A Firm Uses a Just-In-Time (JIT) Inventory System and Has

question 42

Multiple Choice

A firm uses a Just-in-Time (JIT) inventory system and has an unfavorable selling price variance for the period just ended. If the proportion of the total variable manufacturing costs to total sales in both the flexible budget and the actual operating results is 70%:

• A) The firm has an unfavorable total variable manufacturing cost variance.
• B) The firm has a favorable total variable manufacturing cost variance.
• C) The firm has an unfavorable total flexible-budget variance.
• D) The firm has a favorable contribution margin variance.
• E) The firm has a favorable total flexible-budget variance.

Recognize the absence of product differentiation in pure competition and its significance.

Analyze the role of marginal revenue and its relation to price in a purely competitive firm.

Distinguish between pure competition, monopoly, monopolistic competition, and oligopoly based on firm behaviors and market conditions.

Interpret the significance of entry barriers and their absence in pure competition.

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Definitions:

Attend

To be present or participate in a particular event or activity.

Organizer

A person who brings order, manages tasks, or arranges events and responsible for planning and execution.

Goal

An aim or desired outcome that a person or a system envisions, plans, and commits to achieve within a specified timeframe.

Energizer

Substances or activities that increase energy levels, focus, or alertness, often used to overcome fatigue or enhance performance.