What are 2 positives and 1 negative for Market/Capitalist economies and then 2 positives and 1 negative for Command/Socialist economies.

Answers

Answer 1

Answer:

All of the economy types have their own unique characteristics, with some differing a lot, while some are similar. Most of the resources in a market economy are owned by the private sector, though it is very common that the government owns some of the national resources, while in the capitalistic economy, the ownership is entirely on the private sector. IN a socialist or command economy the resources are mostly or entirely owned by the government, with the private sector being minimal or non-existent. IN the traditional economy, on the other hand, the ownership is usually determined by inheritance, and since this economy type is not very fond of changes, the economic status of the people may remain the same for a very long period of time. hope this helps

Explanation:

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Related Questions


Look at the following statements. Choose the one correct answer.

Online bill paying can make a lot of sense.
You cannot overdraw your account with online bill paying.
Checking accounts can (and should) be linked to savings accounts.
Both A and C.

Answers

The following statements should be considered true:

When the bill is paid online so it makes understandable.The checking account should be connected with the saving accounts.

The following information should be considered:

The account could be overdrawn when the bill is to pay online.When the bill is to be paid online so it is understandable.Also, the checking account could be connected with the saving account.

Therefore, we can conclude that both A and C are correct.

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Every morning, the pupils ………………….. in the hall to listen to the Principal.
1) crowded 2) paraded 3) gathered 4) assembled

Answers

Answer:

assembled

Explanation:

hope it helps you mark as brainlist

Yo, when I retire from teaching, I will have accumulated a variety of
supplemental income plans. This illustrates the economic goal known as
_______.

Answers

Answer: economic safety, or something to that effect. Supplemental income plans help you save money, so they would help you have more money in case something happens

If a company would need to increase net working capital to start a potential new project how should it be treated in the project's cash flow analysis? a. The increase in net working capital should be an inflow as part of the project's initial cash flow. b. The increase in net working capital should be an outflow as part of the project's initial cash flow c. The increase in net working capital times (one minus the company's tax rate) should be an outflow as part of the project's initial cash flow. d. The increase in net working capital times (one minus the company's tax rate) should be an inflow as part of the project's initial cash flow.

Answers

Answer:

C

Explanation:

Working capital is the capital used in the daily running of a business.

Working capital = current assets - current liabilities

Working capital is a form of expenditure for the firm.

Thus it is an outflow.

Working capital should be recorded after tax. tax should be subtracted from working capital to determine the eventual outflow

An increase in working capital means more cash is being used in the business. this cash cannot be used elsewhere. this reduces the amount of cash the business can use for other activities. this is why it is an outflow

7. Ethics are.........
a. Inherited.
b. Lawless.
C. Deliberate.
d. Abstract.

Answers

Answer: Either a or c for me Not 100 percent sure on this one sorry

Explanation:

What is a good practice before taking out a student loan?
A. Calculate the simple interest on the principal of the loan.
OB. Calculate the annual balloon payment to make sure you will be
able to afford it.
C. Calculate the total amount of compounded interest to see if you
are getting a good deal.
O D. Calculate the monthly payment to make sure you will be able to
afford it.

Answers

A typical good practice before taking out a student loan are:

calculate the annual balloon payment to make sure you will be able to afford it.calculate the monthly payment to make sure you will be able to afford it.

What is a student loan?

This is a kind of financial aid in form of money borrowed from the government or a private lender in order to pay for college.

The loan given to the student is expected to be paid back later with the interest that builds up over time and such money gotten are usually used for tuition, room and board, books or other fees.

Hence, the typical good practice before taking out a student loan are calculate the annual balloon payment to make sure you will be able to afford it and the monthly payment to make sure you will be able to afford it.

Therefore, the Option B & D is correct.

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Answer: Calculate the monthly payment to make sure you will be able to afford it

Why is fashion designer Kira's Plasinina father important

a. He is a businessman who helped her achieve her goals .

b. He liked her drawings .

c. He funded her ventures.

d. He was her inspiration

Answers

d . he was her inspiration

When does a salesperson generally move in to close a deal?

A. after establishing rapport

B. after qualifying the lead

C. after answering objections

D. after delivering the sales pitch

Answers

After answering objections
So C.

A job​ ________ describes the​ content, environment, and conditions of​ employment, whereas a job​ ________ states the minimum qualifications a person must possess to successfully perform the job.

Answers

A job​ description describes the​ content, environment, and conditions of​ employment, whereas a job​ specification states the minimum qualifications a person must possess to successfully perform the job.

