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4 years ago

An oligopoly exists when a firm offers a product that has no close substitutes, making the firm the sole source of supply.

Business

1 answer:

Mademuasel [1]4 years ago

4 0

Answer:

B) False

Explanation:

That would be a monopoly (only one supplier).

An oligopoly is a market where there are very few suppliers, and competition is very limited since the barriers to entry are very significant.

For example, the automobile industry is an oligopoly. There are only a few car manufacturers in the world, and they all are very large corporations. It costs hundreds of millions of dollars to introduce a new car model, and every time that happens, the corporations must carry on expensive advertising and promotional campaigns.

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Q 4.35: McGinnis Construction is a cash-basis company with a fiscal year-end of June 30. McGinnis’ employees earn a normal weekl

hjlf

Answer: Understatement, $30,900

Explanation:

There will be an UNDERSTATEMENT of McGinnis' net income for the most recent fiscal year of $30,900.

The Understatement arises because as of year end which is June 30th, McGinnis were not paid for their services that cost $40,900 and instead will only be paid on the 8th of the next month so it was not accounted for in the net income.

The reason the net income understatement is $30,900 and not $40,900 is because McGinnis will still have to account for the payment to it's employees. If in a five day week they earn $12,500, that would mean that they earn $2,500 a day (12,500/5). Seeing as June ended on a Thursday, that is a 4 day week which means $2,500*4= $10,000.

That $10,000 will reduce the net income by that amount.

The net effect is a $30,900 UNDERSTATEMENT.

4 0

4 years ago

When economists say the supply of a product has decreased they mean that?

beks73 [17]

<span>When economists say the supply of a product has decreased they mean that "Demand of product has been increased"

Hope this helps!</span>

4 0

4 years ago

Roderigo has just finished paying back his $8,575 unsubsidized Stafford loan, which he took out to fund his four-year degree. Th

Rudik [331]

Interest capitalization refers to the addition of interest earned to the principal amount, Roderigo will pay $7353.80 in interest to finish the amount of the loan.

<h3>What is interest capitalization?</h3>

Interest capitalization passes when owed interest is added to the principal amount of the loan. Interest is then charged on that advanced principal balance.

<u>Computation </u><u>of the amount of interest:</u>

Given,

Principal(P) = $8,575,

Rate(i) = 7.1%

Compounded Monthly:

$\dfrac{\frac{7.1}{12}}{1000} = 0.0059$

Time period (n):

$\text{12 Months} \times \text{4 Years} = 48 \text{Months}$

Now, apply the given values in the formula of compound interest(CI):

$\text{A} = \text{P}\times{(1+i)^n}-1\\\\\\\text{A} =\$8,575\times(1+7.1\%)^4^8-1\\\\\\ \text{A} = \$11,381.94$

Then apply the formula of EMI by taking $11,381.94 as a principal, we have,

Here,

$\text{n} = 12\text{Months}\times\text{10Years} = 120\text{Months}$

$\dfrac{\text{p}\times i \times(1+i)^n}{(1+i)^n-1}\\\\\\\\\dfrac{\$11,381.94\times 0.0059\times(1+0.0059)^1^2^0}{(1+0.0059)^1^2^0-1}\\\\\\=\$132.74$

Now, the total payment made in 120 months would be:

$\$132.74\times120=\$15,928.80$

Hence, Interest paid will be:

$\$15,928.80-\$8,575 = \$7,353.80$

Therefore, the total amount of interest that would be paid by Roderigo is $7,353.80.

Learn more about interest capitalization, refer to:

brainly.com/question/417585

3 0

2 years ago

Imagine you’re in a dark room with no windows and a locked door. How do you get out?

masha68 [24]

Answer:

The original riddle goes: your stuck in a pich black room no windows no doors and all you have is a price of paper how do u get out. The answer is: rip the paper in half one half plus one half equals one hole so you jump into the whole -.- Reply

Explanation:

5 0

2 years ago

Read 2 more answers

savings account a and savings account B both offer aprs of 11% but savings account A compounds intrest quarterly while Savings A

Sever21 [200]

The answer is savings account A.

Since savings account A compounds the interest quarterly it adds interest to the account every quarter. This makes it a more profitable account than one that compounds the interest semiannually. The reason is that the bank is adding interest more frequently, so you are earning interest on the interest that the bank has already paid you.

3 0

3 years ago

Read 2 more answers