Answer:
Monopolist can charge a higher price from women.
Explanation:
A monopolist is producing 100,000 units of a product.
The price of the product is $5 per unit.
The price elasticity of demand for men at this price is -3.5.
The price elasticity for women, on the other hand, is -0.8.
This means that the men have a relatively elastic demand for the product. While on the other hand, women have relatively inelastic demand. This implies that if the price is increased the demand from women will not change by a greater proportion.
While demand from men can change to a greater proportion because of a change in price.
In this situation, the firm can charge a higher price from women. This is an example of third-degree price discrimination.
The free-rider problem arises when an individual <u>[</u><u>C]</u><u> </u><u>does not pay for a good because nonpayment does not prevent consumption.</u>
Answer:
The correct answer is B: Planning.
Explanation:
Planning is a key fundamental management function. It is deciding beforehand how are you going to achieve the objectives previously determined. Planning is deciding what needs to be done, when, who and how.
In this case, Amanda set the targets of the salesperson in order to achieve the organizational goals. By planning the sales required, she believes it will take her a step closer to the goals of the period.
Answer:
The correct answer is b) The first tranche has the highest prepayment risk.
Explanation:
A collateralized mortgage obligation (CMO) is a type of security backed by mortgage. It is comprised of a pool of mortgages that are bundled together and sold as an investment. Prepayment risk is the risk of loss of interest income due to early repayment of the principal by the borrower.
In the given situation, there are three tranches. The first tranche has the highest prepayment risk because it is receiving principal at the earliest. Hence, there is more of a chance of this principal being returned early and the CMO holder losing out on potential interest. Therefore, the prepayment risk of the first tranche is the highest among all three tranches.
Answer:
b. Dominates a particular target market although its overall market share may be low.
Explanation:
- A niche strategy of the porter was to come with the product that fills the market segment and is characterized by the narrow specialization of the services focusing on a specific need.