Answer: D. Would government regulations significantly impede Vytel's ability to make profits?
Explanation:
The challenge to doing business in the country is that there are barriers to entry which are most probably government regulations.
The opportunity however is that there is a demand for Vytel's products and services which means that there is a chance to make profits.
The question the consulting firm should be asking therefore is if the profits that could be made could be impacted by the government regulations so significantly that there would be no benefits.
Answer:
The anwer is A. Economic Viability.
Explanation:
This question represents a very common problem faced by many new innovators in the market. They put out a new product and then the rest follow and copy it.
When it comes to new products there are Several factors that influence it's popularity. Simply they are,
1. The affordability or the economic viability. Simply this means if a product is "feasible" cost wise and logistically. Price is a major factor that falls under this.
2. Technological feasibility means if the technology used in the product permits the product to be used effectively in Business operations.
3. Organization suitability: softwares and almost any asset is suitable for different organizations in different ways and might not be suitable for some organizations.
These are the major factors that influence a products popularity. However in this scenario, the entrepreneur Neil's product is becoming less popular because the Economic Viability of the software is coming down because of the much cheaper alternatives in the market.
Answer:
Option (a) is correct.
Explanation:
This is a case of third degree price discrimination.
There are three types of price discrimination are as follows:
(a) First degree price discrimination
(b) Second degree price discrimination
(c) Third degree price discrimination
In a third degree price discrimination, a company or a firm can charge different prices for different groups of people but charge the same price within the group.
In our case, Dry cleaning companies charge more prices from the women than from the men but they can charge the same price from all the women.
Answer:
Explanation:
Farmer:
Total cost of production of farmer = number of bushel × cost of per bushel
= 119 × $3
= $357
Total revenue of farmer = price × quantity sold
= $5 × 119
= $595
Total profit of farmer = Total revenue - Total cost
= 595 - 357
= 238
Firm F:
Total cost of production of firm F = pounds of flour × cost of per pound
= 51 × $6
= 306
Total revenue of firm F = price × quantity sold
= $10 × 45
= 450
Total profit of Firm F = Total revenue - Total cost
= 450 - 306
= 144
Answer:
Total cash collection= $20,375
Explanation:
Giving the following information:
Big Wheel, Inc. collects 25% of its sales on account in the month of the sale and 75% in the month following the sale.
<u>Sales:</u>
March= $16,300
April= $32,600
<u>Cash collection April:</u>
Sales on account from April= 32,600*0.25= 8,150
Sales on account from March= 16,300*0.75= 12,225
Total cash collection= $20,375