Answer:
A)
NuBreed's efforts are an example of the <u>threats of substitute products and services</u> in Porter's model for industry analysis.
Explanation:
Porter's five forces are:
- Threat of New Entrants
- Threat of Substitute Products or Services: a substitute product is an available product from another company that your customers might purchase since they offer similar benefits than your product.
- Bargaining Power of Buyers
- Bargaining Power of Suppliers
- Competitive Rivalry Among Existing Firms
Answer:
The total number of equivalent units for materials during the period is $55,000
Explanation:
The computation of the total number of equivalent units for materials during the period is shown below:
= Completed and transferred out units + ending work in progress units
= 50,000 units + 5,000 units
= 55,000 units
We simply added the Completed and transferred out units and the ending work in progress units to compute the equivalent units for materials
Funsters should increase the supply of its doll now before the other doll hits the market.
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Explanation:</u></h3>
The success of any organisation depends on how well the company evaluates about its competitors and their plans. It must predict what the competitors will be doing in future and take actions accordingly so that that will not get affected by the move taken by their competitors. They must plan their productions accordingly so that there will not be any loss to them.
In the example given, the company Funsters, Inc sells its toys at $15. But it knows that the leading competitor decides to sell toys at Lower rate of $5 in next six weeks. Thus Funsters.Inc should increase the supply of its doll now before the other doll hits the market.
A dynamic forecast of the incremental revenue from a tax rate increase Presumes that taxpayers modify their behavior and the tax rate and tax base are correlated.
Explanation:
The dynamic forecasting uses the magnitude of the dependent variable for the measurement of the next expected value. From the other side, for each following prediction, static forecast uses the real value.
A dynamic forecast for such an increase in tax receipts presumes that:
A) taxpayers will not change their attitudes as a result of the increase in tax rates.
B) The tax base increases by as much as the increase in rates.
C) The base tax falls to the same degree as the increase rate.
D) The tax rate is associated with the tax base.
AS natural monopoly could be like emeralds from Colombia say or softwood from British Columbia, Canada whereby there are few competitors that have the product. The government may want to regulate the price of such goods such that it can't be accused of flooding the market on the world market (ie not too low a price) and this could be regulated by trade agreements like NAFTA or may limit the upper price limit to allow more purchasers to buy the product. Personally it is felt that so-called 'free-trade' agreements interfere far too much in the economies of member countries especially junior partners as they encourage the influx of cheap goods from other countries, thus putting out of business or lowering standards for good production within the country and also violating the laws of the country by provisions which overrule the laws normally used to protect goods from the country like import duties for example.