Answer:
a. increase price in the short run but not in the long run.
Explanation:
A perfectly competitive market is one in which firms in an economy produce similar goods, and use resources that are limited in quantity.
An increase in demand will result in a corresponding increase in price, and results in firms making high profits. In the diagram below it results in a shift of demand from D1 to D2.
In the long run as firms have low barrier to entry more firms enter the market and supply shifts from S1 to S2. There is reduction in prices and profits start to fall. This is illustrated in the second diagram.
Answer: e. None of the above.
Explanation:
Under IFRS, leonard will not recognize this either gain or depreciation as the transfer has taken place. But when Green Corporation sells the equipment then it will have to consider the potential which was generated in respect to the transfer with leonard.
Answer:
Have defined value creation too narrowly in terms of financial performance thereby contributing to black swan events ( B )
Explanation:
Black swan events are events that come as a surprise to a company or individual with great / devastating effects and these events are usually due to inappropriate foresight to the problem.
A company that generates huge profits is not supposed to reduce the maintenance budget because ill maintained equipment will not result to efficient production and huge profits. the leaking of their pipelines and the significant environmental problem is an example of the Black swan event due to the trimming of maintenance budget by the Management.
Here are the options:
A. Check the receiving room for the product to be in the shelves.
B. Let them no the truck comes in on Tuesday.
C. Tell the Customer to check back again later.
D. Show the Customer the other brands of Shampoo that's available on the shelf
Answer:
<u>D. Show the Customer the other brands of Shampoo that's available on the shelf.</u>
Explanation:
This is the option because it provides an opportunity to still make a sale. Remember, the customer only complained of not seeing a particular brand
It therefore, means that if shown other brands of Shampoo that's available on the shelf they may opt-in to buy them.
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40
