This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Assume that a multinational company produces components in country A and ships them to a subsidiary ... (Read 109 times)

karateprodigy

  • Hero Member
  • *****
  • Posts: 550
on: Jul 1, 2018
Assume that a multinational company produces components in country A and ships them to a subsidiary in country B. In order to increase its profits
 
  A) the company should charge a high transfer price for the components if income taxes in country B are higher than in country A.
  B) the company should charge a low transfer price for the components if income taxes in country B are higher than in country A.
  C) the company should charge a high transfer price for the components if income taxes in country A are higher than in country B.
  D) None of the above

Question 2

There are 10 identical internet service providers (ISPs) in a city serving a market demand with an elasticity of -1.5. The elasticity of supply for each firm is 3.0. The elasticity of demand faced by an individual ISP is
 
  A) -42.
  B) -15.
  C) -1.5.
  D) -27.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

wfdfwc23

  • Sr. Member
  • ****
  • Posts: 338
Reply #1 on: Jul 1, 2018
Answer to Question 1

A

Answer to Question 2

A


karateprodigy

  • Member
  • Posts: 550
Reply 2 on: Jul 1, 2018
Excellent

amynguyen1221

  • Member
  • Posts: 355
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

The Centers for Disease Control and Prevention (CDC) was originally known as the Communicable Disease Center, which was formed to fight malaria. It was originally headquartered in Atlanta, Georgia, since the Southern states faced the worst threat from malaria.

Did you know?

Anti-aging claims should not ever be believed. There is no supplement, medication, or any other substance that has been proven to slow or stop the aging process.

Did you know?

Although not all of the following muscle groups are commonly used, intramuscular injections may be given into the abdominals, biceps, calves, deltoids, gluteals, laterals, pectorals, quadriceps, trapezoids, and triceps.

Did you know?

The lipid bilayer is made of phospholipids. They are arranged in a double layer because one of their ends is attracted to water while the other is repelled by water.

Did you know?

It is believed that humans initially contracted crabs from gorillas about 3 million years ago from either sleeping in gorilla nests or eating the apes.

Components of E.coli Components of E.coli
Page from a copy of Nizami's Khamseh (Quintet) illustrating a princely country feast, Persian, ... Page from a copy of Nizami's Khamseh (Quintet) illustrating a princely country feast, Persian, ...
Active fuel management includes many different components and changes to the oiling system, which ... Active fuel management includes many different components and changes to the oiling system, which ...
Effect of an Increase in R&D in the Follower Country on the Steady State Effect of an Increase in R&D in the Follower Country on the Steady State
Assume z is a standard normal random variable. What is the value of z if the area to the right ... Assume z is a standard normal random variable. What is the value of z if the area to the right ...
Sternberg's theory postulates three components of love Sternberg's theory postulates three components of love
Video: Uterine (menstrual) cycle - phases

For a complete list of videos, visit our video library