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2 years ago

CHAPTER 8, TEST A

Business

1 answer:

Fynjy0 [20]2 years ago

5 0

The marking of the statements 1-18 as true or false is as follows:

1. True. The main similarity among the four market structures is the existence of buyers and sellers.

<h3>What are the four market structures?</h3>

The four market structures are:

Perfect competition
Monopolistic competition
Oligopoly
Monopoly.

They all have buyers and sellers, though, the number differs from one to the other.

2. True. In a perfectly competitive market, buyers and sellers have relevant information about prices, product quality, and sources of supply.

3. True. The stock market is an example of a perfectly competitive market.

4. True. If a perfectly competitive market doesn't satisfy all four characteristics 100 percent, then it is not a perfectly competitive market.

5. True. Profit attracts new firms into the perfectly competitive market.

6. False because there is no ease of entry into a monopolistic market.

7. False. It is not important to a monopolist to search out the best price through trial and error.

8. True. In some towns, cable television providers and trash collectors are monopolists.

9. False. Copyright is not required on medicine to protect a pharmaceutical company from competitors. But a patent is required because copyrights are for intellectual property rights.

10. False. Patents are usually granted for 20 years and not five years.

11. True. Barriers to entry limit potential competition.

12. True. Owning all of a scarce resource can allow a firm to operate as a monopoly without legal protection. This is regarded as a natural monopoly.

13. True. Antitrust laws are meant to control monopoly power and promote competition.

14. True. The Sherman Act prohibits anti-trust actions, which restrain trade.

15. True. A natural monopoly exists when a firm's product is made with resources provided by nature.

16. True. The U.S. Supreme Court decides some antitrust cases.

17. True. The term colluding refers to making secret agreements that reduce competition.

18. True. Taxi and limousine service in New York City is relatively inexpensive due to the ease of entry into that market.

Thus, the marking of statements 1-18 as true or false is completed.

Learn more about monopolies and anti-trust acts at brainly.com/question/8379521

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Answer:

depreciation expense 2017 = $180,000

depreciation expense 2018 = $144,000

depreciation expense 2019 = $115,200

Explanation:

purchase cost $900,000

estimated useful life 10 years

depreciation expense using double declining method = 2 x regular straight method depreciation rate x purchase cost

depreciation expense 2017 = 2 x 1/10 x $900,000 = $180,000

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depreciation expense 2019 = 2 x 1/10 x $576,000 = $115,200

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Suppose that the demand for rental apartments in Washington, DC, is represented by the following equation, where P is the monthl

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The equilibrium rent is $1600 while the equilibrium quantity is 6800

When quantity demanded is equal to the quantity supplied, the market is said to be in equilibrium. The price at this point is equilibrium price. The quantity at at this point is equilibrium quantity.

In order to determine equilibrium price, equate the quantity demanded and quantity supplied equation

QD = QS

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Combine similar terms

10,000 - 2,000 = 3P + 2P

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P = $1600

Substitute for monthly rent in the quantity demanded equation

10,000 - 2(1600)

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2 years ago

Making sure the company has enough production capability to meet demand is an example of what?

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Answer:

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Explanation:

Capacity planning is the process that measures the capacity of the production required by an organization in order to meet the demand i.e. changes for their products

So as per the given situation the company that has sufficient capability to meet the demand represent the capacity planning

hence, the capacity planning is the answer

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Answer:

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Variable manufacturing overhead $ 6.00

Total Cost $26.00

Note

All fixed cost are irrelevant in this calculation as the cost would be incurred whether or not the special order is accepted.

Also the question specifically mentioned that "There would be no variable selling expense on this special order" We need not to include any variable selling expense

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