If the government takes this approach, consumer surplus would increase.
A monopoly is when there is only one firm operating in an industry. A natural monopoly occurs when there is a high start-up cost associated with opening a business or a firm enjoys economies of scale.
Consumer surplus is the difference between the willingness to pay of a consumer and the price of the good. As the price of a good declines, consumer surplus increases. P2 is lower than P1, this means that if price is regulated to P2, consumer surplus would increase.
Please find attached the graph required to answer this question. To learn more, please check: brainly.com/question/15415230
Answer:
Annual depreciation (year 1)= $1,400
Explanation:
Giving the following information:
Buying price= $36,000.
Useful units= 300,000 units of product.
Salvage value= $6,000
During its first year, the machine produces 14,000 units of product.
To calculate the depreciation expense for the first year under the units of production method, we need to use the following formula:
Annual depreciation= [(original cost - salvage value)/useful life of production in units]*units produced
Annual depreciation= [(36,000 - 6,000)/300,000]*14,000
Annual depreciation= 0.1*14,000= $1,400
A required reserve ratio of 7 percent gives rise to a simple deposit multiplier of 14.29.
<h3>What is reserve ratio?</h3>
The reserve ratio is the percentage of reservable liabilities which commercial banks must keep rather than lend or invest. This is a requirement set by the country's central bank, which is the Federal Reserve in the United States. It is also referred to as the cash reserve ratio.
Some key points related to reserve ratio are-
- The reserve requirement is the minimum amount of deposits that a bank must hold, and it is sometimes used interchangeably with the reserve ratio.
- Regulation D of the Federal Reserve Board establishes the reserve ratio.
- Regulation D established uniform reserve requirements with all deposit accounts with transaction accounts and necessitates banks to provide the Federal Reserve with regular reports.
- Suppose the Federal Reserve determined that the reserve ratio should be 11%. This means that if a bank has $1 billion in deposits, it must keep $110 million in reserve ($1 billion x.11 = $110 million).
To know more about reserve ratio, here
brainly.com/question/13758092
#SPJ4
Pulsing advertising does exactly that, continuous advertising year round and then a bump in advertising when sells peak. Pulsing<span> combines </span>flighting<span> and continuous </span><span>scheduling.</span>
Answer: flow
Explanation:
Foreign direct investment flows records the value of foreign transaction with investment carried out at a particular period of time, probably quarterly, annually.
This flow consists of reinvestment earnings, equity transactions, and company debt transaction.
Inward and outward flows are also been taken into consideration, how foreign investments/transaction are noted in and out of the organization.