Job analysis is a systematic process of gathering information about the nature of a job, qualities and qualifications needed for the job, physical and mental capabilities needed for the job, duties and responsibilities, physical and mental effort needed to perform a job, necessary skills needed to perform a job, working conditions and environment for a job, in order to describe the job description and job specification, for the hiring and selection of employees, and to improve the job.

Additionally, there are some outside sites that offer helpful advice on job hunting and resume writing; anybody can browse essay writing service reviews to see which companies offer the top services for writing an application essay or a CV.

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Which of the following is a reason for merger and acquisition failures?
a) The acquiring company pays too low a price for the common stock of the target company.
b) Top executives act in their best interests rather than those of the shareholders.
c) The acquired company assets are integrated into the acquiring company business lines.
d) The acquisition leads to value creation.

Answers

One of the reasons for merger and acquisition failures is that Top executives act in their best interests rather than those of the shareholders. They are looking for personal gains instead of the company's interest.

Merger is the process of combining two companies into a single entity. It occurs when two firms, often of comparable size, mutually agree to unite to form a new, bigger organization that combines the abilities of both firms.Mergers and acquisitions (M&A) are common occurrences in the business world. Mergers occur when two companies of comparable size agree to merge into a single new entity.Mergers and acquisitions can fail if there is a lack of trust and cooperation between the firms. Executives must act in the shareholders' best interests when they make a decision on mergers and acquisitions. It is essential that executives set their personal interests aside while making these decisions.

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In which workplace are workers least likely to be injured by heavy equipment? a greenhouse a slaughterhouse a farm a quarry

Answers

The answer is green house.

Answer:

A green house

Explanation:

a slaughterhouse a farm a quarry

use heavy equipment and even tho they have more safety then a green house you could still even die on the job where in a green house the most you could get a a cut from a knife or something.

Please correct me if I'm wrong LOL

choose all that apply. identify the strategies you can use to avoid debt. research the best prices. be disciplined and only buy what you can afford. earn extra income to pay for special purchases. maintain a budget. pay with credit cards, instead of cash. plan how you will spend your money. save.

Answers

To avoid debt, you can identify the strategies that work for you such as researching the best prices before making a purchase, being disciplined and only buying what you can afford, earning extra income to pay for special purchases, maintaining a budget, planning how you will spend your money, and saving. Option A, B, C, D, F, and G are correct.

By comparing prices and finding the best deals, you can save money and avoid overspending. Disciplined and only buy what you can afford  helps you prevent impulse purchases and ensures that you stay within your financial means.

Earning additional income allows you to afford special purchases without going into debt. Creating and sticking to a budget helps you manage your finances and avoid spending more than you can afford.

Planning your expenses in advance helps you allocate your resources wisely and avoid unnecessary debt. Regularly saving money allows you to have a safety net in case of emergencies and helps you avoid relying on debt.

Paying with credit cards instead of cash is not necessarily a strategy to avoid debt, as using credit cards can potentially lead to accumulating debt if not managed responsibly. It's important to pay off your credit card balance in full each month to prevent debt accumulation.

Therefore, option A, B, C, D, F, and G are correct.

choose all that apply. identify the strategies you can use to avoid debt.

A. research the best prices.

B. be disciplined and only buy what you can afford.

C. earn extra income to pay for special purchases.

D. maintain a budget.

E. pay with credit cards, instead of cash.

F. plan how you will spend your money.

G. save.

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in brain development, the period of asymmetrical division lasts about ___ months.

Answers

In brain development, the period of asymmetrical division lasts about 5 months.

Asymmetrical division refers to the type of cell division that occurs when the cells are reproducing. Asymmetrical cell division generates two daughter cells, one of which is identical to the mother cell, while the other has acquired new characteristics.

The neuroblast, a cell that can create many diverse neurons, undergoes a lot of this division. Brain development is the process by which the brain grows and changes during infancy and childhood. The process starts with the fertilization of the egg, which grows into an embryo.

The neural tube develops into the brain and spinal cord as a result of this process. The neurons migrate to their final positions and develop into the appropriate types of cells after the formation of the brain regions.

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A rookie quarterback is negotiating his first nfl contract. his opportunity cost is 10%. he has been offered three possible 4-year contracts. payments are guaranteed, and they would be made at the end of each year. terms of each contract are as follows:

Answers

Answer:

He should accept contract 2 because it has a higher present value.

