1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
kvasek [131]
3 years ago
7

Suppose that a small town has seven burger shops whose respective shares of the local hamburger market are (as percentages of al

l hamburgers sold): 23%, 22%, 18%, 12%, 11%, 8%, and 6%. instructions: enter your answers as whole numbers.
a. what is the four-firm concentration ratio of the hamburger industry in this town?
b. what is the herfindahl index for the hamburger industry in this town?
c. if the top three sellers combined to form a single firm, what would happen to the four-firm concentration ratio and to the herfindahl index?
Business
1 answer:
Alexxandr [17]3 years ago
8 0

Answer:

a. 75%

b. 1,702

c. 94%; 4,334

Explanation:

a. A town has seven burger shops. The market share of these burger shops are 23%, 22%, 18%, 12%, 11%, 8%, and 6%.  

The four-firm concentration of the hamburger industry can be found by calculating the market share of the top four firms.  

Four firm concentration ratio

= 23% + 22% + 18% + 12%

= 75%  

b. The Herfindahl index can be found by squaring the market share of each firm and then summing them up.  

Herfindahl index

= 529 + 484 + 324 + 144 + 121 + 64 + 36  

= 1,702

c. If the top three sellers are combined to form a single firm, there market share will be

= 23% + 22% + 18%

= 63%

The new four firm concentration will be

= 63% + 12% + 11% + 8%

= 94%

The herfindahl index will be

= 3,969 + 144 + 121 + 64 + 36  

= 4,334

You might be interested in
SCENARIO:
nydimaria [60]

Answer: b. Yes, he can subpoena records during the discovery process from both, but the bank and the app store may ask the judge to deny the request or limit the request due to privacy concerns.

Explanation:

Marcus can indeed compel the bank or the app store to provide additional information about the creator of the app should he wish to find out the creator's location and its potential assets so he can purse the case appropriately legal wise.

He can do this by subpoenaing the required information when laying the background for the suit. As this information is considered private and confidential however, both the bank and the store could appeal to the Judge to refuse Marcus's request on the grounds of privacy concerns.

8 0
3 years ago
Zhang Industries sells a product for $750. Unit sales for May were 400 and each month's sales are expected to grow by 3%. Zhang
Colt1911 [192]

Answer:

Total= $292,520

Explanation:

Giving the following information:

Zhang Industries sells a product for $750. Unit sales for May were 400 and each month's sales are expected to grow by 3%. Zhang pays a sales manager a monthly salary of $4,000 and a commission of 2% of sales in dollars. Assume 30% of Zhang's sales are for cash. The remaining 70% are credit sales; these customers pay in the month following the sale.

Cash budget for June:

Sales= [(400*1.03)*750]*0.3= 92,700

Sales from May= (400*750)*0.7= 210,000

Salary= (4,000)

Commision= [(400*1.03)*750]*0.02= (6,180)

Total= $292,520

6 0
3 years ago
Dan​ Jacobs, production manager for​ GreenLife, invested in​ computer-controlled production machinery last year. He purchased th
gayaneshka [121]

Answer:

The pertinent focuses for Dan​ Jacobs choice are referenced beneath.  

  • The new hardware would cost GreenLife $4,500,000  
  • The new hardware would twofold the creation yield of the old apparatus  

The expense of new hardware and the expansion in the creation yield by 100% are the future expenses and incomes and thus they are significant for dynamic.  

The old apparatus is bought previously. Consequently, the price tag of the old apparatus is immaterial for dynamic procedure. Tho director ought to consider the resale estimation of old apparatus in the dynamic. Tho resale estimation of old apparatus ought to be deducted from the expense of new hardware so as to ascertain the net money surge to buy the new apparatus.  

The director ought to set up an expense and advantage examination or ascertain NPV (net present estimation) of the venture (capital planning investigation) to introduce it before the leader of the organization. The extra costs identified with extra creation ought to likewise be thought of. This investigation would support the supervisor and the president in dissecting that whether they should buy the new machine or not.

4 0
3 years ago
If a firm accepts less than all of its prospective projects with positive NPVs when evaluated at their own risk-adjusted costs o
gtnhenbr [62]

Answer: True

Explanation:

  Yes, the given statement is true that the employing capital rationing is one of the process in which it placing some restriction on the investment amount of the project in an organization.

 In the capital rationing strategy, if the company accepts less amount from all its prospective projects along with some positive net profit value (NPVs) the it is evaluated on the basis of their own risk.

 The employ capital rationing helps in making various types of decisions related to investment for the company and in this system only limited projects are taken due to the limitation of the resources.  

 Therefore, The given statement is true.

3 0
3 years ago
What are two things you need to maintain if you assist a person with banking and bill paying?
Anton [14]

Answer:

transaction record and a reconciliation of the transactions

An adequate bank balance and a budget.

Legal guardianship of the person and power of attorney

Your documentation as payee for the person you support and the bankbook

8 0
3 years ago
Other questions:
  • In the short run, a decrease in the money supply causes output to? A. Increase B. Decrease C. Not change D. Increase or not chan
    6·1 answer
  • Use the net FUTA tax rate of 0.6% on the first $7,000 of taxable wages.
    15·1 answer
  • if the nominal interest rate is 4.00% and the rate of inflation is 2.25%, what is the real interest rate? 1.75% 4.50% 6.25% 9.00
    12·1 answer
  • Selma operates a contractor's supply store. She maintains her books using the cash method. At the end of 2020, her accountant co
    15·1 answer
  • A bank is earning 6 percent on its $150 million in earning assets and is paying 4.75 percent on its liabilities. The bank's inte
    10·1 answer
  • What happens to the economy during a recession cycle
    7·1 answer
  • Employees at a large company are surveyed about their health insurance stat Employees are coded as "1" if health insurance is ob
    15·1 answer
  • The cost of preferred stock is computed the same as the:
    13·1 answer
  • The type of legal system and the level of corruption in a country have been found to be: significant determinants of the rate of
    14·1 answer
  • Comfort chair company manufacturers a standard recliner. During February, the firm's Assembly Department started production of 7
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!