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faltersainse [42]
3 years ago
5

AgCo sells corn in a perfectly competitive market. Say the current market price for a bushel of corn is $4.00. If AgCo prices at

$4.10 per bushel for its corn, a. AgCo will sell less corn than other producers but still earn a reasonable profit. b. AgCo will sell no bushels of corn. c. AgCo's total revenue will increase. d. AgCo will maximize profit at that price.
Business
1 answer:
nordsb [41]3 years ago
6 0

Answer:

b. AgCo will sell no bushels of corn.

Explanation:

A perfectly competitive market refers to market has many buyers and sellers will all the market selling the undifferentiated product without any difference.

Some of the others attributes of a perfectly competitive market are that buyers and sellers have perfect information about the price of a good,  no barriers to entry and exit, similar products are being sold, there are free entry and exit to the market, and all sellers are price takers.

All sellers are price takers implies that the price of good is determined or given by the market. Therefore, any attempt to increase the price beyond the price given by the market will result into a zero sale because the buyers will immediately switch to another seller selling at the market price which lower.

Based on the above explanation, AgCo will sell no bushels of corn because its prices at $4.10 per bushel for its corn is higher than the current market price for a bushel of corn of $4.00.

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Answer:

Option B                                                

Explanation:

In simple words, A stock dividend refers to the payout to owners that is rendered not in cash but in securities. Such kind of  dividend payment has the benefit of satisfying stakeholders without decreasing the cash flow for the business. Usually, these dividends are decided to make as fragments paid out per existing securities in hand.

Whenever dividend is paid in stock is paid, the overall asset interest stays the very same on both the viewpoint of the lender and the viewpoint of the business. Both dividend payments therefore include a newspaper submission for the distribution issuing firm.

3 0
3 years ago
Marketing strategy of strepsils company
QveST [7]

Answer:

InstallCourses

SWOT ANALYSIS ›FMCG ›

Strepsils SWOT Analysis, Competitors, STP & USP

Published by MBA Skool Team, Last Updated: April 20, 2020

SWOT analysis of Strepsils analyses the brand by its strengths, weaknesses, opportunities & threats. In Strepsils SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.

SWOT Analysis is a proven management framework which enables a brand like Strepsils to benchmark its business & performance as compared to the competitors. Strepsils is one of the leading brands in the FMCG sector.

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5 0
3 years ago
Eric wants to start a business. he is attracted to the idea of being his own boss, and wants to get started with a minimum of ex
Dovator [93]
The answer is true. Individuals who need to work for themselves frequently like to work their business, at any rate at first, as a sole proprietorship. Leeway of the sole proprietorship is that it is a generally simple and cheap type of business to set up. One disadvantage of a sole proprietorship is that the proprietor has boundless obligation. Notwithstanding, right now, Eric isn't stressed over hazard. The boundless risk factor does not seem, by all accounts, to be an issue for him.
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3 years ago
Because General Electric is a ____ corporation, Todd Barrow can purchase stock with the help of an account executive through the
dexar [7]
The correct answer is  : Public

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3 years ago
Molteni Motors Inc. recently reported $3.5 million of net income. Its EBIT was $5.25 million, and its tax rate was 30%. What was
Hatshy [7]

Answer:

$250,000

Explanation:

The computation of the interest expense is shown below:

Given that

Net Income = $3,500,000

Tax rate = 30%

EBIT = $5,250,000

As we know that

EBT = EBIT - Interest Expense

So,

Interest expense = EBIT - EBT

where,

EBT = Net Income ÷ (1 -Taxes)

= $3,500,000 ÷ ( 1 - 30%)

= $5,000,000

And, the EBIT is $5,250,000

So, the interest expense is

= $5,250,000 - $5,000,000

= $250,000

We simply applied the above formula

7 0
3 years ago
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