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3 years ago

What is a market that runs most efficiently when one large firm supplies all of the output referred to as?

Business

1 answer:

stealth61 [152]3 years ago

7 0

Answer:

a natural monopoly

Explanation:

A monopoly is a market structure which is typically characterized by a single-seller (one seller) who sells a unique product in the market by dominance. This ultimately implies that, it is a market structure wherein the seller has no competitor because he is solely responsible for the sale of unique products without close substitutes.

A monopolist refers to any individual that deals with the sales of unique products in a monopolistic market.

On a related note, a natural monopoly is a market that runs most efficiently when all of the output is supplied by one large business firm. Thus, a business firm is considered to be a natural monopoly if it's capable of producing the total output of the market at a lower cost than two or more business firms could.

Some examples of natural monopoly are the United States Postal Service, electricity grid, water supply, gas network, sewer services, energy distributors, railway service, etc.

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IMB Corporation recently reported an EBITDA of $22.5 million and $5.4 million of net income. The company has $6 million interest

Mandarinka [93]

Answer:

$8.2 million

Explanation:

As per given data

EBITDA $22.5

Net Income $5.4 Million

Interest Expense = $6 million

Tax rate = 35%

As we know the Tax is deducted from the income before tax to calculate the net income. We will calculate the Earning before tax first.

EBT = Net Income x 100% / ( 100% - 35% )

EBT = 5.4 million x 100% / 65%

EBT = $8.3 million

Now we need to calculate the Earning Before interest and Tax

EBIT = EBT + Tax Expense = $8.3 million + $6 million = $14.3 million

The Difference between EBIT and EBITDA is depreciation and amortization expense.

Depreciation and Amortization expense = EBITDA - EBIT = $22.5 million - $14.3 million = $8.2 million

3 0

3 years ago

Jarvis Company produces a product that has a selling price of $25 and a variable cost of $17 per unit. The company's fixed costs

Sholpan [36]

Answer:

The break-even point measured in sales dollars is $8

6 0

3 years ago

Money obtained through various types of loans is called:

Elden [556K]

Borrowed money obtained through loans of various types is called debt capital. capital is a loan made to a company that is normally repaid at some future date. Debt capital is the loan that a business raises by taking out a loan.

4 0

4 years ago

Two eastern European countries formed a free trade agreement. As a result, one of the countries that used to produce its own pla

Aleonysh [2.5K]

Answer:

Trade creation

Explanation:

Trade creation is the process where there is increase in economics welfare as a result of joining a free trade area for example a customs Union.

Consumption experiences a shift from high cost producers to low cost producers causing expansion in trade.

In the given instance due to formation of free trade agreement, high cost plastic production is now replaced with low cost import of plastics from the other company.

There is a shift from high cost producers to low cost producers as a result of trade agreement between the two nations.

3 0

3 years ago

Sales 101 teaches you to: Always just answer the question the customer has Never try to get more information about what the cust

Natali [406]

Answer:

I think it's A) Always just answer the question the customer has.

Explanation:

I know it's not D) "Never look the customer in the eye."

I don't think it's C) "Always answer a question with another question" that just seems like it would be confusing for the customer.

And I don't think it's B) "Never try to get more information about what the customer needs" because part of you're job as a salesman is find out what the customer needs.

So that leaves answer choice A

4 0

3 years ago