Answer:
raises;larger;decrease;always.
Explanation:
Consider the relationship between monopoly pricing and the price elasticity of demand. If demand is inelastic and a monopolist raises its price, quantity would fall by a larger percentage than the rise in price, causing profit to decrease. Therefore, a monopolist will always produce a quantity at which the demand curve is elastic because he or she will be maximizing profits.
A monopolistic market is a type of market structure that is typically characterized by a single supplier or seller of a particular product without any competition from any other in the market. The features of a monopolistic market are;
- Single seller.
- Profit maximizer.
- Price maker.
- High barriers to entry for others.
- Price discrimination.
- No close substitutes or competition.
Answer:
Generally real estate liens are prioritized following a temporal order, from first to last. This applies to all liens except taxes. Taxes are always first and they are collected before any other lien in the event of a foreclosure.
In this case, the following priority would go to the mechanic's lien from the the general contractor (as a result from court order), then the mortgage, and finally the other creditors.
Answer:
B) a monopolist's demand curve is the same as the market demand curve
Explanation:
The demand curve is downward sloping for both monopolies and competitive markets. Rational consumers will always buy larger quantities of products or services when their prices are lower, and inversely will buy less when the price if higher. This applies to all types of markets except monopsonies (a lot of suppliers and only one consumer).
Answer:
Commercial bank.
Explanation:
A commercial bank is a financial institution that provides financial services to the public such as offering loan services, accepting deposits, foreign exchange, providing bank accounts. They encourage savings and are good sources of finance to businesses and industry.
Answer:
0.1125 or 11.25% for each firm
Explanation:
Given that,
Each has $10 million in invested capital,
$1.5 million of EBIT
25% federal-plus-state tax bracket
ROIC for LL:
= [EBIT × (1 - tax rate)] ÷ invested capital
= [1.5 × (1 - 25%)] ÷ 10
= 0.1125 or 11.25%
ROIC for HL
= [EBIT × (1 - tax rate)] ÷ invested capital
= [1.5 × (1 - 25%)] ÷ 10
= 0.1125 or 11.25%
Therefore, the return on invested capital (ROIC) for each firm is 11.25%
