Use the Following to Answer Questions

question 99

Multiple Choice

Use the following to answer questions:
-(Table: Variable Costs for Lawns) Look at the table Variable Costs for Lawns. During the summer, Alex runs a lawn-mowing service, and lawn-mowing is a perfectly competitive industry. Assume that costs are constant in each interval; that is, the variable cost of mowing 1 through 10 lawns is $100. His only fixed cost is $1,000 for the mower. His variable costs include fuel, his time, and mower parts. Which of the following is a point on Alex's short-run supply curve?

• A) P = $5; Q = 10.
• B) P = $10; Q = 100.
• C) P = $60; Q = 40.
• D) P = $20; Q = 300.

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Definitions:

Being Proactive

Taking initiative by acting in advance of a future situation, rather than just reacting, to achieve positive outcomes.

Monitoring

The continuous and systematic process of tracking, analyzing, and responding to information or trends related to a specific topic, organization, or project.

Reacting

The process of responding or adjusting to stimuli, events, or actions, often implying a spontaneous or immediate response without prior planning.

Crisis Phase

A critical period during which decisive action is required to manage and resolve a threatening situation to an organization or society.