 Explanation:

The numbers are missing, so I looked for a similar question:

year 1 2 3 4

Contract 1 $3,000,000 $3,000,000 $3,000,000 $3,000,000

Contract 2 $2,000,000 $3,000,000 $4,000,000 $5,000,000

Contract 3 $7,000,000 $1,000,000 $1,000,000 $1,000,000

As his advisor, which contract would you recommend that he accept?

we need to find the present value of each contract:

Contract 1 = $3,000,000/1.1 + $3,000,000/1.1² + $3,000,000/1.1³ + $3,000,000/1.1⁴  = $2,727,273 + $2,479,339 + $2,253,944 + $2,049,040 = $9,509,596

Contract 2 $2,000,000/1.1 + $3,000,000/1.1² $4,000,000/1.1³ + $5,000,000 /1.1⁴  = $1,818,182 + $2,479,339 + $3,005,259 + $3,415,067 = $10,717,847

Contract 3 $7,000,000/1.1 + $1,000,000/1.1² + $1,000,000/1.1³ + $1,000,000/1.1⁴  = $6,363,636 + $826,446 + $751,315 + $683,013 = $8,624,410

Police are investigating the site of a convenience store robbery. The glass door was
broken, and it looks as if several packages of cigarettes are missing from behind the
counter. One police officer notices a man walking past the store and gets an odd
feeling about him. He stops the man and insists on searching his pockets. Inside the
man's pockets, police find several packs of cigarettes. They arrest the man and
charge him with the crime. Unfortunately, the judge throws out the charges. What is
MOST likely the judge's reason for dismissal?
A-The man is under 18 years old.
B-The man did not have money to post bail.
C-The policeman did not have probable cause to search the man.
D-The policeman did not have enough evidence that the man was the robber.

Answers

I would say the answer is D because he assumes the man stole them, didnt even ask for a receipt or confirm with the store clerk if he did buy them.

The MOST likely judge's reason for dismissal is the policeman did not have enough evidence that the man was the robber. Thus the correct option is D.

What is Robbery?

Theft or robbery is defined as the stealing of someone else's property without their permission and using force or a threat of force that exhibits fear in them to perform any action against them.

To prove a crime against someone requires one to submit enough evidence which helps to establish the claim as the justice system is based on evidence not on arguments.

In the given case, police found the activity of the men suspicious as they found cigarette packets from him. There is no evidence that he has stolen the cigarette packets might be possible he has purchased them.

So due to a lack of evidence against the person the Judge dismissal the case. Therefore, option D is appropriate.

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Q09: Business Processes include which of the following? Workflow Controls Timing, Time Fences All choices Data Objectives

Answers

Business processes include workflow controls, timing, time fences, data objectives .Workflow Controls Timing, Time Fences All choices Data Objectives

Business processes refer to the systematic series of activities or steps that organizations undertake to achieve specific objectives. These processes encompass various elements, including workflow controls, which involve defining and managing the flow of tasks and information within the organization. Timing is crucial in business processes as it involves scheduling activities and ensuring they occur at the right time. Time fences are predetermined points in time that establish deadlines or limits for specific activities or decisions. Data objectives involve defining the desired outcomes and goals related to data management and utilization within the business processes.

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Coffee is weighted more than tea in the calculation of the CPI if?
A. coffee is more accessible to the typical consumer.
B. it costs more to produce coffee than it costs to produce tea.
C. consumers buy more coffee than tea. D. the price of coffee is greater than the price of tea.

Answers

Coffee is weighted more than tea in the calculation of the CPI if  consumers buy more coffee than tea. Weights in the CPI are determined by the importance of the good to the consumer. Thus, the correct answer is option C.

What is CPI?

A consumer price index is a price index that measures the cost of a weighted average market basket of consumer goods and services bought by households. Changes in the measured CPI reflect price changes over time.

A CPI is a statistical estimate based on the prices of a representative sample of items whose prices are collected on a regular basis. If consumers buy more coffee than tea, coffee is weighted higher in the CPI calculation. The importance of the good to the consumer determines the weights in the CPI.

Therefore, option C is correct.

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What's your annual income if you're unemployed?

