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Author Question: Under rate of return regulation, a regulated firm has an incentive to A) use an efficient amount ... (Read 54 times)

jace

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on: Jun 29, 2018
Under rate of return regulation, a regulated firm has an incentive to
 
  A) use an efficient amount of capital.
  B) set its price equal to its marginal cost.
  C) hide losses from bad debts.
  D) inflate its costs.

Question 2

Rate of return regulation is most similar to
 
  A) a marginal cost pricing rule.
  B) an average cost pricing rule.
  C) an average variable cost pricing rule.
  D) an inflation cost pricing rule.


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efwsefaw

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Reply #1 on: Jun 29, 2018
Answer to Question 1

D

Answer to Question 2

B


jace

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Reply 2 on: Jun 29, 2018
:D TYSM

xoxo123

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Reply 3 on: Yesterday
Gracias!

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