Microflux:
NJTC Economics lecture room.
TUTOR
Prof. Mizmycoli

MizMyColi:


I have to be inexcusably absent for today.

Please bear with me.

Hardheolar:
where are d tutors.. mizmycoli, no tutor today

I would appreciate if anyone runs point for me.

I have an exam soon.

I couldn't possibly handle this too.
Thanks

elgaitan:
I could hold forte for miss mizmycoli while she's away quote me if u've gat a question

MizMyColi:


Sounds like a plan. Thanks.

Martiyu:
If you have any question bordering subject matter, please make do to quote me. At the service of rational thinkers

omoadeleye:



but try and flow with some topics, and stop waiting till someone asked a question, other threads are progressing. so get your ass down here and stop being lazy.

cee001:
clearer image......

cee001:
Thanks...
A perfectly competitive firm does not influence the demand for its commodities by lowering its price below the market price because A. It is illegal price cutting B. Other competitors will be angry C. Total revenue will decline due to its inelastic demand curve D. It is able to sell all it wants at the market price E. It does not maximize profit

Martiyu:


D

cee001:
thanks

cee001:
Thanks I really appreciate..can u imagine my 'paq' put C(If I am not mistaken)..dat was so odd 'cause perfect competitors have an infinitely elastic demand curve...Thanks again...pls another

Martiyu:


The question is a bit unclear or maybe it is the supposed answer that is not quite in order but anyways, I'll gv u d opportunity cost of each commodity for the two countries.

Opportunity cost for

Nigeria :
Cocoa= 0.5 ; Lace= 2

Austria :
Cocoa= 0.67 ; Lace= 1.5

Will take a closer look at the question again to check if m able to get a handle on it... But if m unable to, u may have to take it from here.

cee001:
Ok thanks do far... I bring again two questions as follows;
1.Which of the following is NOT a part of the fixed costs of a limited liability company? A. Interest on loans B. Rent on buildings C. Depreciation reserves D. Management expenditure E. Wages

2. By terms of trade ,we mean the A. ratio of exports to imports B. difference between exports and imports C. difference between current account and capital account D. index of export prices to import prices to import prices expressed as a percentage E. ratio of short-term capital movements to long-term capital movements

...I just want to be sure of the answers because that which I chose as answers to the both questions were wrong according to my past qst. answer...And I feel they got it wrong..

Martiyu:


For the first question, I think E.... Based on an assumption I made and the answer to the second question is most definitely D

cee001:
Thanks so much. The answer given in my past question n answer for no 1 qst. is the same as yours i.e wages...but my initial choice was Interest on loans..I'd love it if you explain more because I thought wages was a fixed cost.

Meanwhile the answer u gave 2 the 2nd question was my initial choice too. I am beyond every reasonable doubt now that the past questions answer is wrong because it put A. ratio of exports to imports...
Thanks once more.

Martiyu:


Interests attached to loans are usually given i.e fixed. For example, if you apply for a loan, the bank could say OK, on this amount, you would pay 10% of it as interest per annum... With that, u know that the interest is fixed for that year... If the loan rolls over 2,3 years or thereabouts, you would still keep paying the 10% over those years except otherwise.

I hope this answers your question.

cee001:
I get u..owkay it's constant irrespective of changes in output @interest on loans u still have to pay the interest on loans(irrespective of output change) dat makes it a fixed cost...owkay but concerning wages;output may increase or if demand comes rising d can employ more hands which means more mouths(wages) therefore wages increased with change of output making it variable not fixed...hope I'm not on the wrong lane on d explanation...dats why d answer is Wages..owkay...thanks...more questions coming hope u dnt mind

Martiyu:


Impressive, I couldn't have given a better explanation. I'm sorry I hitherto did not explain y wages was the answer. Twas an oversight. Mind? Hell not... Keep them questions coming and lets rub minds together. U r most welcomed and thanks for the questions too.