Answers

$46,819

Unemployed Salary

Annual Salary Hourly Wage

Top Earners $57,500 $28

75th Percentile $57,500 $28

Average $46,819 $23

25th Percentile $32,000 $15

(01.04 MC) Graph shows values along the horizontal axis and vertical axis. Coordinates are plotted to indicate two upward-sloping diagonal lines and two downward-sloping diagonal lines. Line 1 is a downward sloping line with point S at 300,300 and Point U at 200, 400. Line 2 is a downward sloping line with point T at 500, 300. Line 3 is an upward sloping line with Point S at 300, 300 intersecting line 1 at S and also intersecting line 2. Line 4 is an upward sloping line with point T at 500, 300 intersecting Line 2 Use the above graph to answer the following question. Which of the following may occur as a result of an increase in the price of iPods? (1 point) a Shift from line one to line two b Move from point S to point U c Shift from line two to line one d Move from point U to point S

Answers

A Move from point S to point U; b Move from point S to point U; c Move from point U to point S; an increase in the quantity required.

What is a good illustration of an equilibrium price?

A store sells 1,000 spinning tops for $10 each from a factory. However, no one is willing to purchase them at that cost. The store reduces the price to $8 in order to increase demand. At that price, 250 customers are interested.

Using the supply and demand framework, we can predict how an event will affect the equilibrium price and quantity using a four-step process.

Let's imagine a single event has occurred to begin thinking about changes in equilibrium price and quantity. It could be a occurrence that has an impact on demand, such as a shift in income, population, preferences, the prices of alternatives or complements, or expectations regarding future prices. Alternately, it could be a occurrence that alters supply, such as a shift in the natural conditions, the prices of inputs, technology, or production-influencing government policies.

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Chan has opened a savings account at a bank near his house. He has been given the option of online access to all transactions from this new account. He now has to decide on a password to secure the online access to his bank account. Which password can Chan use for maximum security?

Answers

Prioritize password length: Secure passwords should have at least 16 characters in order to lessen the possibility of becoming a victim of a data leak or hack. So, for maximum security, Chan can use the password (C) 123456chanbankacc!.

What do we mean by password security?

Put password length first: To reduce the likelihood of being a victim of a data breach or cyberattack, secure passwords should be at least 16 characters long.

Do not reuse passwords: Credential stuffing attacks, which are regularly exploited by hackers, put you in danger if you use the same password for many accounts.

The first line of security against unwanted access to your computer and personal information is provided by passwords.

Your computer will be more secure from hackers and bad malware if your password is strong.

Strong passwords should be used for every account on your computer.

Try to include both upper- and lowercase characters, numerals, and symbols.

The use of dictionary terminology should be avoided. Swimming1 is an example of a bad password.

Therefore, prioritize password length: Secure passwords should have at least 16 characters in order to lessen the possibility of becoming a victim of a data leak or hack. So, for maximum security, Chan can use the password (C) 123456chanbankacc!.

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Complete question:
Chan has opened a savings account at a bank near his house. He has been given the option of online access to all transactions from this new account. He now has to decide on a password to secure online access to his bank account. Which password can Chan use for maximum security?

A. chan123

B. chan1234

C. 123456chanbankacc!

D. 12345chan

What are two goals for a firm that implements an effective crm program?.

Answers

The two major goals for a firm that implements an effective CRM program are;

To capture new leads and move them through the sales process.To boost productivity and lower the overall costs of marketing and sales.

An effective CRM program;

The overall business goals of CRM systems are to help organizations by means of the following;

1. Capture new leads and move them through the sales process

2. Support and manage relationships with current customers to maximize their lifetime value to the company

3. Boost productivity and lower the overall costs of sales and marketing.

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breilfy explain the differenc between discentionary and mandatory government spending

Answers

Answer:

The difference between discentionary and mandatory government spending is whether spending is dictated by prior law or voted on in the annual appropriations process.

Explanation:

Discentionary spending is money formally approved by the government during the appropriations process each year.

Mandatory spending is based on laws previously enacted that dictate the money budgeted for spending each year.

Discretionary government spending refers to a type of spending where the spending budget is subject to change yearly as determined by Congress, while mandatory government spending refers to the portion of the federal budget that is required by law and does not require annual congressional approval.

What is government spending?

The term government spending refers to the use of public funds by a government to pay for various goods, services, and programs that are intended to benefit society.

There are basically two type types of government spending:

discretionarymandatory

For example, spending on things like defense, education, and transportation constitutes discretionary spending as the amount to be spent each year can change based on the discretion of Congress. While spending on things like social security and medicare constitutes mandatory spending as they require no congressional approval.

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Amazon collects massive amounts of data about how, when, why, where, and what people buy, and then analyzes those data to better serve its customers. This activity refers to

Answers

Marketing analytics involves Amazon collects massive amounts of data about how, when, why, where, and what people buy, and then analyzes those data to better serve its customers.

