In antitrust law, the requirement is that if one product or service is purchased, another product or service must also be purchased, even if the customer does not desire it is called a Tie-in Sale.
What is Tie-in Sale?
The selling of one product to a customer with the clearly stated need that they also buy another product. The consumer could not desire the second item, or she might be able to find it cheaper elsewhere. Tie-in agreements that impede competition are prohibited.
Tie-in sales are a sort of restrictive trade practice that involves a supplier requiring that the product's buyer fulfill certain conditions.
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Answer:
interest rate = 15%
value of the bond will decrease
Explanation:
given data
face value = $5,000
time = 5 year
annual coupon payment = $150
solution
we get here interest rate on the borrowed funds that will be as
interest rate =
× 100
put here value we get
interest rate =
× 100
interest rate = 15%
and
when bond issued at interest rate = 3 %
but market interest rate 4%
so seller will reduce price of bond less than the face value
because we will look for atleast 4% payout when bond matures
so value of the bond will decrease
Answer:
The company's operating income will increase from $8,800,000 by $350,000 to become $9,150,000
Explanation:
Detailed explanation and calculation is shown in the image below
Answer:
opportunity cost
Explanation:
When a firm uses retained profits to invest in more energy efficient equipment, an economist would calculate the opportunity cost of investing in physical capital.