When a market is experiencing low competition, firms can recover research and development costs by using a skimming price strategy.
<h3>What is a skimming price strategy?</h3>
This refers to when companies sell goods at a high price because there isn't much competition.
As other suppliers enter the market and the competition increases, the companies will then reduce their prices.
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Answer:
Diversification is short means that the activities of the business are diversified or classified.
Explanation:
Diversification is the term which is defined as the process that involve the addition of the new services or the products, which significantly are unrelated and with no commercial as well as no technological similarities. For example, if a computer company, who decides or took a decision relating for producing the notebooks, then the company or the business is pursuing or following the strategy of the diversification.
The benefits or advantage which the business get from diversification is as:
Growth of business - When the company diversify their activities, they get more involved in the making their business to grow more and earn huge profit.
Help in focusing - It will help the management to be more focused on the activities that are more important for the business to grow and develop.
Can you please try to take a better pic
Answer:
$64.05
Explanation:
The computation of the today share is shown below:
= {Current year dividend × ( 1 + growth rate)} ÷ (Required rate of return - growth rate)
= {$2.55 × ( 1 + 5.5%)} ÷ (9.7% - 5.5%)
= ($2.55 × 1.055) ÷ (9.7% - 5.5%)
= 2.69025 ÷ 4.2%
= $64.05
The {Current year dividend × ( 1 + growth rate)} reflect the next year dividend
(B) A demand curve shows the number of units the market will buy in a given time period, at different prices that might be changed.
<h3>
What is a demand curve?</h3>
- A demand curve is a graph in economics that depicts the relationship between the price of a commodity (the y-axis) and the quantity of that commodity that is demanded at that price (the x-axis).
- A demand curve depicts the number of units that the market will purchase in a given time period at various prices that may change.
- Demand curves can be used to model the price-quantity relationship for a single consumer (an individual demand curve) or for all consumers in a given market (a market demand curve) (a market demand curve).
- Demand curves are generally assumed to slope downward, as illustrated in the adjacent image.
- This is due to the law of demand, which states that when the price of good rises, the quantity demanded decreases.
Therefore, (B) a demand curve shows the number of units the market will buy in a given time period, at different prices that might be changed.
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The complete question is given below;
__________ shows the number of units the market will buy in a given time period, at different prices that might be changed.
a) target costing
b) a demand curve
c) price elasticity
d) total cost
b) a demand curve
