A manager of a clothing firm is deciding whether to add another factory in addition to one already in production. The manager would compare
a. The total revenue gained from the two factories to the total costs of running the two factories
b. The marginal revenue expected from the second factory to the total costs of running the two factories.
c. The marginal revenue expected from the second factory to the marginal cost of the second factory.
d. The total revenue gained from the two factories to the marginal costs of running the two factories.
c
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In recent years, the cost of producing organic produce in the United States has decreased largely due technological advancement. At the same time, more and more Americans prefer organic produce over conventional produce
Which of the following best explains the effect of these events in the organic produce market? A) Both the supply and demand curves have shifted to the right. As a result, there has been an increase in both the equilibrium price and the equilibrium quantity. B) Both the supply and demand curves have shifted to the right. As a result, there has been an increase in the equilibrium quantity and an uncertain effect on the equilibrium price. C) The supply curve has shifted to the left and the demand curve has shifted to the right. As a result there has been an increase in the equilibrium quantity and an uncertain effect on the equilibrium price. D) The supply curve has shifted to the left and the demand curve has shifted to the right. As a result, there has been an increase in the equilibrium price and an uncertain effect on the equilibrium quantity.
As an economy grows and develops, the police powers of the government with respect to controlling, regulating and inspecting businesses and their output become increasingly more costly to uphold and protect
Indicate whether the statement is true or false
A ____ total cost function implies that marginal costs ____ as output is increased
a. linear; increase linearly b. quadratic; are constant c. cubic; increase linearly d. linear; are constant e. none of the above
Demand deposits are
a. coins and currency b. the same as time deposits c. included in M2 and M3 but not M1 d. gold bars in the Federal Reserve System e. funds in checking accounts