the ________ stipulates that an identical product must have an identical price in all countries when the price is expressed in a common currency.
Answers
The law of one charge stipulates that an same product need to have an equal price in all countries while the rate is expressed in a common currency.
This principle is based totally on the belief that items ought to sell for the identical rate in special markets as soon as the trade charge is taken into consideration. In different phrases, if the exchange price among two currencies is taken into consideration, the rate of an amazing have to be the identical in both nations.
But, in practice, the regulation of one rate may not always keep due to factors along with transportation expenses, change barriers, and variations in purchaser possibilities. although, the law of one price provides a beneficial benchmark for assessing international rate differentials.
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The Law of One Price stipulates that an identical product must have an identical price in all countries when the price is expressed in a common currency. A single currency that is accepted by many different nations or areas is known as a common currency.
The euro, which is used by the nations that make up the European Union, is the most well-known illustration of a shared currency. Benefits of a shared currency include improved economic integration, lower transaction costs, and increased commerce. But there may be drawbacks, such as less control over monetary policy and heightened susceptibility to economic shocks. The Eastern Caribbean dollar, which is used by multiple Caribbean nations, and the West African CFA franc are two other instances of shared currencies. A currency is a type of money that is widely accepted in a certain nation or area. It can be obtained physically, as in the case of coins and banknotes, or digitally, as in the case of electronic transfers and internet transactions.
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Related Questions
List two one-time expenses that most business have
Answers
1. Start-up costs: These are the expenses that a business incurs when it is first starting out. They can include costs associated with setting up the business, such as purchasing equipment, leasing a space, and hiring employees.
2. Capital expenditures: These are expenditures that are made to acquire or improve long-term assets, such as real estate, equipment, or software. These are typically one-time expenses, although they may be spread out over a period of time.
Other one-time expenses that businesses may incur include legal fees, insurance premiums, and taxes.
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which of the following represents the first step in the decision making process? analyze the alternatives. generate multiple alternatives. recognize that a decision needs to be made. select an alternative. evaluate the effectiveness of selected alternative
Answers
Option d: Recognize that a decision needs to be made is the first step in the decision-making process.
The decision-making process is how information is gathered, alternatives are evaluated, and final decisions are made.
First step of decision-making process is Identify necessary decisions
Ask yourself a few questions when making a decision.
What is the problem you need to solve?
What goals do you want to achieve by making this decision?
How do you measure success?
All of these questions are common goal-setting techniques that will help you find possible solutions in the end. If the problem is well defined, you will have more information to make the best decision to solve the problem.
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Complete question:
Which of the following represents the first step in the decision making process?
Evaluate the effectiveness of selected alternative
Select an alternative.
Analyze the alternatives.
Recognize that a decision needs to be made.
Generate multiple alternatives.
_____ refer(s) to a decision bias influenced by the way in which a problem or decision alternative is phrased or presented
Answers
Framing effect refer(s) to a decision bias influenced by the way in which a problem or decision alternative is phrased or presented.
The framing effect is a cognitive bias where people's choices are influenced by the way options are presented to them. It occurs when people react differently to a choice depending on how it is framed or presented. For example, the same decision can be presented as a gain or a loss, and people tend to be more risk-averse when it is framed as a loss, and more risk-seeking when it is framed as a gain.
The framing effect can be influenced by various factors such as the context, the language used, and the presentation format. Understanding the framing effect can help individuals make more rational decisions by being aware of the way choices are presented to them.
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use the following appropriate amounts to calculate net income: revenues, $11,600; liabilities, $4,200; expenses, $3,800; assets, $17,600; dividends, $1,900.
Answers
The net income amount is $3,600.
For calculating the net income, we need to find the difference between the revenues and the total expenses incurred. Here,
Total expenses = Liabilities + Expenses
Total expenses = $4,200 + $3,800 ⇒ $8,000
Now,
Net Income = Revenues - Total Expenses
Net Income = $11,600 - $8,000
Net Income = $3,600
Hence, the net income is $3,600
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Thomas has a loan with a nominal interest rate of 6. 4624% and an effective interest rate of 6. 4715%. Which of the following must be true? I. The loan has a duration greater than one year. II. The interest on Thomas’s loan is compounded more than once yearly. III. The economy was strong when Thomas took out the loan. A. I and II b. II only c. I and III d. III only.
Answers
The effective interest rate has been higher than the nominal interest rate because compounding is performed more than once yearly. Hence, statement II is true. Thus, option B is correct.