What is marketing analytics?

It is the study of data gathered through campaigns, awareness and purchase of goods in order to discern or know the performance of the various marketing activity.

Amazon is acting as marketing analytics.

Therefore, marketing analytics involves Amazon collecting massive amounts of data about how, when, why, where, and what people buy, and then analyzes those data to better serve its customers.

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Which of the following is a feature of seed financing? O a. The managerial involvement is very high. The company has to start up all operations Ob Money is used to finance research: The company needs money to finance the development C. Money is used to pay off debtors.

Answers

The correct option is: a. The managerial involvement is very high. The company has to start up all operations .

Seed capital is the cash raised to begin developing a thought for a business or another item.

This funding for the most part takes care of just the expenses of creating a proposition.

In the wake of securing seed financing, startups might approach financial speculators to obtain extra financing.

Some seed capital might come from angel investors — proficient investors who have a high total assets.

A company that is initially starting out may have restricted admittance to funding and different sources. Banks and different investors might be reluctant to invest in light of the fact that it has no set of experiences or laid out history, or any proportion of accomplishment. Many startup executives frequently go to individuals they know for initial investments — loved ones. This financing is alluded to as seed capital.

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The epicurean society is holding its annual election for president. the three candidates are​ a, b, and
c. twentytwenty percent of the voters like upper bb the most and upper aa the least. forty forty percent of the voters like upper aa the most and upper cc the least. of the remaining 234234 prefer upper cc to upper bb and upper bb to upper aa​, and 702702 prefer upper cc to upper aa and upper aa to upper bb. write out the preference schedule for this election.

Answers

Answer:

b

Explanation:

What Came first, the color orange or the fruit?

Answers

The citrus definitely got named first. The earliest recorded use of orange the fruit in English is from the 1300s and came to us from the Old French orenge, adapted from the Arabic nāranj, from the Persian nārang, from the Sanskrit nāranga (“orange tree”)

Answer:

the fruit

Explanation:

The citrus definitely got named first. The earliest recorded use of orange the fruit in English is from the 1300s

The semi automatic lathe is 10000$ and the automatic lathe is is 100000 in the case what is the best among three options depending on the part quantity range

Answers

When deciding between a semi-automatic and automatic lathe, the best option depends on the part quantity range. If the production volume is low and the parts are relatively simple, then the semi-automatic lathe may be the more cost-effective choice.

The initial investment cost is significantly lower, and it requires less operator training and maintenance.

However, if the production volume is high and the parts are complex, then the automatic lathe may be the better option. It can handle larger volumes and more intricate parts with minimal operator intervention. While the upfront investment cost is much higher, it may be more efficient and cost-effective in the long run.

Ultimately, it is important to consider the specific needs of your production process and weigh the costs and benefits of each option. Consult with industry experts and evaluate the potential return on investment before making a decision.
To determine the best option among the semi-automatic lathe and the automatic lathe based on part quantity range, you need to consider the cost of each machine and their production capabilities. Here's a concise comparison:

1. Semi-automatic lathe ($10,000): This machine is more cost-effective upfront, making it suitable for small-scale manufacturing or producing lower part quantities. However, it might require more manual intervention and may not be as efficient in terms of production time.

2. Automatic lathe ($100,000): This machine is more expensive upfront, but it offers higher production efficiency, as it can produce parts with minimal manual intervention. This makes it suitable for large-scale manufacturing or when higher part quantities are required.

To choose the best option, consider the following factors:
- Production requirements: If you need to produce a high quantity of parts quickly, the automatic lathe may be the better choice.
- Budget constraints: If you have a limited budget, the semi-automatic lathe might be more suitable.
- Return on investment (ROI): Calculate the ROI for both machines based on your production needs and costs, and select the option that offers the best ROI over time.

In conclusion, the best choice depends on your production requirements, budget, and expected ROI. For lower part quantities, the semi-automatic lathe may be more suitable, while the automatic lathe is better for higher part quantities or more significant production demands.

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Assume that two companies (C and D) are duopolists that produce identical products. Demand for the products is given by the following linear demand function: P=500−Qc−Qd where Qc and Qd are the quantities sold by the respective firms and P is the selling price. Total cost functions for the two companies are: TCc=25,000+100Qc and TCd=20,000+125Qd
Assume that the firms act independently as in the Cournot model (i.e., each firm assumes that the other firm's output will not change).
a. Determine the long-run equilibrium output and selling price for each firm.
b. Determine the total profits for each firm at the equilibrium output found in Part (a).

