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Under perfect competition a firm may earn supernormal profit in
Assertion (A) Both Weber's Bureaucracy and Taylor's scientific management emphasise on rationality, predictability, impresonality, technical competence and authoritarianism. Reason (R) Though Weber's writings were less operational than Taylor's, yet 'ideal bureaucracy' describes many contemporary organisations.
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Sales of a firm are Rs. 40 lacs; variable costs Rs. 10 lacs; fixed costs Rs. 15 lacs; interest Rs. 5 lacs. Combined leverage of the firm will be