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3 years ago

If a firm in a monopolistically competitive market lowers price, then Use letters in alphabetical order to select options

Business

2 answers:

hram777 [196]3 years ago

8 0

Answer:

D. Quantity demanded for the good will increase.

Explanation:

To begin, it is important to understand the concept of monopolistic market. Monopolistic market is a market whereby a firm has the overall effect of providing the major products in a market.

The law of demand is universal. The quantity demanded is always at an inverse relationship with the price of a commodity. The implication is that when a price of a commodity is lowered, there is a corresponding increase in the number of quantity demanded of the commodity, as consumer are willing to buy more for the products.

The experience is even more resounding in this scenario of a monopolistic firm. When price is lowered, consumer take advantage of such and increase the quantity so demanded of the commodity. It must be noted that in a monopolistic market, the firm therein dictates its price, its supply and demand, and also its eventual profits.

Valentin [98]3 years ago

3 0

Answer: quantity demanded for the good will increase (D)

Explanation:

Monopolistic competition is an imperfect competition where there are many producers that sell products that are differentiated from each another e.g through quality or branding.

In a monopolistic competitive market, firms maximizes profits when marginal revenue equals to the marginal cost. The demand curve of a monopolistic competitive market is downward sloping which means that as price reduces, the quantity demanded for the good will increase.

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You are considering the following two mutually exclusive projects. The crossover point is _____ and Project _____ should be acce

Romashka [77]

Answer:

13.28%; B

Explanation:

Project A Project B Differential

Year 0 -$21,000 Year 0 -$21,000 0

Year 1 $7,000 Year 1 $15,000 -$8,000

Year 2 $7,000 Year 2 $5,000 $2,000

Year 3 $15,000 Year 3 $7,000 $8,000

the discount rate = 14%, the NPV is:

NPV project A = -21,000 + 7,000/1.14 + 7,000/1.14² + 15,000/1.14³ = $651

NPV project B = -21,000 + 15,000/1.14 + 5,000/1.14² + 7,000/1.14³ = $730

if the discount rate is 14%, project B should be accepted (higher NPV)

the crossover rate is the discount rate where both NPVs are equal.

we must find the IRR using an excel spreadsheet and the IRR function:

=IRR (0,-8000,2000,8000) = 13.28%

3 0

3 years ago

Multi-market competition occurs when two or more diversified firms:

azamat

Answer:

The correct answer is letter "D": simultaneously compete against each other in the same product areas geographic markets.

Explanation:

Multi-market competition happens when companies offering a similar product make contact in multiple markets. The level o competition shapes according to the region where the goods or services are being offered and in different markets, different consumers decide which company is taken as the preferred.

Though, the constant contact of competitors in different regions could decrease their competition since they might use their mutual help in adverse areas to be able to conduct their businesses.

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4 years ago

Which of the following might a student do in high school to learn more about automotive care? A.

stepladder [879]

Answer:

Answer - A

Explanation:

SkillsUSA has an automotive "skill" in which students in high school can learn about the automotive industry.

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3 years ago

Read 2 more answers

The Financial Accounting Standards Board has the authority to develop generally accepted accounting principles. Choose the optio

olga2289 [7]

Answer:

Explanation:

Based on the information provided within the question it can be said that the correct steps that are used by the FASB in developing GAAP (generally accepted accounting principles) would be the following: issuing a discussion memorandum, issuing an exposure draft, and issuing a statement of principle. This collection of accounting rules was then adopted by the U.S. Securities and Exchange Commission.

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4 years ago

The Planning process team is progressing. The team has involved a number of expert opinions in trying to approximate the costs n

Andrei [34K]

Answer:

Chart of accounts.

Explanation:

Chart of account set up the codes which is used to determine the project cost. Under chart of account each account is assigned unique number and name. Example of chart of accounts include balance sheet accounts, asset accounts, liability accounts, revenue accounts, expenditure accounts, etc.

Chart of account is usually used by an organization to show that what amount of money is received or spent by each class of items. By segregating expenditure, revenues, liability, assets, etc. it provide better understanding to an organization about financial health.

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3 years ago