Answers

To determine the long-run equilibrium output and selling price for each firm in the Cournot duopoly model, we need to find the quantities that maximize each firm's profit. We can follow these steps:

Step 1: Calculate the reaction function for each firm.

In the Cournot model, each firm assumes that the other firm's output will not change. Therefore, each firm determines its optimal quantity based on this assumption.

For Firm C:

Profit (πc) = Revenue (Pc * Qc) - Total Cost (TCc)

πc = (500 - Qc - Qd) * Qc - (25,000 + 100Qc)

To find the reaction function for Firm C, we differentiate the profit function with respect to Qc and set it equal to zero:

dπc / dQc = 0

(500 - 2Qc - Qd) - 100 = 0

400 - 2Qc - Qd = 0

Qc = (400 - Qd) / 2

Similarly, for Firm D:

Profit (πd) = (500 - Qc - Qd) * Qd - (20,000 + 125Qd)

Differentiating the profit function with respect to Qd and setting it equal to zero:

dπd / dQd = 0

(500 - Qc - 2Qd) - 125 = 0

375 - Qc - 2Qd = 0

Qd = (375 - Qc) / 2

Step 2: Solve the reaction functions simultaneously to find the equilibrium quantities.

Substitute the expression for Qc from the reaction function of Firm C into the reaction function of Firm D:

Qd = (375 - [(400 - Qd) / 2]) / 2

Solving this equation will give us the value of Qd. Let's simplify the equation:

Qd = (375 - 400 + Qd) / 2

2Qd = -25 + Qd

Qd = 25

Substitute the value of Qd back into the reaction function of Firm C to find Qc:

Qc = (400 - 25) / 2

Qc = 187.5

Step 3: Calculate the equilibrium selling price (P).

Using the demand function, P = 500 - Qc - Qd, we substitute the equilibrium quantities:

P = 500 - 187.5 - 25

P = 287.5

Therefore, the long-run equilibrium output and selling price for each firm are:

Firm C: Qc = 187.5, P = 287.5

Firm D: Qd = 25, P = 287.5

b. To determine the total profits for each firm at the equilibrium output, we substitute the equilibrium quantities into the respective total cost functions.

For Firm C:

Total profit (πc) = (Pc * Qc) - TCc

πc = (287.5 * 187.5) - (25,000 + 100 * 187.5)

For Firm D:

Total profit (πd) = (Pd * Qd) - TCd

πd = (287.5 * 25) - (20,000 + 125 * 25)

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Renee Wilson has a life insurance policy where the payments to beneficiaries get smaller as time passes. What type of term life insurance does Renee likely have

Answers

Decreasing term life policy is the life insurance policy where the payments to beneficiaries get smaller as time passes. Declining term insurance has cheaper rates than other types of term life insurance.

What is life insurance?

Life insurance is a contract between the person and an insurance provider. In return of the insurance payment the insurance company will pay the beneficiaries of huge amount.

The lump-sum amount is also called the death benefit amount which will get at the time of death of the insurance holder. The person's beneficiaries can spend the money on whatever they like.

Thus, Decreasing term life policy is the life insurance, where payments decrease as the time passes.

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transferring products or services at market prices usually leads to optimal decisions when: a. the market for the intermediate product is perfectly competitive. b. the interdependencies of the subunits are minimal c. there are no additional costs or benefits to the company in buying or selling the external market. d. all the answers above are correct.

Answers

Transferring products at market prices typically leads to optimal decisions, the market for the intermediate product is perfectly competitive, interdependencies of the subunits are minimal, there are no additional costs or benefits to the company in buying or selling. Correct answer is option D



In a perfectly competitive market numerous buyers and sellers interact to determine the market price for a product or service. These market participants act independently and rationally, leading to an efficient allocation of resources. Thus, decisions made based on market prices in a perfectly competitive market are likely to be optimal, as they reflect the true value of the goods or services exchanged.


Minimal interdependencies among subunits imply that decisions made by one subunit will not significantly impact the performance or costs of other subunits. In such a scenario, subunits can make independent and informed decisions based on market prices, leading to optimal outcomes for the company as a whole



Lastly, the absence of additional costs or benefits when buying or selling in the external market ensures that the company does not face any hidden or unaccounted costs, which might otherwise distort their decision-making process. By relying solely on market prices for transferring products or services, the company is better positioned to make optimal decisions that maximize overall efficiency and profitability. Correct answer is option D

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