The Accountants Hired by the Brookside Racquet Club Have Determined

question 291

Multiple Choice

The accountants hired by the Brookside Racquet Club have determined total fixed cost to be $75,000, total variable cost to be $130,000, and total revenue to be $145,000. Because of this information, in the short run, the Brookside Racquet Club should

• A)shut down.
• B)exit the industry.
• C)stay open because shutting down would be more expensive.
• D)stay open because the firm is making an economic profit.

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Definitions:

Broca's Aphasia

A neurological condition characterized by difficulties in speech production, often due to damage in the Broca's area of the brain.

MRI Scan

A medical imaging technique used in radiology to form pictures of the anatomy and the physiological processes of the body, using strong magnetic fields and radio waves.

Neurotransmitter

Chemical messengers that transmit signals across a chemical synapse, from one neuron to another 'target' neuron.

Epinephrine

A hormone also known as adrenaline, released by the adrenal glands, increasing heart rate and blood pressure, and preparing the body for a swift response during stress or threat.