A monopolistically competitive firm usually charges more than a perfectly competitive firm because:_____.a. it is part of a group of firms that has formally agreed to control the price and the output of a product.
b. its primary goal is to reap monopoly profits by replacing competition with cooperation.
c. producing homogenous output is more expensive than producing differentiated output.
d. producing differentiated output is more expensive than producing homogenous output.
e. it has a monopoly, but potential entrants exist in the form of contestable markets.

Answers

Answer 1
Answer:

Answer:

a. it is part of a group of firms that has formally agreed to control the price and the output of a product.

Explanation:

A monopolistic competitive firm ensures that, the price of goods and the output of the products produced by them is controlled. This helps them to dictate the market in which they find themselves in.


Related Questions

While Mary Corens was a student at the University of Tennessee, she borrowed $8,000 in student loans at an annual interest rate of 9%. If Mary repays $1,600 per year, then how long (to the nearest year) will it take her to repay the loan? Do not round intermediate calculations. Round your answer to the nearest whole number.
Joseph is an unemployed yard landscaping worker who is trying to find employment as he last had work seven months ago. He is now at a point where he will take any wage even if low to get money to pay the bills. He talks to businesses and landscaping companies on a daily basis but none are hiring due to an ongoing recession. How would you describe his experience with the correct economic term?
In April 2013, Sparkle Enterprises purchased the Crimson Mine at a cost of $18,000,000. The mine is estimated to contain 500,000 tons of ore with a residual value of $2,000,000 after mining operations are completed. During 2013, 120,000 tons of ore were removed from the mine and sold. In this situation: a. The book value of the mine is $16,000,000 at the end of 2013. b. The amount of depletion deducted from revenue during 2013 is $3,840,000. c. The amount of depletion deducted from revenue during 2013 is $2,000,000. d. The mine is classified as an intangible asset with in indefinite life and is not amortized.
Legacy issues $570,000 of 8.5%, four-year bonds dated January 1, 2019, that pay interest semiannually on June 30 and December 31. They are issued at $508,050 when the market rate is 12%.
A company has the choice of either selling 600 defective units as scrap or rebuilding them. the company could sell the defective units as they are for $2.00 per unit. alternatively, it could rebuild them with incremental costs of $0.60 per unit for materials, $1.00 per unit for labor, and $0.80 per unit for overhead, and then sell the rebuilt units for $5.00 each. what is the amount of incremental revenue from rebuilding?

(TCO C) For several years, Mountain Home University had used IBM computers. Recently, Apple Computers offered them a better machine at lower a price for one of the University's labs; however Mountain Home did not buy them because the _____ costs were too high.a. transactional.b. opportunity.
c. marginal.
d. switching.

Answers

Answer:

d. switching.

Explanation:

Since in the question it is mentioned that Mountain university used IBM computers also the apple computers offered them a better machiner at a lesser cost but the university did not buyed as the switching cost is too high

Bcz from exchanging from IBM computer to Apple computers the cost is high and that cost we called as switching

Hence, the correct option is d.

The best cost system to use for a company producing a continuous stream of similar items would be a: Group of answer choices Production costing system. Job order system. No cost system is required when jobs are similar. Process costing system.

Answers

Answer:

The Best Cost System is the "Process Costing System"

Explanation:

A Process Costing System amasses costs when an enormous number of indistinguishable units are being created. Right now, is generally proficient to collect expenses at a total level for an enormous group of items and afterward dispense them to the individual units delivered. The supposition that will be that the expense of every unit is equivalent to that of some other unit, so there is no compelling reason to follow data at an individual unit level. The great case of a procedure costing condition is an oil treatment facility, where it is difficult to follow the expense of a particular unit of oil as it travels through the processing plant.

Answer: Process costing system.

Explanation: A process costing system used in the manufacturing industry that accumulates the costs of producing a continuous stream of similar items.

It is calculated thus:

Cost per unit = cost of unit/ expected output in unit.

Using process costing method is very efficient to accumulate costs at an aggregate level for a large batch of products and then allocate the cost to the individual units produced.

There are three types of process costing and they are:

1. Weighted Average Cost

2. FIFO - First In First Out

3. Standard Cost

According to the textbook, the number one reason that people become entrepreneurs is to:A) realize financial rewardsB) gain prestigeC) be their own bossD) continue a family traditionE) pursue their own ideas

Answers

Answer:

(A) realize financial rewards.

Explanation:

In theory (textbook) the no.1 reason that people become entrepreneurs is to achieve maximum return. The concept of higher risk, higher return is the key here. Business as compared to Services and Profession, has the highest risk thereby giving the best returns out of the three.

However, in practicality people adopt business to pursue their own ideas, gain prestige, be their own boss, continue a family tradition and also to realize financial rewards.  

