Author Question: Refer to Figure 13-12. If the diagram represents a typical firm in the designer watch market, what ... (Read 199 times)

erika

  • Hero Member
  • *****
  • Posts: 522
Refer to Figure 13-12. If the diagram represents a typical firm in the designer watch market, what is likely to happen in the long run?
 
  A) The firms that are making losses will be purchased by their more successful rivals.
  B) Inefficient firms will exit the market and new cost-efficient firms will enter the market.
  C) Firms will have to raise their prices to cover costs of production.
  D) Some firms will exit the market causing the demand to increase for firms remaining in the market.

Question 2

Refer to Table 12-3. What price (P) will Arnie charge and how much profit will he earn if the market price of basketballs is 12.50?
 
  A) Price and profit cannot be determined from the information given.
  B) P = 12.50; profit = 22.50
  C) P = 12.50; profit = 52.50
  D) P = 20; profit = 75.00.



jsm54321

  • Sr. Member
  • ****
  • Posts: 328
Answer to Question 1

D

Answer to Question 2

B



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question


 

Did you know?

Hippocrates noted that blood separates into four differently colored liquids when removed from the body and examined: a pure red liquid mixed with white liquid material with a yellow-colored froth at the top and a black substance that settles underneath; he named these the four humors (for blood, phlegm, yellow bile, and black bile).

Did you know?

The average office desk has 400 times more bacteria on it than a toilet.

Did you know?

Many people have small pouches in their colons that bulge outward through weak spots. Each pouch is called a diverticulum. About 10% of Americans older than age 40 years have diverticulosis, which, when the pouches become infected or inflamed, is called diverticulitis. The main cause of diverticular disease is a low-fiber diet.

Did you know?

In 1844, Charles Goodyear obtained the first patent for a rubber condom.

Did you know?

Each year in the United States, there are approximately six million pregnancies. This means that at any one time, about 4% of women in the United States are pregnant.

For a complete list of videos, visit our video library