The given excerpt is an example of predatory pricing
.
<u>Explanation:
</u>
Predatory pricing is a pricing strategy that identifies a product or service at a very low price, aimed at new customers or at taking competitors off the market or at creating barriers for new potential competitors.
However, it is hard to prosecute the claims of this activity because defendants make an argument that low prices are part of normal trade instead of a concerted attempt to disrupt the economy. Yet predatory prices are always not efficient because of the problems of restoring lost revenue yet removing rivals effectively.
Consumers may benefit from lower prices in the shorter term, but they will suffer if the strategy succeeds in reducing competition, and prices increase and choice decreases.
Answer:
Walter company Journal $
Date
Bond investment Dr 1,000,000
Bond premium Dr 50,000
Bank Cr. 1,050,000
Narration. Bond retirement at a premium of 5% over par.
Explanation:
The bond investment account is kept fixed at the amount at which it was subscribe, the corresponding interest are debited to income statement on payment to the bond holders.
In the same vein the retirement of the bond at a premium represents an expenses to the firm which has to be debited to the income statement on payment to the bond holders.
<span>As a social media user, Monette would best be characterized as the "Critic".
There are seven types of Social media user:
the creator, the conversationalist, the critic, the collector, the joiner, the spectator and the inactive.
Each user have their own functions. Critic refers to</span><span> the person who answers and responds to content that are posted by others, they also post reviews and comments about the products and services.</span>
Answer:
a Debit
b Credit
c Debit
d Credit
e Credit
f Credit
g Debit
h Debit
i Debit
Explanation:
The rules are that increase in assets such as cash account ,delivery equipment,accounts receivable are debited while the reverse is done for reduction in assets.
The increase in liability accounts and revenue such as accounts payable and revenue account delivery fees are normally credited while the reverse applies to decrease in liabilities.
The increase in expense is normally debited while the reduction in expense is a credit.
The increase in capital account is a credit
