Answer:
The correct word for the blank space is: competitive.
Explanation:
Pricing strategies are methods companies use at the moment of setting the prices of their products. The most common pricing strategies are:
- Cost-plus pricing.<em> Involves recognizing the production costs and adding a percentage of those costs which represents the profit of the firm.
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- <u>Competitive pricing</u>.<em> Implies establishing the price of a product similar to what competitors in the market have set.
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- Value-based pricing.<em> It requires setting the price of goods and services based on what consumers think the price should be.
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- Price skimming.<em> Involves pricing a product high at first and changing the price according to market fluctuations.
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- Penetration pricing.<em> Implies setting the price of a product low to wipe out competitors and raising it after they completely disappeared.</em>
Answer:
Rise in stock price.
Explanation:
In general, the stock price has increased because the expected earning was $0.52 per share but the actual earnings were $0.83. therefore, we can say that stock prices have increased. moreover, there are other factors that may affect the stock price. But in this case. A positive surprise in the earnings per share results in stock price going up.
Future expectations about price, can be a demand and supply shifter.
If producers know that prices will go up in the near future, they will be less likely to produce more now. They will want to sell when prices are higher. The reverse is true, if consumers know that prices will go down in the future they will be less likely to purchase now.
Answer:
Please see journal entries below
Explanation:
The entries below are made in the books of Farmland Corporation, the issuer of the bond.
Upon redemption, journal entries would be as follows.
Debit: Bond Account $396,000 (cash paid to bond investors)
Credit: Cash/Bank Account $396,000 (cash paid to bond investors)
Debit: Profit/Loss Account $8,000 (premium paid over carrying value of bond, calculated below: )
Credit: Bond Account $8,000 (premium paid over carrying value)
Premium over carrying value is calculated as follows:
Redemption value - carrying value
= 
=
= $396,000 - $388,000
= $8,000
Answer:
The correct answer is letter "A": company sales potential; market potential.
Explanation:
Company sales potential is the expected amount of sales of a company given a specific sector in the market. It is presumed that the company has carried out marketing strategies and investment for the levels desired to be achieved. In the example, that level is 20%.
The market potential is the size of the market for a given product within a period of time. It is usually expressed in monetary terms since it expresses the number of sales value or volume during the period. In the example, that amount is $30 million dollars.
