Suppose a perfectly competitive firm can produce 20,000 bushels of corn a year at an output at which marginal cost equals marginal revenue. the market price of corn per bushel is 2.00. the firms total costs per year are 50,000 and fixed costs per year are 25,000. in the short-run, this firm shoulda. produce 40,000 bushels to try to increase economic profitb. produce 20,000 bushels of corn because, although they are losing money. they are losing less than if they shut downc. continue producing until the price of corn increasesd. shut down

Frost corporation incurred the following transactions during its first year of operations. (assume all transactions involve cash.) 1) acquired $1,900 of capital from the owners. 2) purchased $435 of direct raw materials. 3) used $290 of these direct raw materials in the production process. 4) paid production workers $490 cash. 5) paid $290 for manufacturing overhead (applied and actual overhead are the same). 6) started and completed 250 units of inventory. 7) sold 140 units at a price of $6 each. 8) paid $130 for selling and administrative expenses. the amount of raw material inventory on the balance sheet at the end of the accounting period would be: