Revenue expenditure
Why payment of interest is treated as revenue expenditure? Answer: Since it does not cause any decrease in the liability of government.
Why payment of interest is treated as revenue expenditure?
Answer: Since it does not cause any decrease in the liability of government.
I have a problem in economics on Scope of Economies. Please help me in the following question. Whenever the production of one good (example: milk) decreases the production costs of complementary products (that is, butter and cheese), a firm is capable
The most probable of the following to be an inferior good for most of the American families who buy some of each of such products would be: (i) Spam, that is a canned meat product. (ii) Plastic surgery. (iii) Concert tickets. (iv) Gasoline. (v) College textbooks.
Whenever decision makers select not to pursue further information as the expected reward for the searching for it does not surpass its expected cost, the outcome is: (1) Adverse choice. (2) Consumer exploitation. (3) Unintended effects. (4) Asymmetric information. (5)
Which of the given in lists of taxes or taxed goods is possibly in accurate order from most backward-shifted to most forward: (w) Tobacco, property, general sales and payroll. (x) Land, payroll, tobacco and property. (y) Tobacco, payroll, corporate in
For a gain maximizing competitive firm operating in the competitive labor market, the: (1) Marginal resource cost of the labor is similar to the wage rate. (2) Supply of the labor is perfectly inelastic. (3) Production quota is precisely proportional to the labor hire
A profit maximizing competitive firm will shut down within the short run when: (w) prices do not cover average total costs. (x) this loses money on each unit of output. (y) price falls below the minimum of its AVC curve. (z) fixed costs exceed margina
A soft drink bottler which finds it cost efficient and gainful to deliver the chips and other snack foods all along with cola would be experiencing: (i) Economies of scope. (ii) Positive psychic income. (iii) Economies of scale. (iv) Economies of structure. (v) Diseco
For LoCalLoCarbo maximum profit equals the area of the rectangle as: (1) 0P1bq2. (2) bdP4P1. (3) 0P4dq2. (4) bcP3P1. (5) 0P2fq4. Q : Increasing cost industries in long run When cranberry farming is an increasing constant cost industry and that firm is typical, in that case an increase within the market demand for cranberries will give in a long run equilibrium price as: (i) less than P1. (ii) greater than P2.
When cranberry farming is an increasing constant cost industry and that firm is typical, in that case an increase within the market demand for cranberries will give in a long run equilibrium price as: (i) less than P1. (ii) greater than P2.
When heroin were legalized in that case: (w) its price would fall and fewer addicts would connect in crime to support their habits. (x) the attractiveness of becoming a supplier would increase. (y) more people might experiment along with the drug since the price is re
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