Author Question: Purchasing a profitable supplier increases profits only if a. You pay equal to the company's ... (Read 59 times)

karlynnae · **on:** Jul 1, 2018

Purchasing a profitable supplier increases profits only if
a. You pay equal to the company's discounted future profits
b. You pay higher than the company's discounted future profits
c. You pay lower than the company's discounted future profits
d. None of the above

Question 2

What is a better pricing strategy for the monopolist? At this price, what are the total profits to the monopolist?
a. Bundle the goods at 4,500 . Profits=9,000
b. Bundle the goods at 6,000 . Profits=12,000
c. Bundle the goods at 5,000 . Profits=10,000
d. Bundle the goods at 9,500 . Profits=19,000