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Delicious77 [7]
3 years ago
12

How does the​ long-run equilibrium for a monopolistically competitive market differ from the​ long-run equilibrium for a perfect

ly competitive​ market? One way in which monopolistically competitive markets and perfectly competitive markets differ is that in​ long-run equilibrium, monopolistically competitive firms
Business
1 answer:
Valentin [98]3 years ago
3 0

Answer:

Following are the differences between monopolistically competetive market and perfectly competetive market.

Explanation:

Overall the profit ratio for the sellers is higher in monopolistically competitive market and low in a perfectively competitive market. In monopolistically competitive market, sellers charge a price higher than marginal cost, whereas, in a perfectly competitive market, the sellers charge a price equal to the marginal cost. In long-Run, the main difference between the competitive market and the monopolistic market is the excess capacity. It is the difference between the efficient level of output and profit-maximizing level of output.

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Answer:

The company can accept its customers request and it should allow all its customers to avail same discount to avoid antitrust laws violation.

Explanation:

The customers with high volume can ask for discount from the company as their bargaining power is high. The company can consider the request of its customers and grant them discount unless the company gains no profit from trade. If the transaction is profitable for the company, it will allow its customers to stay with the company and will accept their requests.

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3 years ago
When a product spreads through the population, it is called the?
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The answer is diffusion of innovation. This type of theory or process has the aim of having to influence other people in regards with the ideas that they have formulated in which are new. These ideas are being spread out with the use of innovations.

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3 years ago
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She should become more knowledgeable by talking with a financial adviser, reading books, or by taking a class.

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5 0
3 years ago
In a firm's income statement, interest payments on debt are deducted Blank______ corporate taxes are calculated, which Blank____
seropon [69]

<em>In a firm's income statement, interest payments on debt are deducted </em><em>before </em><em>corporate taxes are calculated, which</em><em> reduces</em><em> the firm's tax liability.</em>

<h3>Income statement: What is it?</h3>

An overview of the company's operations for a specific time period is provided in the income statement. The revenue (gross and net sales), cost of products sold, operational expenditures (selling and general and administrative expenses), taxes, and net profit or loss are the statement's primary components.

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6 0
2 years ago
"Tom's Tool Factory is an investment center and is responsible for all of its net income and the use of its assets. This year, t
fenix001 [56]

Answer:

A.57.9%

Explanation:

Return on Assets (ROA) measures how effective a business generates income from its total assets. It is calculated from the net income and total assets using the following formula;

Return on assets (ROA ) = Net income / Total assets

Net income = 275,000

Total assets = 475,000

ROA = 275,000 / 475,000

= 0.5789 or 57.9%

8 0
3 years ago
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