A firm replaces a machine by hiring 3 hourly production workers instead.
a. Both its fixed and variable costs will fall
b. Both its fixed and variable costs will rise.
c. Its fixed costs will rise and its variable costs will fall.
d. Its fixed costs will fall and its variable costs will rise.
d
Economics
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As disposable income decreases, saving decreases
a. True b. False Indicate whether the statement is true or false
Economics
Brittany provides manicures at the only salon in town. Her marginal cost is constant at $5 per client, her fixed cost is $25 per day, and she is able to do 8 manicures per day. On a given day, half of her clients are willing to pay $15 for a manicure; half are willing to pay only $10 . If she charges all of her clients $10, then her maximum daily profit equals
a. $80 b. $15 c. $40 d. $55 e. $50
Economics