Answer:
B
Explanation:
First, a monopoly produce less than the socially efficient quantity because as the figure shows, the quantity produced is determined by the intersection between the marginal cost curve (MC) and the marginal revenue curve (MR) and not by the intersection between the MC and the demand. For instance, there is a deadweight loss (shown by the figure).
Second, equilibrium price is always higher than in a competitive market because is always higher than the MC. The price is determined by the equilibrium quantity (found before) and the demand. Also, there are barries to entry and so monopolist have always price control.
Answer:
Lack of communication can cause minunderstanding and confusion with both parties
Explanation:
Answer:
Yes
Explanation:
In this specific scenario, it can be said that Yes the seller can refuse to pay the broker a commission. This is because the broker's license ceases to be in force when the broker changes his address without notifying the FREC within 10 days. Therefore, since the broker moved and did not notify the FREC where he moved to, and did not register his new address then the seller is within his rights to refuse payment to the broker.
Answer:
2.21%
Explanation:
The internal rate of return is the rate of return on the project where the present value of future cash flows equals the initial investment outlay. It is known as the break-even discount rate since, at IRR, the net present value is zero.
The IRR can be determined using the excel IRR function as shown thus:
=IRR(values)
values are the cash flows from years 0-4
Find attached excel file for IRR computation
