Chris co. has three segments - surfing, mountain biking, and fly fishing. the surfing segment is currently producing 1000 units annually. the units sell for $500 each. the cost of each unit is $400. the surfing segment spends $110,000 on product design each year. the segment also is allocating $100,000 of annual facility-level costs. calculate the avoidable cost of chris co. were to eliminate the surfing segment.

When used-car dealers signal the quality of a used car with a warranty, a. buyers believe the signal because the cost of a false signal is high b. it is not rational to believe the signal because some used-car dealers are crooked c. the demand for lemons is eliminated d. the price of a lemon rises above the price of a good used car because warranty costs on lemons are greater than warranty costs on good used cars

All of the following led to the collapse of the soviet economy except a. a lack of worker incentives. c. inadequate supply of consumer goods. b. a reliance on production quotas. d. the introduction of a market economy.

Which of the following is an example of groupthink? select one: a. the five officers of tricom are planning a venture they know to be highly profitable. two know the plan to be illegal. nevertheless, they do not voice their concerns, but go along with the team's plan b. the five officers of tricom devise a highly profitable plan. tim, the cfo, points out to the group that the plan will likely garner the company a good deal of negative publicity. tim states that he will not endorse the team's plan c. jim, dean and dax draw up plans for a new printing company. they have all thought through their plans and no one has any criticisms or concerns d. two africans approach a motor company for a dealership. the company informs them that the vast majority of black dealers are not successful in making a profit they convince the africans against making the deal