What is one example of how a government exhibits limited influence in a market economy?

In the context of customer satisfaction, which of the following happens when a marketer falls into the trap of underpromising?

weeeeeb [17]

If you don't set expectations high enough, too few customers will be willing to try your product. The result will be a tiny base of highly satisfied customers, which usually isn't enough to sustain a business it will happen when a marketer falls into the trap of under promising

8 0

4 years ago

If the Citrus Growers Association grows $1 million worth of oranges, sells $500,000 worth of oranges to consumers, uses the rest

WARRIOR [948]

Answer:

The answer is $3 500 000

Explanation:

The above transactions affect the Consumption component in GDP.

Citrus Grower's contribution to GDP = $3 million + $500,000= $3 500 000

$1 million worth of oranges grown was not included because the amount was the estimated value of oranges and not actual value of oranges consumed.

3 0

3 years ago

Davis Company has analyzed its overhead costs and derived a general formula for their behavior: $65,000 + $14 per direct labor h

Ratling [72]

Answer:

$15.3 per direct labor hour

Explanation:

Overhead costs are those costs which are incurred for the manufacturing of the product but not directly attributable to any product / service. It can be variable or fixed.

Formula for overhead costs = $65,000 + $14 per direct labor hour

Numbers of direct labor hours = 50,000 hours

Total Cost = $65,000 x ($14 x 50,000 ) = $765,000

Over head rate per direct labor hour = Total overhead cost / Numbers of direct labor hours = $765,000 / 50,000 = $15.3 per direct labor hour

5 0

4 years ago

The company has net nonoperating obligations (NNO) of $10,000 and 5,000 shares outstanding. Calculate the per-share stock price

Arte-miy333 [17]

The per-share stock price for 2021 using the FCFF information for Target Corp. is $2.37.

Explanation:

Net non-operating obligations (NNO) = $10,000

Outstanding shares = 5,000 shares

Discount rate = 7%

Terminal Growth rate = 2%

Expected free cash flows for Target Corp. for 2019:

Current Forecast Horizon Terminal

2019 2020 2021 2022 2023 Year

Free cash flows (FCFF) $4,650 $4,880 $5,130 $5,390 $5,650 $5,766

Discount factor at 7% 0.935 0.873 0.816 0.763 0.713

PV of FCFF $4,563 $4,478 $4,398 $4,311 $4,111

a. Sum of PV of FCFF for 2020 to 2032 = $17,750 ($4,563 + $4,478 + $4,398 + $4,311)

b. The PV Terminal Year = $4,111

c. Total Firm Value = $21,861 ($17,750 + $4,111)

d. Total Equity Value = $11,861 ($21,861 - $10,000)

e. Per Share Stock Price = $2.37 ($11,861/5,000)

Thus, the per-share stock price for 2021 using the FCFF information for Target Corp. is $2.37.

Learn more: brainly.com/question/22681779

6 0

3 years ago

Suppose that you observe a market with four firms, each with about 25% market share. What does it suggest about the following at

Nostrana [21]

Answer:

It suggests that they are not doing anything competitively different.

Explanation:

Network externalities if well harnessed should bring about an increase in end users satisfaction and value derived.

Multi housing costs, ordinarily, and when taken as a whole, should results to an overall minimization of the total costs. Economics of scales and other resources are centrally allocated here, and the effect should be a gain to the entity.

Level of differentiation across firm's offerings - products or services, signals the procedures an organization adopt to mark the uniqueness of their products or services. It shows how distant they are among the other varying sets.

Thus, from the case given, the four firms have the same share of the market - 25%. The implication is that as far as we are concerned, their level of activities and postures in the market is same and/or similar. This ultimately cuts across the network externalities, multi housing costs and the level of differentiation of firm's offerings. They are thus not competitively different.

5 0

4 years ago