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| Topic: |
Business
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| Number of pages / Number of words: |
8 / 2063 |
Essay's paper body
The principle assumes that a business needs to make at least normal profits in the long run to justify remaining in the market; however this is not a strict requirement in the short term. In the short run the firm should continue to produce as long as revenue costs covers total variable costs.
Within our economy owners and managers represent two different groups of decision makers...
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In the short run the firm should continue to produce as long as revenue costs covers total variable costs.
Within our economy owners and managers represent two different groups of decision makers. It is implied that shareholders possess the desire of profit maximization to be the preferable target of any business with which they hold equity, thus providing them with more wealth...
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