Presented Below Are Selected Data from the Financial Statements of Harper

question 71

Essay

Presented below are selected data from the financial statements of Harper Company for 2014, 2013, and 2012.
$\begin{array}{lrrr}&2014&2013&2012\\\text { Total assets } & \$ 1,205,000 & \$ 952,000 & \$ 945,000 \\\text { Cost of goods sold } & 360,000 & 420,000 & 440,000 \\\text { Inventory } & 56,000 & 64,000 & 53,000 \\\text { Net income } & 65,000 & 25,000 & 16,000\end{array}$

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Definitions:

Average Total Cost Curve

A graphical representation showing the average cost per unit of output at different levels of production.

R&D

Short for Research and Development; activities companies undertake to innovate and introduce new products or services.

Recreation and Discovery

Activities engaged in for enjoyment, leisure, or the process of exploring and learning new information or places.

Optimal Amount

The most favorable quantity or level of a certain variable that achieves the best outcome or maximizes utility.