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4 years ago

Both firms in a Cournot duopoly would enjoy lower profits if:

Business

1 answer:

daser333 [38]4 years ago

4 0

Answer:

each firm simultaneously increased output above the Nash equilibrium level.

Explanation:

A French mathematician, Antoine Augustine Cournot developed the Cournot duopoly in his economic model “Researches into the mathematical principles of the theory of wealth”, of 1838.

Cournot duopoly also known as the Cournot competition, is an economic model where two (2) business firms having identical cost functions compete in a oligopolistic market of imperfect competition with homogeneous products.

Under the Cournot duopoly, the competing firms offer identical products and thus, choose an amount or quantity to produce independently and at the same time because they cannot collude.

Both firms in a Cournot duopoly would enjoy lower profits if each firm simultaneously increased output above the Nash equilibrium level.

Hence, the advantage of the Cournot duopoly is that, it inhibits competing firms from deviating unilaterally.

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Each of the items below must be considered in preparing a statement of cash flows for Baskerville Co. for the year ended Decembe

Vladimir79 [104]

Answer:

a. Issued bonds for $200,000 cash ⇒ Cash inflow from Financing Activities.

Financing activities refer to those that bring in capital to the company. This capital comes in the form of equity and long term liabilities like bonds. Money coming in from bonds will therefore be an inflow here.

b. Purchased equipment for $150,000 cash. ⇒ Cash Outflow from Investing Activities

Investing activities have to do with the fixed assets of the company as well as investments into the securities of other companies. Money is leaving the company to purchase the fixed asset here -equipment - so this is an outflow.

c.Sold land costing $20,000 for $20,000 cash. ⇒ Cash inflow from Investing Activities.

As already stated, Investing activities relate to fixed assets. Selling a fixed asset such as land will therefore bring in cash from investing activities.

d. Declared and paid a $50,000 cash dividend⇒ Cash Outflow from Financing activities

As financing activities relate to equity, dividends will be a cash outflow from here because it is cash that is leaving the company to go to equity holders.

6 0

3 years ago

Select the correct answer from each drop-down menu. which sector dominates developed economies such as the united states? in dev

professor190 [17]

Legal firms and hospitals are the that dominates the economy is the consumer service sector.

<h3>Which sector dominates developed economies such as the United States?</h3>

In the Unites State which is a developed country is highly dominated by the service sector, in US about 80% of the country's output. The US service sectors companies are technology, financial services, healthcare and retail, that dominated maximum economy.

Thus, Legal firms and hospitals

For more details about sector dominates developed economies, click here:

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4 0

2 years ago

How would a sale of $400 of inventory on credit affect the balance sheet if the cost of the inventory sold was $160

dimaraw [331]

Answer:

the journal entries used to record this transaction are:

Dr Accounts receivable 400

Cr Sales revenue 400

Dr Cost of goods sold 160

Cr Inventory 160

This transaction will increase net income, which increases retained earnings by $240. It will also increase assets by $240, since accounts receivable increases by $400, but inventory decreases by $160.

5 0

3 years ago

A company has $80,000 in outstanding accounts receivable and it uses the allowance method to account for uncollectible accounts.

Galina-37 [17]

Answer:

Dr Bad Debt expense 6,000
Cr Allowance for Doubtful Accounts account 6,000

Explanation:

The total estimated bad debts are $4,800 (= $80,000 x 6%). So the Allowance for Doubtful Accounts account ending balance should be $4,800. Since this account is a contra asset account, the ending balance should be $4,800 credited.

But currently the account has a $1,200 debit balance (it's like -$1,200), so the adjustment record must be = $4,800 + $1,200 = $6,000

That way the ending balance = $6,000 - $1,200 = $4,800

The journal entries should be:

Dr Bad Debt expense 6,000
Cr Allowance for Doubtful Accounts account 6,000

3 0

3 years ago

__________-has four components, including _________-, which is the ability to connect to others, build positive relationships, r

34kurt

Answer:

The correct words for the blank spaces are: Emotional Intelligence; Relationship Management.

Explanation:

Emotional Intelligence refers to the ability individuals have to control their emotions in reference to the interactions they have with others. Emotional Intelligence has four (4) factors: Self-Awareness, Self-Management, Social Awareness, and Relationship Management.

Relationship management involves getting along with others, handling conflict effectively, and using sensitivity to manage interactions successfully.

8 0

3 years ago