Formula<br>of<br>Monopoly market

In a two-country, two-product world, the statement "Germany enjoys a comparative advantage over France in autos relative to ship

Flauer [41]

Answer:

France having a comparative advantage over Germany in ships.

Explanation:

Comparative advantage is defined as the ability of a country to produce goods and services at a lower opportunity cost compared to other countries that produce a particular good. For example of country A produces cars at $300 cost, whole country B produces the Se car at cost of $1000 the country A has comparative advantage and should focus on producing cars.

In the scenario given Germany enjoys a comparative advantage over France in autos relative to ships.

This implies that France has a greater comparative advantage in ship production than Germany.

8 0

3 years ago

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in the long run, the representative firm in monopolistic competition tends to have multiple choice excess capacity. economic pro

Lady_Fox [76]

Due to its ease of accommodating an increase in production, the representative firm in monopolistic competition typically has excess capacity over time.

<h3>What will happen if a monopolistic, rival business raises its price?</h3>

However, customers have the option to purchase a comparable product from another company if a monopolistic rival increases its price. When a dominant rival raises prices, it will not lose as many clients as a business operating in perfect competition, but it will lose more clients than a monopoly.

<h3>Why does monopolistic competition have excess capacity?</h3>

Natural monopolies or monopolistic competition both have excess capacity as a feature. It could take place as a result of businesses having to make lumpy or indivisible investments to boost capacity as demand rises.

Learn more about monopolistic competition: brainly.com/question/28189773

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7 0

2 years ago

5. Jerry lost her credit card and instead of reporting it right away, she decides to continue looking for it for a couple of day

Marrrta [24]

You never take a day or two to wait to report your card if it's stolen you take access and report it before time so that way they don't deduct too much of the money but when they have the card in their hand so that makes the credit report not let you pay for other people's I put him through your card unless it's your own problem the overdraft the account

5 0

3 years ago

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Which one of the following statements is False? a. The depreciation tax shield is the cash tax savings the firm receives from it

sergij07 [2.7K]

Answer:

c. A capital budgeting project’s cash flows, including the total up-front cost of the project, are typically known with certainty before the project starts

Explanation:

It is false to say that a capital budgeting project’s cash flows, including the total up-front cost of the project, are typically known with certainty before the project starts.

Capital budgeting can be defined as the process of identifying, evaluating, and implementing a company's investment opportunities.

6 0

4 years ago

You are evaluating a project for your company. You estimate the sales price to be $240 per unit and sales volume to be 3,400 uni

kirill115 [55]

Answer:

D. $347,540

Explanation:

The operating cash flow is shown below:

= EBIT + Depreciation - Income tax expense

where,

EBIT = (Sales price per unit - variable cost per unit) × number of units in year 2 - fixed cost

= ($240 - $90) × 4,400 units - $170,000

= $490,000

Income tax expense = (Sales price per unit - variable cost per unit) × number of units in year 2 - fixed cost × tax rate

= ($240 - $90) × 4,400 units - $170,000 × 0.34

= $166,600

And, the depreciation expense would be

= Depreciation expense × tax rate

= $71,000 × 0.34

= $24,140

The depreciation expense would be

= (Initial investment - salvage value) ÷ (useful life)

= ($213,000 - $0) ÷ (3 years)

= ($213,000) ÷ (3 years)

= $71,000

Now apply these values to the formula above.

Thus, the value would be

= $490,000 + $24,140 - $166,600

= $347,540

4 0

4 years ago

FormulaofMonopoly market​

FormulaofMonopoly market