Tom Smith Is Hired as an Agent of Lakes Computer

question 46

Multiple Choice

Tom Smith is hired as an agent of Lakes Computer System.As part of the agency responsibilities Tom is to wire offices for clients in the country of Israel.Prior to his leaving war breaks out and the U.S.government posts a ban on travel to Israel.What is the status of the agency of Tom Smith?

• A)It is probably terminated by operation of law.
• B)It is terminated by the act of the parties.
• C)It is terminated under international law.
• D)It is terminated under religious law.

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Definitions:

Marginal Revenue

The additional income received from selling one more unit of a good or service.

Total Cost

The sum of fixed and variable costs.

ATC

Stands for Average Total Cost, which is the sum of all production costs divided by the quantity of output produced, encompassing both variable and fixed costs.

MC

Marginal Cost represents the change in total cost that arises when the produced quantity of a good is incremented by one unit.