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3 years ago

In competitive markets, a surplus or shortage will

Business

1 answer:

harina [27]3 years ago

4 0

Answer:

B. cause changes in the quantities demanded and supplied that tend to eliminate the surplus or shortage.

Explanation:

In a competitive economy, the balance between supply and goods and services occurs when demand and supply match. However, situations of oversupply or scarcity tend to alter the parameters of the demand and supply curves. If shortages occur, the price tends to rise, which generates an incentive for production. If oversupply occurs, the price tends to decrease, which is an incentive to increase demand. Thus, in the long run the economy tends to a new equilibrium, which will eliminate surplus / scarcity.

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Thomas is the owner of a landscaping company that caters to a very wealthy clientele. His company has struggled to differentiate

Evgen [1.6K]

Answer: Product differentiation strategy

Explanation: In the given case, the industry in which Thomas works depicts features of oligopoly with few firms operating at high level. Thus, increase in price by Thomas would shift the demand for consumers to other firms.

Hence Thomas should opt for product differentiation strategy and should increase those features which classify its products different from the others. In such industries, quality is the core essence and costumers are wiling to pay slight higher prices if the quality of the product offered is higher than others.

Hence Thomas should narrow the completion and should focus on inventing some unique features in his products.

4 0

3 years ago

The following transactions pertain to the activities of the Lexington Players (LP), a private not- for-profit theater. For each

maksim [4K]

Answer:

People also ask

What type of soil has equal parts of sand silt and clay?

What soil horizon contains mostly clay silt and sand?

E Horizon - This eluviation (leaching) layer is light in color; this layer is beneath the A Horizon and above the B Horizon. It is made up mostly of sand and silt, having lost most of its minerals and clay as water drips through the soil (in the process of eluviation).

3 0

3 years ago

Societies make choices about goods and services based on the availability of A. land B. workers C. resources D. new technology P

kati45 [8]

Answer:

Explanation:

Resources are means or factors used to produce goods and services that satisfy human wants.

Human wants and that of the society is unlimited but the resources available to satisfy these wants are limited. As a result, economic agents must make decisions based on the availability of resources.

Resources include :

Land are natural resources used to produce goods and services e.g. gold mine

Labor is the effort used by people in the production of goods and services.

Capital includes machinery and man made resources used in production e.g. hammer

An entrepreneur is a person who combines the other factors of production together

8 0

3 years ago

We are planning a reception for our daughter. The hall that we are renting charges a $95 cleanup fee. In addition to the cleanup

ololo11 [35]

Answer:

<em>We can invite at most 80 people without going over our budget.</em>

Explanation:

The available budget is $ 2,100.

As a fixed amount we must pay $ 95 for the cleaning service. After making this payment we would be available $ 2,100 - $ 95 = $ 2,005 to cover the food and drink expenses of the guests. Since for each guest they charge us $ 25, we can invite a maximum of 80 guests ($ 2,005 / $ 25 = 80.2). Considering that we will invite 80 people, the total cost of the event will be $ 95 + 80. $ 25 = $ 2,095, that is, we will finally have $ 5 left over.

4 0

4 years ago

A company issues $15,000,000, 7.8%, 20-year bonds to yield 8% on January 1, 2020. Interest is paid on June 30 and December 31. T

Hoochie [10]

Answer:

Using effective-interest amortization, the approximate carrying value of the bonds on Dec 31, 2020 balance sheet is:

a. $14, 709, 481.

Explanation:

a) Data and Calculations:

Face value of bonds = $15,000,000

Bonds price = 14,703,108

Bonds discount = $296,892

Coupon interest rate = 7.8%

Effective interest rate = 8%

Interest payments on June 30 and December 31

June 30, 2020:

Interest expense = $588,124 ($14,703,108 * 4%)

Cash payment = $585,000 ($15,000,000 * 3.9%)

Amortization of discount = $3,124 ($588,124 - $585,000)

Bonds payable = $14,706,232 ($14,703,108 + $3,124)

December 31, 2020:

Interest expense = $588,249 ($14,706,232 * 4%)

Cash payment = $585,000 ($15,000,000 * 3.9%)

Amortization of discount = $3,249 ($588,249 - $585,000)

Bonds payable = $14,709,481 ($14,706,232 + $3,249)

4 0

3 years ago