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3 years ago

When producers receive a subsidy, sellers receive a:

Business

1 answer:

Vesnalui [34]3 years ago

7 0

Answer:

b. lower price than the pre-subsidy equilibrium, and buyers pay a lower one.

Explanation:

A subsidy is a governments intervention in the form of cash or tax cuts. The government offers subsidies to producers to motivate them to produce more or to lower their cost of production. As a result, there will be more products in the market or goods will be cheaper.

Equilibrium price refers to the price determined by the forces of supply and demand. It is the intersection of the demand and supply curve. It is the price that buyers are willing to pay for a certain quantity of a product; all other factors held constant.

Should a producer receive a subsidy, It will lower his cost of production. The producer's output will cost less. He can afford to offer sellers a lower price as a result of the subsidy. The traders will be able to sell the products in the market at a low price compared to a situation with no subsidy.

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The corporate charter of Luney Corporation allows the issuance of a maximum of 100,000 shares of common stock. During its first

kakasveta [241]

Answer:

Luney Corporation is authorized to sell 100000 shares

luney has issued = 70000 shares

luney has shares outstanding 63000

Explanation:

given data

maximum shares of common stock = 100,000

sold shares = 70,000

reacquired = 7,000

solution

we know here 100000 shares are mention in charter of the company

so Luney Corporation is authorized to sell 100000 shares

and luney has issued = 70000 shares

so here

we know that

luney has shares outstanding = 70000 - 7000

luney has shares outstanding 63000

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3 years ago

Firms gain control over price in monopolistic competition by A) blocking entry of other firms into the industry. B) producing a

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Answer: Firms gain control over price in monopolistic competition by <u>"C) differentiating their products.".</u>

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Explanation: Monopolistic competition is an imperfect type of competition in which there is a high number of sellers in the market. The products offered are characterized by having some differentiation and it is precisely this differentiation that makes these companies enjoy a certain power of market, have a certain voice when setting their prices and are not merely "price-acceptors", as in the case of perfect competition.

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3 years ago

The following are important reasons why we maintain our tools, implements,and equipment except: no

Anastaziya [24]

To assure the operational readiness of the tools, implements, equipment and

maximum return on investments.

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3 years ago

The price of a video is $4 and the price of a dinner is $16. from this we know that a consumer who is maximizing utility will

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b. buy enough of the two goods such that the marginal utility from the last dinner consumed is four times greater than the marginal utility from the last video.

This is because they are paying 4 times as much for the dinner so should get 4 times the utility from it.

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3 years ago

Glade Co. leases computer equipment to customers under sales-type leases. The equipment has no residual value at the end of the

madreJ [45]

Answer:

$51,600

Explanation:

Calculation to determine the total amount of interest revenue that Glade will earn over the life of the lease

Using this formula

Total interest = lease of equipment years *(Lease equipment fair value/ Present value of annuity due) -Lease equipment fair value

Let plug in the formula

Total interest=5* ($323,400/4.312)- $323,400

Total interest=5*$75,000-$323,400

Total interest=$375,000-$323,400

Total interest= $51,600

Therefore the total amount of interest revenue that Glade will earn over the life of the lease is $51,600

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3 years ago