Answer:
The correct answer is option c.
Explanation:
An oligopoly is a market structure where there are a few sellers. These sellers may be selling homogenous or differentiated products.
There is high competition in the market. The sellers are interdependent on each other.
This interdependence happens because of a few sellers. The decisions of a seller affect its rivals. So before making a decision regarding price and output, a firm must consider the reaction of its rivals.
So all the firms are mutually interdependent.
Answer:
Dividend yield ratio.
(a) Market price per share
(e) Common dividends per share
Explanation:
The formuls it's
Cash Dividends per Share (Common)
================================= = DIVIDEND YIELD
Market Value per Share (Common)
As the outstanding shares are the same, it is only necessary to divide the value of the dividend per share by the market price of the outstanding shares.
Answer:
$6.00
Explanation:
Given data
quantity demanded ( x ) ∝ 1 / p^3 for p > 1
when p = $10/unit , x = 64
initial cost = $140, cost per unit = $4
<u>Determine the price that will yield a maximum profit </u>
x = k/p^3 ----- ( 1 ). when x = 64 , p = $10 , k = constant
64 = k/10^3
k = 64 * ( 10^3 )
= 64000
back to equation 1
x = 64000 / p^3
∴ p = 40 / ∛x
next calculate the value of revenue generated
Revenue(Rx) = P(price ) * x ( quantity )
= 40 / ∛x * x = 40 x^2/3
next calculate Total cost of product
C(x) = 140 + 4x
Maximum Profit generated = R(x) - C(x) = 0
= 40x^2/3 - 140 + 4x = 0
= 40(2/3) x^(2/3 -1) - 0 - 4 = 0
∴ ∛x = 20/3 ∴ x = (20/3 ) ^3 = 296
profit is maximum at x(quantity demanded ) = 296 units
hence the price that will yield a maximum profit
P = 40 / ∛x
= ( 40 / (20/3) ) = $6
Answer: (A)
Efficiency deals with the size of the economic pie, and equality deals with how fairly the pie is sliced.
Explanation:
According to Gregory Mankiw, resources are scarce and therefore every society must use its scarce resources to derive as much benefits as it can. It is this derived benefits he calls the "economic pie"
The more efficient a society is, the more the benefits (or the larger the economic pie) it can derive from its resources.
According to Mankiw, equality means fairness in distributing the benefits (or slicing the pie) among the people in that society.
