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Marysya12 [62]
3 years ago
8

How do businesses determine the equilibrium price of a good or service?

Business
1 answer:
Helen [10]3 years ago
6 0

Answer:

C. They set a price where the demand matches the quantity they are

willing to supply

Explanation:

The equilibrium price is the current market price as determined by supply and demand forces. It is the price at which buyers are happy to buy the entire supplied quantities. Suppliers are also happy to sell that quantity at the set price. The equilibrium price is, therefore, the intersection of the demand and supply curves.

At the equilibrium price, there is no excess or short supply of a product in the market.

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A German firm that manufactures precision scientific instruments has built a new factory in Nebraska on property that it has lea
Juli2301 [7.4K]

Answer:

greenfield venture.

Explanation:

The greenfield venture is the venture is a type of foreign direct investment i.e. FDI in which the investment is made either by an individual, firm or company in the other country. In this the business is developed from the initial stage also it has the highest controlling power. Also to set up the business in other countries, various benefits are provided that are in terms of discount, commission, subsidies, tax benefits

Therefore the given situation represents the green field venture example

5 0
3 years ago
Q 4.35: McGinnis Construction is a cash-basis company with a fiscal year-end of June 30. McGinnis’ employees earn a normal weekl
hjlf

Answer: Understatement, $30,900

Explanation:

There will be an UNDERSTATEMENT of McGinnis' net income for the most recent fiscal year of $30,900.

The Understatement arises because as of year end which is June 30th, McGinnis were not paid for their services that cost $40,900 and instead will only be paid on the 8th of the next month so it was not accounted for in the net income.

The reason the net income understatement is $30,900 and not $40,900 is because McGinnis will still have to account for the payment to it's employees. If in a five day week they earn $12,500, that would mean that they earn $2,500 a day (12,500/5). Seeing as June ended on a Thursday, that is a 4 day week which means $2,500*4= $10,000.

That $10,000 will reduce the net income by that amount.

The net effect is a $30,900 UNDERSTATEMENT.

4 0
4 years ago
Which of the following is an example of a firm’s derived demand? a. The wage that a worker earns is a function of her human capi
olchik [2.2K]

Answer: Option B

         

Explanation: In economics, derived demand is demand for a production factor or intermediate good arising from the demand for some other intermediate or final good.

In general, a company's demand for, say, a production factor depends on consumer demand for the company's product.The commodities in such a demand structure are indirectly related to each other.

Hence from the above we can conclude that the correct option is B as the demand for the authors guide is directly linked to other product that is college textbooks.

6 0
3 years ago
¿Qué es la Biblia y qué significa?
miss Akunina [59]
The Bible is a religious text used by all Christians because it is supposed to be the word of god handed down by Abraham and Moses and in the second testimony (part, which jews don’t believe) it is written primarily by Jesus’ disciples. It matters because it is suppose to be what values the most to believers of Jesus and/or God.
4 0
3 years ago
You found that you should stock and sell 50 or 400 cans of beans per week in order to break even. In part (g) you are asked what
zubka84 [21]

Answer:

Option C is correct P(q) = -0.005q^{2}  + 2.25q - 100  

Explanation:

Profit P(q) = R(q) – C(q)

Profit = Revenue – Cost

So,  

P(q) = -0.005q^{2}  + 2.5q - 100 – 0.25q

P(q) = -0.005q^{2}  + 2.25q - 100  

In order to find break even, you should plug 50 and 400 into the formula P(q) = -0.005q^{2}  + 2.25q - 100  

4 0
4 years ago
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