The nominal interest rate has been the percentage interest paid by the borrower to the principal amount before inflation. The effective interest rate has been the actual return or the rate at the time of compounding the amount of the loan.
Effective interest rateThomas has an effective interest rate of 6.4715%, while the nominal interest rate has been 6.4624%. The effective interest rate has been higher than the nominal interest rate for Thomas.
This has been accomplished when the interest has been paid frequently or semi quarterly, resulting in the compounding more than once yearly. Hence, statement II is true. Thus, option B is correct.
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Answer:B
II only
Explanation:
real
A 20-year bond was issued 5 years ago for RM900, and coupon rate is 5% annually. The current market price of the bond is RM850. Question: - Determine cost of debt at the time of issuance. ___% - Determine the current cost of debt. ___%
Answers
A 20-year bond was issued 5 years ago for RM900, and coupon rate is 5% annually. The current market price of the bond is RM850. Question: - Determine cost of debt at the time of issuance. 4.44 % - Determine the current cost of debt. 6.35%
Determine cost of debt at the time of issuance and current cost of debt.At the time of issuance, the cost of debt can be calculated using the following formula:
Cost of Debt = (Coupon Payment + ((Face Value - Current Market Price) / Years to Maturity)) / ((Face Value + Current Market Price) / 2)
Where,Coupon Payment = 5% of RM900 = RM45
Face Value = RM900
Current Market Price = RM900
Years to Maturity = 20 - 5 = 15
Cost of Debt = (45 + ((900 - 900) / 15)) / ((900 + 900) / 2)= 4.44%
Therefore, the cost of debt at the time of issuance is 4.44%.
The current cost of debt can be calculated using the following formula:
Current Cost of Debt = (Coupon Payment + ((Face Value - Current Market Price) / Years to Maturity)) / ((Face Value + Current Market Price) / 2)
Where,Coupon Payment = 5% of RM900 = RM45
Face Value = RM900Current Market Price = RM850
Years to Maturity = 20 - 5 = 15
Current Cost of Debt = (45 + ((900 - 850) / 15)) / ((900 + 850) / 2)= 6.35%
Therefore, the current cost of debt is 6.35%.
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A job search should be treated like a full time job.
True or False
Answers
Answer:True in some cases
Explanation:
True.. it could be easy to prevent frequent turnover of employees and a pleasant job satisfaction
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if the firm's rate of return on its assets is equity will as the firm uses a. less; decrease; less debt. b. greater; decrease; more c. greater; increase; more d. less; increase; more than the cost of borrowing, then the owners' rate of return on
Answers
If the firm's rate of return on its assets is greater than the cost of borrowing, then the owners' rate of return on equity will increase as the firm uses more debt.
This is because debt financing typically has a lower cost of capital than equity financing, which can increase the overall return on investment for the owners. However, if the firm uses too much debt, it may become more risky and potentially default on its debt obligations, which could negatively impact the owners' rate of return. Therefore, it is important for the firm to find the optimal balance between debt and equity financing to maximize the owners' rate of return.
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An open market purchase will cause Question 32 options: Borrowed reserves to rise and the Fed Fund Rate to fall Nonborrowed reserves to rise and the Fed Fund Rate to fall Nonborrowed reserves to fall and the Fed Fund Rate to rise Borrowed reserves to fall and the Fed Fund Rate to rise
Answers
Answer:
Non Borrowed reserves to rise and the Fed Fund Rate to fall
Explanation:
An open market purchase is when the Central bank buys securities from banks. This increases money supply, increases the federal funds rate to fall and increases reserves
Borrowed reserves are monies borrowed by banks from the central bank to maintain required reserves.
Which of the following is true of myopic behavior? Group of answer choices Budgetary measures alone can prevent myopic behavior. Short-term nonfinancial measures contain myopic behavior. It occurs when a manager takes actions that improve budgetary performance in the short run but bring long-run harm to the firm. Buying cheaper materials of the same quality to decrease the amount spent on raw materials results in myopic behavior. Increased spending on research and development is a possible example of myopic behavior.
Answers
Among the given options, the statement "It occurs when a manager takes actions that improve budgetary performance in the short run but bring long-run harm to the firm" accurately describes myopic behavior.
Myopic behavior occurs when managers prioritize short-term goals and actions that may have negative consequences in the long run. This behavior can be driven by the desire to achieve short-term targets or meet immediate financial goals, often at the expense of long-term sustainability and growth.
Budgetary measures alone cannot prevent myopic behavior as they typically focus on short-term financial targets and may not consider broader strategic objectives or the long-term implications of managerial decisions.
