Bartech,Inc

question 18

Multiple Choice

Bartech,Inc.is a firm operating in a competitive market.The manager of Bartech forecasts product price to be $28 in 2015.Bartech's average variable cost function is estimated to be Bartech expects to face fixed costs of $12,000 in 2015.The profit-maximizing or loss-minimizing) output for Bartech is

• A)0 units
• B)500 units
• C)1,000 units
• D)2,000 units
• E)6,000 units

Understand the role of occupational licensing in contract enforcement.

Learn the conditions under which contracts entered by mentally incompetent persons are considered void or voidable.

Recognize the significance and limitations of disaffirmation in contract law.

Understand the legal enforceability of contractual clauses that limit liability and the concept of unconscionability.

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Definitions:

Long-run Equilibrium

A state in which supply and demand balance over the long term, and all factors of production and economic variables have fully adjusted.

Demand Curve

A chart depicting how the cost of an item correlates with the amount of that item buyers are prepared to purchase.

Barriers to Entry

Economic, procedural, regulatory, or technological factors that obstruct or restrict the ability of new competitors to enter a market.

Economic Profits

The surplus achieved when revenue generated from business activities exceeds both explicit and implicit costs.