Question

3. A characteristic of a natural monopoly is that

Answer 1

3. The answer is B.. adding businesses in competition would increase cost to the consumer.
This make it easier for existing business to gained full control on certain market since they're the only choice held by the consumer, which make them able to regulate prices as they please.

5. The answer is D. Dividend
Dividend will be given to all shareholders at the end of the operation year after the company finish calculating their net proft. (the payment is made according to number of shares that held)

7. The answer is A, horizontal merger
The purpose of a horizontal merger is to reduce the variable cost needed by the company in making their product..
Example of this would be a burger chain that conducted a merger with the place that supply them with beef.

12. The answer is D. . More capital is available.
In partnership, the organization could obtain capital from more than one source, while in sole proprietorship, the capital only come from a single owner.

15. The answer is B. are entitled to a fixed dividend.
When a company calculate the amount of dividend each that will received by the shareholders, they will cut a certain amount that would be given to the preferred stock holder before they calculate the amount for common stock bolder

16. The answer is B. Higher prices and interest rates
Large scale of Government borrowing means that they will obtain larger risk for the debt. To make sure that they could re-paid this, they will increase thhe interest rates which leads to the higher prices of the products sold in  the country,

18. The answer is D. It's difficult to accurately predict the economic future
There are too many factors that influenced how well an economy in the coutry wil go. Because of this, it would be best to give some control over the business cycle to the hands of the private sector.

19. The answer is B.  Bad weather
External factors refer to the factors that are not controlled by Government, Producer, or Consumer. 
For example, constant heavy rain will increase the sales of umbrellas.