Answer:
B. is much less than the costs to the whole American economy.
Explanation:
When foreign industries are prevented from entering the U.S. Market, the supply of the products that those foreign firms would provide is kept artificially low, in order to benefit domestic producers. This means that prices become more expensive than they should be, affecting all consumers.
For example, if the U.S. barred car imports from Japan, cars would become very expensive, and while the national car industry would benefit, the vast majority of consumers would be harmed by the higher prices.
Answer:
1st & 3rd are False, 2nd is True .
Explanation:
Price Discrimination is pricing strategy - involving firms charging different prices from different customers, for same goods & services.
If demand curves of different markets (customer groups) are different it is profitable for firms to do price discrimination - i.e selling at different prices, rather than single price. This enables firm charging maximum of their paying capacity from each customer group. Hence 1st statement is False
Markets having customers with more elastic (more price sensitive) demand should be charged lower prices. Markets having customers with less elastic (less price sensitive) demand should be charged higher prices. So, 2nd statement is True.
Arbitrage is ability of buying goods from low priced markets, selling them in high priced markets. In presence of arbitrage, it is difficult for firms to discriminate. So, 3rd statement is False.
Answer:
controllable margin for the year is $180,000.
Explanation:
The Controllable Margin is the Profit that is controllable by the divisional manager.
<u>Calculation of Controllable Margin : </u>
Contribution Margin $360,000
Less Controllable fixed costs ($180,000)
Division Controllable Margin $180,000
Answer:
a. Increase both an asset and capital stock.
Issuance of common stock increases the cash as assets and common stock as a capital stock.
b. Increase both an asset and a liability.
Supplies purchased on account increases the Inventory as an asset and Increases the payable as a liabilities.
c. Increase one asset and decrease another asset.
Maturity of an Investment in debt instrument, Increases the cash as an asset and decreases the investment as another asset.
d. Decrease both a liability and an asset.
Payment to supplier decrease the account payable as a liabilities and cash as an asset.
e. Increase both an asset and retained earnings.
Cash Sales Increases the cash as an asset and Net profit as a retained earning.
f. Decrease both an asset and retained earnings.
Sales return decreases the account receivable as an asset and net profit as a retained earning.
