Answer:
A) comparing the return to the return on invested capital obtained by other firms in the industry.
Explanation:
A firm that has developed a competitive advantage over its competitors will to able to either produce the same amount of output using fewer resources, or produce higher output using the same resources than its competitors. A competitive advantage means being more efficient.
So if we want to determine if Zephyr Electronics 18% return on invested capital (ROIC) provides them a competitive advantage over its competitors, we have to compare Zephyr's ROIC with the ROIC of the rest of the major firms in the industry.
Game theory suggests that competing firms in an oligopolistic industry may be reluctant to change prices because they anticipate that rivals will match price cuts but ignore price increases.
<h3>What is Game theory?</h3>
Game theory looks at the interactions between participants in a competitive game and calculates the best choice for the player.
Dominant strategy is the best option for a player regardless of what the other player is playing. Nash equilibrium is the best outcome for players where no player has an incentive to change their decisions.
Here are the options:
. too quick to raise prices because they will fail to anticipate that rivals may gain market shares.
b. reluctant to change prices because they anticipate that rivals will match price cuts but ignore price increases
c. reluctant to change prices because they anticipate that rivals will ignore price cuts but match price increases
d. too quick to cut prices because they fail to anticipate that rivals may also cut their prices.
To learn more about game theory, please check: brainly.com/question/25746243
Answer:
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Explanation:
Please see attachment . Please note that the question is not complete . I have found the a full question online to assist you .
Answer: True
Explanation:
Even though Financial and Managerial accounting differ in the type of people who use it with Financial being used both internally and externally and Managerial being used internally, the main purpose is to provide relevant information to it's users.
Managerial accounting concerns analyzing and interpreting financial as well as other data so that the management can make informed decisions about their course of action.
Financial Accounting on the other hand provides the public with financial data on a company so that they may know whether to invest. Either way, they are both providing relevant information to users.
