Question

An optimal decision: ▪ minimizes output cost. ▪ maximizes profits. ▪ produces the result most consistent...

An optimal decision:

▪ minimizes output cost.

▪ maximizes profits.

▪ produces the result most consistent with decision maker objectives.

▪ maximizes product quality.

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

When we talk about the optimal decision it means with the limited resources the selection of the best outcome

A firm main goal generally is to maximize the profit and and achieve where the marginal revenue equals to the marginal cost

Marginal revenue is the revenue that is generated by adding 1 extra additional unit

Marginal cost is the cost that is generated by adding 1 extra additional unit

Minimising the output cost comes under the economics of scale.

But it may not lead to always optimal decision

Also a firm goal is to maximize the profit not the quality

So option D is neglected

The correct answer here is option B that is maximize the profit

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Coronado Manufacturing produces two products in its Saratoga plant, balzene and galvene. Since it opened its...
Coronado Manufacturing produces two products in its Saratoga plant, balzene and galvene. Since it opened its doors in 1965, Coronado has been using a single manufacturing overhead pool to accumulate overhead costs. Overhead has been allocated to products based on direct labor hours. Until recently, Coronado was the sole producer of galvene in the country and was therefore able to dictate the selling price. However, last year Marcella Products began marketing a comparable product at $56 per unit—a price that...
Answer Questions 2 and 3 based on the following LP problem. Let     P1 = number of...
Answer Questions 2 and 3 based on the following LP problem. Let     P1 = number of Product 1 to be produced           P2 = number of Product 2 to be produced           P3 = number of Product 3 to be produced Maximize 100P1 + 120P2 + 90P3         Total profit Subject to         8P1 + 12P2 + 10P3 ≤ 7280       Production budget constraint             4P1 + 3P2 + 2P3 ≤ 1920       Labor hours constraint                                    P1 > 200         Minimum quantity needed...
1. Which is the most accurate definition of the study of economics? [1] Distributing surplus goods...
1. Which is the most accurate definition of the study of economics? [1] Distributing surplus goods to those in need. [2] Dealing with affluence in a morally bankrupt world. [3] Using scarce resources to satisfy unlimited human wants. [4] Reducing human wants to eliminate the problem of scarcity. 2. Computer software represents [1] labour. [2] land. [3] capital. [4] entrepreneurship. 3. Suppose you have graduated with a degree in accounting and are offered a job with an accounting firm. But...
Total utility can be objectively measured in numbers that indicate usefulness or benefit to the consumer....
Total utility can be objectively measured in numbers that indicate usefulness or benefit to the consumer. ____ 2. Consumers should purchase quantities of a good to the point where MU > P. ____ 3. Voluntary exchange requires that there must be mutual gain. ____ 4. Points along a budget line represent the maximum combinations of two commodities that a consumer can afford. ____ 5. The budget line represents a consumer's preferences for a commodity. ____ 6. A change in consumer...
Read the following article about waste stream conversion and explain (limit yourself to maximum 150 words)...
Read the following article about waste stream conversion and explain (limit yourself to maximum 150 words) how waste stream conversion works, what sorts of products are being or could be produced, and what you think are the economic benefits for the companies involved. (For example, how Cook Composites and Polymers Co. improves resource efficiency and process quality in its manufacturing process by developing a waste by-product into a new product.) https://livepaperhelp.com/blog/college-paper-on-cook-composites-and-polymers-co CCP is a company that produces various products like...
INTRODUCTION TO AUDITING ALCHEMY Auditing Alchemy (AA) is a privately-held manufacturing company established in 1998. AA...
INTRODUCTION TO AUDITING ALCHEMY Auditing Alchemy (AA) is a privately-held manufacturing company established in 1998. AA manufactures spheres that are used in a variety of industrial applications. AA is the top sphere producer in the industry and also sells spheres to the U.S. government and other aerospace contracts. The spheres are sold in two forms: green and gold. A third form of sphere, red, is also a by-product of the manufacturing process. Although it is not publicly traded, AA has...
      MK Restaurant: Branding of Thai-Style Hotpot The restaurant industry is one of the most...
      MK Restaurant: Branding of Thai-Style Hotpot The restaurant industry is one of the most competitive in Thailand. With a large number of players ranging from restaurants in five-star hotels, global fast-food chains to small stalls along the streets and everything in between, the Thais are spoiled for choice. In addition, as the world becomes globalized, consumers are familiar with international dishes and would not hesitate to try new offerings from the other side of the globe. As a...
Sign In INNOVATION Deep Change: How Operational Innovation Can Transform Your Company by Michael Hammer From...
Sign In INNOVATION Deep Change: How Operational Innovation Can Transform Your Company by Michael Hammer From the April 2004 Issue Save Share 8.95 In 1991, Progressive Insurance, an automobile insurer based in Mayfield Village, Ohio, had approximately $1.3 billion in sales. By 2002, that figure had grown to $9.5 billion. What fashionable strategies did Progressive employ to achieve sevenfold growth in just over a decade? Was it positioned in a high-growth industry? Hardly. Auto insurance is a mature, 100-year-old industry...
Delta airlines case study Global strategy. Describe the current global strategy and provide evidence about how...
Delta airlines case study Global strategy. Describe the current global strategy and provide evidence about how the firms resources incompetencies support the given pressures regarding costs and local responsiveness. Describe entry modes have they usually used, and whether they are appropriate for the given strategy. Any key issues in their global strategy? casestudy: Atlanta, June 17, 2014. Sea of Delta employees and their families swarmed between food trucks, amusement park booths, and entertainment venues that were scattered throughout what would...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT