true or fals?

Question

Cost is a determinant of supply.

Answer 1

False -

Supply can be a determinant of cost.... if there is excess supply the cost of production falls and the goods become cheaper.

Answer 2

Not quite.

In simple economics, cost would be determined by supply and demand.

If supply outstrips demand, then the cost will be low. (Example : car manufacturers offload outdated models cheaply because if they were the same price as a new model, everybody would buy the newer model, all other things being equal)

If demand is higher than supply, then the cost will be high. (You only have to look at the housing market to prove this one).

Answer 3

False, Cost is determinant of supply and demands.

If the demand is not high! the supply will not determine the cost on it's own.

Answer 4

false, it is usually the other way round. When a company see they have a lot of supply and they're not selling enough of a product the cost of that product usually goes down. If a company gets loads of supply and sells loads of its products the cost will most likeley be very high

Answer 5

i don't think so.... look at water. It costs nothing to produce, is 'sold' to consumers, and still there isn't a big enough supply. Maybe i'm missing your point, but all the money in the world does not ensure there's a supply.

Answer 6

of course!!!! if you made 10 million shoes, and they cost 1 million per pair of shoes, how many do you think you would sell? however if you sold them for 100 buck....how many do you think you would sell? common sense!!

Answer 7

true n false when theres no more supply

Answer 8

Depends which particular environment you are working in.
so that'll be a yes and a no then!
God I am helpful!

Answer 9

and additional cost also

Answer 10

absolutely true!