In Long-Run Equilibrium, Output Is Expanded to the Minimum Long-Run

question 18

Multiple Choice

In long-run equilibrium, output is expanded to the minimum long-run average total cost by:

• A) perfectly competitive firms but not by monopolistically competitive firms.
• B) monopolistically competitive firms but not by perfectly competitive firms.
• C) both monopolistically competitive firms and perfectly competitive firms.
• D) neither perfectly competitive firms nor monopolistically competitive firms.

Understand the different types of power within an organizational context.

Identify the key agents and targets in the dynamics of power use.

Distinguish between ethical and unethical uses of power.

Recognize the importance of expert and referent power in influencing others.

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Definitions:

Standard Quantity

The expected amount of materials or inputs required to produce a unit of product under normal operating conditions.

Direct Materials Quantity Variance

The variance between the real amount of direct materials consumed during manufacturing and the anticipated standard amount.

Standard Materials Quantity

The expected amount of materials that should be used for the production of a certain number of units, as set by a company's standards.

Board Feet

A unit of measure for the volume of lumber, equivalent to a piece of wood one foot long, one foot wide, and one inch thick.