<span>The true statement about profits in a monopolistically competitive market is:
B.Many firms will earn profit in the short term, but they must constantly innovate and compete to earn profits in the long term.
Examples of monopolistic competition:
1) hotel and restaurant businesses
2) consumer services like hair dressers, spa, etc
3) pubs and bars
</span>
Answer:
Nintendo
Explanation:
13.56 million dallors a day
Answer:
c. $400 billion
Explanation:
Calculation to determine what an initial increase in aggregate demand of $100 billion will eventually shift the aggregate demand curve to the right
First step is to calculate the GDP Multiplier
Using this formula
GDP Multiplier=1/(1-MPC)
Let plug in the formula
GDP Multiplier=1/1-0.75
GDP Multiplier=1/0.25
GDP Multiplier=4
Now let determine the shift in aggregate demand curve
Shift in aggregate demand curve=4*100 billion
Shift in aggregate demand curve= $400 billion
Therefore an initial increase in aggregate demand of $100 billion will eventually shift the aggregate demand curve to the right by $400 billion
Answer:
c. 0.0819
Explanation:
The mean = 0.85
standard error of the proportion is: sp = sqrt(pq/n)
= sqrt ((.85)(0.15) / 51) = 0.05
P(0.9115 < X < 0.946) = P( (0.9115 - 0.85) / 0.05 < z < (0.946 - 0.85) / 0.05 )
= P(1.23 < z < 1.92)
= P(z < 1.92) - P(z < 1.23) = 0.0819
Answer:
a) Operating income - $33,800
Explanation:
<em>The flexible budget would be prepared for a different activity level of 6,300 production units but using the assumptions of the fixed budget</em>
$
Sales revenue - ($7× 6,300 units ) : 44,100.00
Less Variable cost - ($1 × 6,300 units ) : <u>( 6,300)</u>
Contribution 37,800
Less Fixed costs <u>(4,000)</u>
<u>33,800</u>
<em>Note that the fixed costs of $4000 remains the same for both the static and flexible budgets. This is because the activity level of 6,300 units of the flexible budget remains within relevant range. So the fixed cost would not change.</em>
