Answer: Option (A) is correct.
Explanation:
Correct option: Earn positive profits in the long run.
All the industries that operates in a monopoly, oligopoly and monopolistic market conditions are generally having positive profits in the long run.
These industries can earn positive profits because there are high restrictions on the entry of the new firms. This is the case of monopoly and oligopoly. But in monopolistic competition, there are many firms in the market and the firms in this market condition can have a positive profits in the long run. There are comparatively less barriers on the entry of the new firms.
Answer:
<em>The Schwinn exercise machine is most likely in the</em> <u>introduction</u><em> stage of the product life cycle.</em>
Explanation:
The life cycle of a product is characterized by the phases:
1- introduction,
2- growth,
3- maturity
4- decline.
The first step is the introduction, which characterizes the product's insertion in the market, and includes business efforts to make consumers aware of the product. This phase has as its main characteristics the <u>low volume of production and sales.</u>
Answer:
According to the information provided is possible to conclude that in both options the indicators are understated
Explanation:
(a) Rent revenue (or revenues) will be understated. Net income will be understated.
(b) Retained earnings at the end of the period will be understated. Unearned rent (or liabilities) will be overstated.
Answer:
b. the difference between Solomon's contract price and the amount paid by Renny
Explanation:
Neal sues Solomon for damages as Solomon breaches his contract with Neal to purchase the 500 pairs of socks from him. Although he can sell the 500 pairs to Renny even then he was in loss only as he sells socks to Renny at a lower amount then it's actual cost.
In this case, Neal will be able to recover the difference between Solomon's contract price and the amount paid by Renny.
Answer:
As a result of half the orange crop being destroyed, there will be a shortage in the supply of oranges. This will shift the supply curve for oranges to the left as shown in the graphic.
Notice that the equilibrium price becomes higher. As a result of this, the Consumer surplus will <u>decrease</u> because they are now paying more than they would like to pay.
The situation will largely be the same in the market for orange juice because orange is the main component for orange juice. Orange juice supply will decrease and the supply curve will shift left.
Prices will rise and Consumer surplus will <u>decrease.</u>
<em>Note: Second graph x-axis is Quantity of orange juice. </em>
