As output increases, a firm's average fixed cost will probably go down.
Answer the following statement true (T) or false (F)
True
Average fixed cost goes down steadily as the quantity increases.
You might also like to view...
In order to be successful in delivering support to customers, it is important that the service desk develops processes and techniques that are easy and convenient for the service desk to follow and cost effective, and then ensure that the customer conforms to those processes.
Answer the following statement true (T) or false (F)
Social class as a marketing tool:
a. indicates which medium to use for promotion. b. is solely a measure of income level and education. c. offers few insights concerning consumer behavior. d. has demonstrated that all classes of consumers shop in the same stores.
A company has sales of $695,000 and cost of goods sold of $278,000. Its gross profit equals:
A. $417,000. B. $(417,000). C. $278,000. D. $695,000. E. $973,000.
Prime Company acquired 100 percent of the voting common shares of Standard Video Corporation, its bitter rival, by issuing bonds with a par value and fair value of $150,000. Immediately prior to the acquisition, Prime reported total assets of $500,000, liabilities of $280,000, and stockholders' equity of $220,000. At that date, Standard Video reported total assets of $400,000, liabilities of $250,000, and stockholders' equity of $150,000. Included in Standard's liabilities was an account payable to Prime in the amount of $20,000, which Prime included in its accounts receivable.Based on the preceding information, what amount of total assets did Prime report in its separate balance sheet immediately after the acquisition before any consolidation with Standard Video?
A. $650,000 B. $500,000 C. $750,000 D. $900,000