Bestmilk, a typical profit-maximizing dairy firm, is operating in a constant-cost, perfectly competitive industry that is in long-run equilibrium a. Draw correctly labeled side-by-side graphs for the dairy market and for Bestmilk and show each of the following.
i. Price and output for the industry
ii. Price and output for Bestmilk
b. Assume that milk is a normal good and that consumer income falls. Assume that Bestmilk continues to produce. On your graphs in part (a), show the effect of the decrease in income on each of the following in the short run.
i. Price and output for the industry
ii. Price and output for Bestmilk iii. Area of loss or profit for Bestmilk
c. Following the decrease in consumer income, what must be true for Bestmilk to coninute to produce in the short run?
d. Assume that the industry adjusts to a new long-run equilibrium. Compare the following between the initial and the new long-run equilibrium.
(i) Price in the industry
(ii) Output of a typical firm
(iii) The number of firms in the dairy industry

technology is the application of knowledge and tools to solve problems and perform tasks more efficiently. t/f

Investment x offers to pay you $5,700 per year for 9 years, whereas investment y offers to pay you $8,300 per year for 5 years. if the discount rate is 6 percent, what is the present value of these cash flows? (do not round intermediate calculations and round your answers to 2 decimal places, e. g., 32.16.) present value investment x $ investment y $ if the discount rate is 16 percent, what is the present value of these cash flows? (do not round intermediate calculations and round your answers to 2 decimal places, e. g., 32.16.) present value investment x $ investment y

Walsh company manufactures and sells one product. the following information pertains to each of the company’s first two years of operations: variable costs per unit: manufacturing: direct materials $ 25 direct labor $ 12 variable manufacturing overhead $ 5 variable selling and administrative $ 4 fixed costs per year: fixed manufacturing overhead $ 400,000 fixed selling and administrative expenses $ 60,000 during its first year of operations, walsh produced 50,000 units and sold 40,000 units. during its second year of operations, it produced 40,000 units and sold 50,000 units. the selling price of the company’s product is $83 per unit. required: 1. assume the company uses variable costing: a. compute the unit product cost for year 1 and year 2. b. prepare an income statement for year 1 and year 2. 2. assume the company uses absorption costing: a. compute the unit product cost for year 1 and year 2. b. prepare an income statement for year 1 and year 2. 3. reconcile the difference between variable costing and absorption costing net operating income in year 1.