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3 years ago

Why does an oligopoly only work if there are high barriers to entry in a market?

1 answer:

4 0

An oligopoly is the limitation of competition. If you can keep competitors out of the marketplace, you have more of a chance to make a profit. If you are in a business with a very high capital outlay or you have an extremely well trained labor force that your competitors can't match then you have effectively created or have created for you a very high barrier. Hence an oligopoly.

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During its first year of operations, Eastern Data Links Corporation entered into the following transactions relating to sharehol

gizmo_the_mogwai [7]

Answer:

Eastern Data Links Corporation

Journal entries

Step 1.

Issuance for Common stock at a premium in exchange for cash

Feb 12,

Dr. Cash account with $18,000,000

Cr. $1 Ordinary share Capital Account with $2,000,000

Cr. Ordinary share premium Account with $16,000,000

(Being $18million received for 2million shares valued at $1 and sold at a premium of $9)

Step 2.

Issuance for Common stock at a premium in settlement of a liability due

Feb 13,

Dr. Accounts Payable account with $360,000

Cr. $1 Ordinary share Capital Account with $40,000

Cr. Ordinary share premium Account with $320,000

(Being $360,000 legal expense liquidation in exchange of 40,000 shares valued at $1 and sold at a premium of $9)

5 0

3 years ago

What describes the <br> overall aims of a buiness organization?

ElenaW [278]

Answer:

The answer is Mission statement.

Explanation:

A mission statement of an organization describes the overall aims of a business organization. Every company has its two statements, one is the mission statement and other is the vision statement. Vision statement describes the vision of the company, where as mission statement describes the overall goals of the organization. It gives information about the type of product it provides, its target market, its potential customers, the region where it is operated, etc. So the mission statement is the one which describes the overall aims of a business organization.

6 0

2 years ago

Where is the smallest pizza in Los Angeles located?

STatiana [176]

Answer:

DeSano Pizza Bakery

Explanation:

3 0

3 years ago

Which is the best definition of insurance:

vitfil [10]

Answer:

I'm trying to decide between B and D, but I think it's D

Explanation:

Insurance does cost a lot, but it's so you have a bit more protection if something happens.

For example:

Let's say you get into a car accident, and you need to stay in the hospital to recover, because you broke a bone, and afterward, you need a prescription of pain medicine. Insurance would pay for your hospital stay I believe, and also pay for part of your prescription. But it costs a lot of money, and your prescription might be really expensive, and there might have been something with your hospital stay that insurance didn't pay for. So basically, Insurance costs a lot, but doesn't pay for much (answer D).

4 0

2 years ago

The language of price controls Suppose that, in a competitive market without government regulations, the equilibrium price of ha

Ludmilka [50]

Solution :

In the first statement, the government institutes a legal minimum of 8 dollar is considered a price floor because it imposes the lower limit on market price. It is binding as the market price is lower at the price of 7 dollars.

In the second statement, it is a price floor as the statement speaks about minimum wage laws that are creating the unemployment. The minimum wages also imposes lower limit at market wage.

The third statement is a price ceiling as the upper limit on price has been imposed. This is not binding since the price is below ceiling price.

7 0

2 years ago