thebehavioral patterns during a recession and its effect on the economy. Concept Introduction: Economic Recession: This period is the early stage of depression, economy is in the declining stage in this period anda slowdown is seen in the stock market, house good market as well as there is increase in unemployment .

Question

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Answer 1

Question

Chapter 6, Problem 1QFT

To determine

To determinethebehavioral patterns during a recession and its effect on the economy.

Concept Introduction:

Economic Recession: This period is the early stage of depression, economy is in the declining stage in this period anda slowdown is seen in the stock market, house good market as well as there is increase in unemployment.

Expert Solution & Answer

Answer to Problem 1QFT

At the time of great depression, the spending of people had reduced. Because of recessionary pressure, people started to hold the cash instead of investing or spending.This led to reduced demand in the economy.

Explanation of Solution

In the given case, it is profitable for company M to close some of its stores at the time of great depression because there was a large fall in consumption of people.Lower demand led to lower volume of output being produced.

Thus, it was more profitable to shut down few of the stores to save the fixed cost of production such as rent payable on capital.

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What are the answers for a,b,c,d? Are they supposed to be numerical answers or in terms of a variable?

Sue is a sole proprietor of her own sewing business. Revenues are $150,000 per year and raw material (cloth, thread) costs are $130,000 per year. Sue pays herself a salary of $60,000 per year but gave up a job with a salary of $80,000 to run the business. ○ A. Her accounting profits are $0. Her economic profits are - $60,000. ○ B. Her accounting profits are $0. Her economic profits are - $40,000. ○ C. Her accounting profits are - $40,000. Her economic profits are - $60,000. ○ D. Her accounting profits are - $60,000. Her economic profits are -$40,000.

Select a number that describes the type of firm organization indicated. Descriptions of Firm Organizations: 1. has one owner-manager who is personally responsible for all aspects of the business, including its debts 2. one type of partner takes part in managing the firm and is personally liable for the firm's actions and debts, and the other type of partner takes no part in the management of the firm and risks only the money that they have invested 3. owners are not personally responsible for anything that is done in the name of the firm 4. owned by the government but is usually under the direction of a more or less independent, state-appointed board 5. established with the explicit objective of providing goods or services but only in a manner that just covers its costs 6. has two or more joint owners, each of whom is personally responsible for all of the partnership's debts Type of Firm Organization a. limited partnership b. single proprietorship c. corporation Correct Number

Answer 2

Question

Chapter 6, Problem 1QFT

To determine

To determinethebehavioral patterns during a recession and its effect on the economy.

Concept Introduction:

Economic Recession: This period is the early stage of depression, economy is in the declining stage in this period anda slowdown is seen in the stock market, house good market as well as there is increase in unemployment.

Expert Solution & Answer

Answer to Problem 1QFT

At the time of great depression, the spending of people had reduced. Because of recessionary pressure, people started to hold the cash instead of investing or spending.This led to reduced demand in the economy.

Explanation of Solution

In the given case, it is profitable for company M to close some of its stores at the time of great depression because there was a large fall in consumption of people.Lower demand led to lower volume of output being produced.

Thus, it was more profitable to shut down few of the stores to save the fixed cost of production such as rent payable on capital.

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Answer 3

Question

Chapter 6, Problem 1QFT

To determine

To determinethebehavioral patterns during a recession and its effect on the economy.

Concept Introduction:

Economic Recession: This period is the early stage of depression, economy is in the declining stage in this period anda slowdown is seen in the stock market, house good market as well as there is increase in unemployment.

Expert Solution & Answer

Answer to Problem 1QFT

At the time of great depression, the spending of people had reduced. Because of recessionary pressure, people started to hold the cash instead of investing or spending.This led to reduced demand in the economy.

Explanation of Solution

In the given case, it is profitable for company M to close some of its stores at the time of great depression because there was a large fall in consumption of people.Lower demand led to lower volume of output being produced.

Thus, it was more profitable to shut down few of the stores to save the fixed cost of production such as rent payable on capital.

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Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 6, Problem 1QFT

To determine

To determinethebehavioral patterns during a recession and its effect on the economy.

Concept Introduction:

Economic Recession: This period is the early stage of depression, economy is in the declining stage in this period anda slowdown is seen in the stock market, house good market as well as there is increase in unemployment.

Expert Solution & Answer

Answer to Problem 1QFT

At the time of great depression, the spending of people had reduced. Because of recessionary pressure, people started to hold the cash instead of investing or spending.This led to reduced demand in the economy.

Explanation of Solution

In the given case, it is profitable for company M to close some of its stores at the time of great depression because there was a large fall in consumption of people.Lower demand led to lower volume of output being produced.

Thus, it was more profitable to shut down few of the stores to save the fixed cost of production such as rent payable on capital.

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Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 6, Problem 1QFT

To determine

To determinethebehavioral patterns during a recession and its effect on the economy.

Concept Introduction:

Economic Recession: This period is the early stage of depression, economy is in the declining stage in this period anda slowdown is seen in the stock market, house good market as well as there is increase in unemployment.

Expert Solution & Answer

Answer to Problem 1QFT

At the time of great depression, the spending of people had reduced. Because of recessionary pressure, people started to hold the cash instead of investing or spending.This led to reduced demand in the economy.

Explanation of Solution

In the given case, it is profitable for company M to close some of its stores at the time of great depression because there was a large fall in consumption of people.Lower demand led to lower volume of output being produced.

Thus, it was more profitable to shut down few of the stores to save the fixed cost of production such as rent payable on capital.

Answer 6

Chapter 6, Problem 1QFT

To determine

To determinethebehavioral patterns during a recession and its effect on the economy.

Concept Introduction:

Economic Recession: This period is the early stage of depression, economy is in the declining stage in this period anda slowdown is seen in the stock market, house good market as well as there is increase in unemployment.

Expert Solution & Answer

Answer to Problem 1QFT

At the time of great depression, the spending of people had reduced. Because of recessionary pressure, people started to hold the cash instead of investing or spending.This led to reduced demand in the economy.

Explanation of Solution

In the given case, it is profitable for company M to close some of its stores at the time of great depression because there was a large fall in consumption of people.Lower demand led to lower volume of output being produced.

Thus, it was more profitable to shut down few of the stores to save the fixed cost of production such as rent payable on capital.

Answer 7

Chapter 6, Problem 1QFT

To determine

To determinethebehavioral patterns during a recession and its effect on the economy.

Concept Introduction:

Economic Recession: This period is the early stage of depression, economy is in the declining stage in this period anda slowdown is seen in the stock market, house good market as well as there is increase in unemployment.

Answer 8

Expert Solution & Answer

Answer to Problem 1QFT

At the time of great depression, the spending of people had reduced. Because of recessionary pressure, people started to hold the cash instead of investing or spending.This led to reduced demand in the economy.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Explanation of Solution

In the given case, it is profitable for company M to close some of its stores at the time of great depression because there was a large fall in consumption of people.Lower demand led to lower volume of output being produced.

Thus, it was more profitable to shut down few of the stores to save the fixed cost of production such as rent payable on capital.

Answer 12

Ch. 6 - Prob. 1QFT Ch. 6 - Prob. 2QFT Ch. 6 - Prob. 3QFT Ch. 6 - Prob. 1P Ch. 6 - Prob. 2P Ch. 6 - Prob. 3P Ch. 6 - Prob. 4P Ch. 6 - Prob. 5P Ch. 6 - Prob. 6P Ch. 6 - Prob. 7P

Answer to Problem 1QFT

Explanation of Solution

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Chapter 6 Solutions