Paragon CompanyAlvin, the production manager of Paragon Company, wants to select the best supplier of raw materials from among several vendors. He has several choices and has done research into which company provides the best services and products. One company is known to be extremely timely, another is much lower in price but often late in deliveries, and the third is well-known to provide the highest quality products available.According to the rational choice decision-making process, the first step in solving this problem would be to___________.A. choose the best decision process.B. evaluate the decision inputs.C. research the problem.D. identify the problem or opportunity.E. let all of these steps occur simultaneously.

Answers

Answer:

The answer is D. identify the problem or opportunity.

Explanation:

The first step in making the right decision is recognizing the problem or opportunity and deciding to address it, this involves  determining why this decision will make a difference to your customers.

Suppose that France and Germany both produce fish and olives. France's opportunity cost of producing a crate of olives is 4 pounds of fish while Germany's opportunity cost of producing a crate of olives is 10 pounds of fish. By comparing the opportunity cost of producing olives in the two countries, you can tell that __________ has a comparative advantage in the production of olives and _______ has a comparative advantage in the production of fish.

Answers

Answer:

France

Germany

Explanation:

A country has comparative advantage in production if it produces at a lower opportunity cost when compared with other countries.

France has a lower opportunity cost in the production of olives compared to Germany.

It means that Germany would have a lower opportunity cost in the production of fish when compared to France.

I hope my answer helps you

Final answer:

France has a comparative advantage in the production of olives because it gives up less fish to produce them than Germany does. Conversely, Germany has a comparative advantage in fish production as it sacrifices less to produce fish than olives.

Explanation:

Comparative advantage is an economic concept that identifies the goods a country can produce in a cost-effective way compared to other countries. In the scenario where France's opportunity cost for producing one crate of olives is 4 pounds of fish and Germany's opportunity cost for the same crate of olives is 10 pounds of fish, we can deduce that France has a comparative advantage in olive production and Germany has a comparative advantage in fish production since it gives up less to produce the same amount of fish as opposed to olives.

Learn more about Comparative Advantage here:

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Lily Tucker (single) owns and operates a bike shop as a sole proprietorship. In 2019, she sells the following long-term assets used in her business: Asset Sales Price Cost Accumulated Depreciation Building $234,000 $204,000 $56,000 Equipment 84,000 152,000 27,000 Lily's taxable income before these transactions is $194,500. What are Lily's taxable income and tax liability for the year

Answers

Answer:

Tax Liability  = $59,170

Explanation:

Profit on building = 234,000-(204,000-56,000)

Profit on building = $86,000

Loss on equipment = 84,000 - (152,000-27,000)

Loss on equipment = $41,000

Net profit = Profit on building - Loss on equipment

Net profit = $86,000 - $41,000

Net profit = $45,000

Taxable income before transaction = $194,500

Total taxable income = $194,500 + $45,000

Total taxable income = $239,500

According to tax rules

Tax Liability  = ($194,500 - $85,650)28% + 17,442 + ($45,000)(25%)

Tax Liability  = $47,920 + $11,250

Tax Liability  = $59,170

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Apply What You’ve Learned - Managing Credit Cards and ConsumerLoansScenario: You are 30 years old, married, have two children, and household income (take-home pay) of$3,500 per month. Your credit and consumer debt is as follows:_______.• Car loan, 6% interest rate, $10,000 balance, $295 per month• Department store card, 28% interest rate, $600 balance, minimum payment 5% of balance• Discover Card, 12% interest rate, $2,000 balance, minimum payment 2% of balance• VISA Card, 13% interest rate, $3,000 balance, minimum payment 2% of balance• MasterCard 1, 14% interest rate, $4,000 balance, minimum payment 2% of balance• MasterCard 2, 14% interest rate, $0 balance, minimum payment 2% of balance• Gasoline card, 21% interest rate, $300 balance, minimum payment 5% of balanceAssume all credit cards will assess a $35 late fee and ongoing penalty interest of 8% above the currentrate if you miss a payment. Your recent VISA card statement came with a blank cash advance check(for up to $10,000) with terms of 23.99% APR and a fee of 3% if you use it. Your recent MasterCard 2statement came with a balance transfer oFer (up to $4,000) with no fee and 0% APR for 12 months,after which the normal interest rate applies. You recently found an incorrect amount charged on yourVISA card from a store you frequent often. You’d like to come up with a plan to eliminate all of yourcredit card debt.In general, is it a good idea to make only minimum payments on your credit cards?Yes, you can invest the money saved each month to earn interest.No, it will cause your interest rate to go up.No, the small payment requirement is mathematically guaranteed to keep you in debt for manyyears.Yes, this allows you more ±exibility in your cash budget.Assuming you have $1,500 in your budget this month with which to pay down your credit cards, howmuch should you pay on each card?CardInterestrateOutstandingRequired minimumRecommendedbalancepayment(%)payment($)debtrepaymentamountstore cardDiscover Card12%2,0008%VISA Card13%3,00010%MasterCard 114%4,0008%MasterCard 214%010%Gasoline card21%30015%Total$9,900$1,500