FIGURE 12- 1 Consider Three Firms,A,B and C,all Producing Kilos

question 40

Multiple Choice

FIGURE 12- 1 Consider three firms,A,B and C,all producing kilos of potatoes (per year) in a perfectly competitive market.The diagrams below show marginal cost curves for each of the three firms.

-Refer to Figure 12- 1.Suppose each of Firms A,B,and C are producing 500 kilos of potatoes.Is this industry productively efficient?

• A)It is not possible to say whether this industry is productively efficient because we do not know the market price of the product.
• B)No,because marginal costs are not equated for all firms.
• C)No,because each firm could easily produce more than 500 kilos.
• D)Yes,because output is equated for all firms.
• E)No,because the marginal cost curve for each firm has a different slope.

Understand the guidelines for effective diversity management in the workplace.

Describe the relationship between organizational culture and ethical behavior.

Identify and explain the four general types of organizational culture.

Discuss the importance of maintaining organizational culture and its impact on hiring and firing practices.

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Definitions:

Original Amount

The initial sum of money involved in a financial transaction, before any deductions, depreciation, or appreciation.

Guaranteed Residual Value

An assurance that an asset will have a specified value at the end of its lease term.

Capital Lease

A lease agreement that is classified as a purchase of assets for accounting purposes, where the lessee assumes some of the risks and benefits of ownership.

Leased Equipment

Assets obtained for use by leasing rather than purchasing, allowing companies to use equipment without owning it.