Answer:
When firms are unable to differentiate their products
Explanation:
Direct competition is also known as perfect competition which occurs when two or more firms produce and sell the commodities that are not in anyway different. This makes the buyers not have preference for any of the product as the commodities are largely the same.
However, when firms can differentiate their products, they now more in perfect competition but now in indirect competition or monopolistically competitive market. Indirect competition therefore occurs when firms sell differentiated products which are not really the same because they are branded but these products can provide the same satisfaction to the need of the consumer.
Therefore, the threat of direct competition tends to be high when when firms are unable to differentiate their products.
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Answer:
Net cash Provided by Operating activities = $416000
Explanation:
Using indirect method for Cash flow from operating activities we use following steps to get value of net cash provided by operating activities.
Net income $400000
Add: Depreciation $104000
Less: Gain on Sale of Land -$148000
Less: Increase in Accounts Receivable -$80000
Less: Increase in Inventory -$60000
Add: Increase in Accounts Payable $200000
Net Cash Provided by operating activities $416000
Let
x------------------- > cost comic book sold in 1942--------------> <span>$1,920,000
</span>y------------------- > cost comic book sold in 2015--------------> $0.09
t------------------ > time---------------> (2015-1942)= 73 years
z-----------------> average increase per year
we know that
<span>z={[(x-y)/y]/t}*100
</span>then
z={[(1920000-0.09)/0.09]/73}*100=29,223,743 %
the answer is 29,223,743 %
