The Figure Given Below Shows the Revenue and Cost Curves

question 56

Multiple Choice

The figure given below shows the revenue and cost curves of a perfectly competitive firm. Figure 23.2 MC: Marginal cost curve
MR: Marginal revenue curve
ATC: Average-total-cost curve
AVC: Average-variable-cost curve
Refer to Figure 23.2.What is the profit-maximizing price and output level?

• A)$35 and 10 units
• B)$50 and 15 units
• C)$50 and 20 units
• D)$20 and 20 units
• E)$35 and 20 units

Calculate and defer gross profit on inter-entity inventory sales and recognize it appropriately in subsequent periods.

Determine the fair value of investments and adjustments for excess cost over book value attributable to specific intangible assets and goodwill.

Analyze transactions to identify significant influence over an investee and the accounting implications.

Account for changes in ownership percentages in an investee and understand the impact on the investment account.