Carrolton, inc., currently sells widgets for $80 per unit. the variable cost is $30 per unit, and total fixed costs equal $240,000 per year. sales are currently 20,000 units annually. the company is considering a 20% drop in selling price that it believes will raise units sold by 20%. assuming all costs stay the same, what is the impact on income if this change is made?
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Aprimary advantage of organizing economic activity within firms is thea. ability to coordinate highly complex tasks to allow for specialized division of labor. b. low administrative costs because of reduced bureaucracy. c. eradication of the principal-agent problem. d. high-powered incentive to work as salaried employees for an existing firm.
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Which of the following situations is most likely to change a buyer's market into a seller's market? a. a natural disaster that drives away a lot of the population. b. the price of building materials suddenly going up. c. the government buys up a lot of houses to build a new freeway. d. a factory laying off a lot of workers in the area.
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Carrolton, inc., currently sells widgets for $80 per unit. the variable cost is $30 per unit, and to...
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