Answer:
(a) 0.667 (b) The Lerner index helps in estimating of the market power of a firm. it measures the percentage markup that a firm is able to charge.
The conditions where this market power last in the long-run are; the pricing power, Factor mobility, Barrier to entry or exist.
Explanation:
Solution
Given that:
(A) The Lerner index is computed below:
Lerner index = (P-MC)/P
Thus,
($15-$5.00)/$15
=10/15
= 0.667
(B) The Lerner index assist in measuring of the market power of a firm. it measures the percentage markup that a firm is able to charge.
Index spans from a low value (0) to a higher value of (1)
When a firm has a higher value of index, it is able to charge over it;s marginal cost and thus has a greater monopoly power
Other conditions where market power last in the long run is as follows:
- The pricing power
- Factor mobility
- Barrier to entry or exist
Answer:
Google Ads was designed to help businesses achieve online success. To accomplish this, Google Ads was built on three core principles. These are: Option C: Relevance, control, and results.
Explanation:
Google Ads are made to target a specific audience according to the product. They are different from other advertisement medium as one can alter his budget or schedule and even target his locations to see relevant ads. This gives result oriented advertising solutions.
If we want to sell products, we use 'shopping campaign'. In case a Google Ad needs to be prepared for creating awareness, then it is suggested to use 'Google Ads Display campaign'.
Thus, the principles of Google Ads is Relevance, control, and results.
Hello,
I believe your answer would be "two strengths one threat"
Thanks,
Insurance is a coverage that assesses the risk of a certain item/person. If that item/person is in good condition, your insurance will be lower because it's less likely it'll get damaged.
This is why if you have a bad driving history, your car insurance is high (as there is a high risk).
If you were to instal an alarm, live in a safe neighbourhood or choose not to install a swimming pool you would actually reduce your insurance.
If you have an alarm, you are less likely to have stuff stolen (safer = less risk).
Living in a safe neighbourhood is safer = less risk.
Not installing a pool means your property remains the same value (putting a pool could increase it), higher risk of someone drowning in the pool, or hurting themselves. So by not building the pool, you'll have a safer environment = less risk.
If you build your house in a floodplain, the chance of your house getting damages by a flood is very very high, so you will have to pay more as there is an increased risk.
Answer and Explanation:
The preparation of the First stage allocation of overhead costs to the activity cost pools is presented below
Particulars Making awnings Job Support Other Total
Production Overhead $67,500 $60,000 $22,500 $150,000
Office Expenses $8,000 $65,000 $27,000 $100,000
The production overhead is allocated in 45% 40%, 15% and 100%
And,
The office expenses is allocated in 8%, 65%, 27% and 100%
The same is shown above
