Answer:
a. l and III
Explanation:
A full service brokers are the types of brokers that will conduct the trade of securities on the behalf of their clients.
Their services typically provided for investors who do not have enough knowledge in economics to be involved in trading. So, they prefers a hands off approach and let other people to manage their portfolio.
Because of this, the clients of do not have the ability to purchase or sell a certain stock at request. They have to rely on the brokers to handle the complex issues within investing activities and trust them completely.
Answer:
$33,500
Explanation:
Relevant data provided
Total Credit Sales = $670,000
Percentage of bad debts = 5%
The computation of Bad Debt Expense is shown below:-
Bad Debt Expense = Total Credit Sales × Percentage of bad debts
= $670,000 × 5%
= $33,500
Therefore for computing the bad debt expenses we simply multiply the total credit sales with percentage of bad debts.
Answer:
<u>Predatory</u>.
Explanation:
This predatory pricing strategy is used when a company aims to create entry barriers for new competitors, significantly lower the price to gain new customers and drive competitors away. The cons of this strategy is that in addition to being illegal, lost revenue is not always recovered, and there are other factors that drive competitors away, not just price.
Answer:
The amount of the tax on a bottle of wine is $5 per bottle. Of this amount, the burden that falls on consumers is $3 per bottle, and the burden that falls on producers is $2 per bottle. True or False: The effect of the tax on the quantity sold would have been larger if the tax had been levied on producers.
Explanation:
The amount of the tax on a bottle of wine is $5 ($3 + $2).
The burden on consumers is $3 ($9 - $6), which is the difference between the after-tax purchase price and the before-tax purchase price for consumers. This implies that the burden passed to consumers is $3 out of the total tax burden of $5.
The burden on producers is $2 ($6 - $4) which represents the difference between before-tax selling price and the after-tax selling price for the producers. This means that the burden passed to producers is $2 out of the total tax burden of $5.
If the tax burden were passed to the producers alone, the selling price would have been more than $11 ($6 + 5). This would have reduced demand for wine as consumers would have been forced to bear the total burden. This would have made the tax unequitable. This would have been the case unless demand is inelastic. That means that the total demanded is not sensitive to price increases.
