When the price of a product changes,

The Department of Justice and the Federal Trade Commission must define the relevant market when determining whether to allow a m

emmainna [20.7K]

Answer:

The correct answer is letter "B": a price increase results in higher profits; otherwise, the market is too narrow.

Explanation:

When firms are interested in acquisitions or mergers they have to determine if the target company is part of a relevant market. The term refers to the competitive conditions that offer the economy where the target company is located. The relevant market also considers the type of product or service the target company offers.

<em>Relevant markets optimal for mergers are those where an increase in prices generates more revenue for firms. If there are too many competitors offering undifferentiated products, the market will not allow organizations to profit from price increases. Those markets, then, are too narrow.</em>

6 0

3 years ago

Perth Mining Company operates two mines for the purpose of extracting gold and silver. The Saddle Mine costs $12,000/day to oper

stepan [7]

Answer:

Operate mine 1 four 4 days and mine 2 during 6 days to obtain minimum cost for the desired output of 850 gold and 18,000 silver

Explanation:

We generate the equation system on excel:

(50g + 3000s) Q_1 --> output generated on Mine 1

(75g + 1,000s) Q_2 --> output generated on Mine 2

12,000 Q1 + 17,000 Q2 = cost of the mines

we do solver to minimize the days of each mine considering a desired output of 18,000 silver and 650 gold:

and get the following:

M1 4 days output: (50g + 3000s) 4 = 200 g 12,000s

M2 6 days output: (75g + 1,000s) 6 = 450g 6,000s

Cost: 12,000 x 4 + 17,000 x 6 = 150,000

6 0

3 years ago

KST Mart has large amounts of customer data. To understand customer purchase behavior, the company uses a process that automatic

Anton [14]

Answer:

B) data mining

Explanation:

Data Mining refers to the process of discovering patterns in large data sets using techniques like machine learning, statistics or database systems. The company uses this process to turn raw data into useful information for marketing , sales or cost management.

7 0

3 years ago

When converting net income to net cash provided (used) by operating activities under the indirect method increases in accounts r

Maurinko [17]

Answer:

Decrease in inventory and increases in accrued liabilities are added.

Explanation:

8 0

3 years ago

When quanity demanded is completely responsive to price, what is the value of price

Bogdan [553]

Answer:

The value of price will be exactly what demand is willing to pay, without possibility of change.

Explanation:

We call that a perfectly elastic demand. When we have that kind of price elasticity, any change in price upwards will affect the demand, making it fall to almost zero. On the opposite, if we have a change in price downwards, the demand will not increase. Bread, books, and pencils are good examples of that.

7 0

3 years ago

When the price of a product​ changes,

When the price of a product changes,