Lydic Corporation has provided the following contribution format income statement. Assume that the following information is within the relevant range. Sales (4,000 units)$160,000 Variable expenses 112,000 Contribution margin 48,000 Fixed expenses 38,400 Net operating income$9,600 The degree of operating leverage is closest to:

anjan should should report alteast 5000 on the first apyment and 10,000 each year

explanation:

reducing the scale of the market for a new product.

answer; comparing the additional benefits and costs;

answer: in the short-run firms will respond by raising the price of turkey.

explanation: initially the long-run equilibrium is at a price of $5 per pound of turkey and a quantity of 50 million pounds per year. now, when webmd claims that a protein found in turkey will increase your expected lifespan by 4 years. the consumers demand for turkey will increase at every price shifting the demand curve to the right from d1 to d2. while, there will be no change in the supply curve in the short-run as it is not possible for producers to adjust supply so quickly. as a result the new equilibrium will occur at a higher price and a higher quantity of turkey.

thus, in the short run firms will respond by increasing the price of turkey, selling more quantity at a higher price and earning economic profits.