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Why may a firm remain in operating even if it does not cover the total cost of the production?
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What is the formula for net national product?
NNP also equals total compensation of employees + net indirect tax paid on current production + operating surplus.
How do you calculate total product?
multiply the total production and the the price of the total production mathematically Pq=QP
Are variable costs included in operating costs?
Variable operating costs + fixed operating costs = total operating costs.
Why is GDP an imperfect measure of the total production in the economic?
because it include all production values, so it is imperfect measure of the total production in the economic.
When a firm is operating at an efficient scale?
Efficient scale is the smallest amount of production a company can achieve while still taking full advantage of economies of scale with regards to supplies and costs. In classical economics, the minimum efficient scale is defined as the lowest production point at which long-run total average costs (LRATC) are minimized.
Is the sawmill industry highly concentrated?
The largest companies operating sawmills and planning mills cut a large percentage of the total North American production.
What is the formula for net national product?
NNP also equals total compensation of employees + net indirect tax paid on current production + operating surplus.
How do you calculate net operating income?
Total operating income less total operating expense = net operating income (or loss if the expenses were higher)
Formula for Total operating income?
how to calculate total operating income in Manufacturing Sector
What was the Production Budget for Total Recall?
The Production Budget for Total Recall was $125,000,000.
How do you calculate total product?
multiply the total production and the the price of the total production mathematically Pq=QP
Are variable costs included in operating costs?
Variable operating costs + fixed operating costs = total operating costs.
Operating return on assets is affected by?
Operating Profits and total assets
How do you calculate total operating income?
Gross ProfitLess: Operating expensesOperating income
Why is GDP an imperfect measure of the total production in the economic?
because it include all production values, so it is imperfect measure of the total production in the economic.
Is sales and total operating revenue the same thing?
Sales is the amount received from selling the goods while total operating revenue is the revenue which is earn only through basic business operating activity.
Should a firm continue to operate even when total revenue is not covering total cost?
Yes, if the firm is able to cover fixed costs and a portion of variable costs it should continue to operate. If it is not operating, it will still have its fixed costs but will not be able to cover it. So even if a firm is making losses, it is making less of a loss than if it were to temporarily shut down.
