such activities draw an upscale set of customers.
C. these activities reduce fixed costs.
D. it provides employment for local residents.


Answer: C

Economics

You might also like to view...

If the wage falls, we know for sure that the firm will produce more in the long run but we cannot be sure whether it will use more or less capital.

Answer the following statement true (T) or false (F)

Economics

The stock of labor talents and skills is known as

a. a public good. b. the functional distribution. c. human capital. d. enterprise.

Economics

An important category of bias in human decision making is:

A. temptation. B. revealed preference. C. ease of the decision-making process. D. All of these are important sources of bias in decision making.

Economics

The low-income countries in the world, many of them located in Africa and Asia, often have GDP per capita of less than __________ per year.

a. $30,000 b. $10,000 c. $5,000 d. $2,000

Economics