Question

Juliette owns a plane chartering company. Each plane has its own loan. The loan payments must be made no matter how many flights that plane makes. Juliette can get out of a loan for a particular plane by selling the plane to someone else and using the proceeds to pay off the loan. This takes many months as Juliette has to find a buyer, negotiate a price, and transfer ownership of the plane to the buyer. The above is an example of: marginal cost vs average variable cost costs vs revenues perfectly competitive markets vs monopolies the short run vs the long run

Answer 1

B) Cost Vs revenue

In this example Juliet owns a plane.juliet have to pay loan whatever the condition is and then when the plane is sold out ,then revenue is generated.hence it is Cost Vs revenue example.