While short-term nonfinancial measures can contain myopic behavior, it is not inherently present in all nonfinancial measures. The specific design and use of nonfinancial measures determine their potential for myopic behavior.
Buying cheaper materials of the same quality to reduce costs does not necessarily result in myopic behavior unless it compromises the long-term quality or reputation of the products or services. Myopic behavior is more about the trade-off between short-term gains and long-term value.
Increased spending on research and development is not an example of myopic behavior. Investing in research and development can be a strategic decision aimed at fostering innovation, improving products, and securing long-term competitive advantages.
Therefore, the statement that accurately describes myopic behavior is "It occurs when a manager takes actions that improve budgetary performance in the short run but bring long-run harm to the firm." This captures the essence of myopic behavior, emphasizing the short-term focus and potential negative consequences for long-term success.
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four tire manufacturers decide to form a cartel. all four manufacturers agree to restrict their total output to 400 tires and charge $100 per tire. suppose one tire manufacturer decides to cheat by producing an additional 80 tires and the price drops to $80. what is the marginal revenue from cheating?
Answers
The marginal revenue from cheating is -$20 per tire.
To determine the marginal revenue from cheating in this situation, we need to consider the change in total revenue after producing the additional 80 tires.
Initially, the total revenue is 400 tires * $100/tire = $40,000. After cheating, the total output is 480 tires (400 + 80) at $80/tire. So, the new total revenue is 480 tires * $80/tire = $38,400.
The cheating manufacturer produced an additional 80 tires at $80/tire, resulting in a revenue of 80 tires * $80/tire = $6,400.
To find the marginal revenue, we subtract the initial total revenue from the new total revenue, and then divide by the change in quantity:
Marginal revenue = ($38,400 - $40,000) / 80 tires = -$1,600 / 80 = -$20 per tire.
So, the marginal revenue is -$20 per tire.
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Tickets to a fundraiser are $14 if purchased ahead of time and $25 if purchased at the door. The total amount raised from all ticket sales was $625. If eleven tickets were purchased at the door, how many tickets were purchased ahead of time?.
Answers
($14)(25)=$350
($25)(11)=$275
$350+$275= $625
Why is it important for o evaluate your advertising campaign when it is complete?
Answers
Answer:
A well-documented evaluation of your campaign builds credibility and respect. It helps determine if your ads are hitting the target audience, and what are their opinions and feedback on it.
Explanation:
The evaluation of your advertisement campaign helps in enhancing transparency and the report showcases the achievements you have attained during this and also helps showcase the entire campaign to every key stakeholder. It helps in building trust across the various departments in the company and enables them to measure the strengths and weaknesses of the campaign, in order to adjust for future campaign drives.
how to finf out how long something will take if you know the initial cost and how much minimum monthly amount your paying and how much interest
Answers
To calculate the amount of principal you will pay in the first month, deduct the interest from your fixed monthly payment.
If you have the necessary information, you can easily compute loan interest if a lender employs the simple interest technique. To determine the total cost of interest, you will need the principal loan amount, the interest rate, and the length of time you have to repay the loan.
Although the monthly payment is set, the interest you'll pay each month will depend on the amount of remaining principal. So, provided the lender doesn't impose prepayment penalties, paying off the loan early could result in significant interest savings.
Lenders make money when you take out a loan by charging interest. The cost of borrowing money from a lender is interest.
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5. Understanding the IRR and NPVThe net present value (NPV) and internal rate of return (IRR) methods of investment analysis are interrelated and are sometimes used together to make capital budgeting decisions. Consider the case of Cold Goose Metal Works Inc. :Last Tuesday, Cold Goose Metal Works Inc. Lost a portion of its planning and financial data when both its main and its backup servers crashed. The company’s CFO remembers that the internal rate of return (IRR) of Project Lambda is 11. 3%, but he can’t recall how much Cold Goose originally invested in the project nor the project’s net present value (NPV). However, he found a note that detailed the annual net cash flows expected to be generated by Project Lambda. They are:YearCash FlowYear 1 $2,400,000Year 2 $4,500,000Year 3 $4,500,000Year 4 $4,500,000The CFO has asked you to compute Project Lambda’s initial investment using the information currently available to you. He has offered the following suggestions and observations:• A project’s IRR represents the return the project would generate when its NPV is zero or the discounted value of its cash inflows equals the discounted value of its cash outflows—when the cash flows are discounted using the project’s IRR. • The level of risk exhibited by Project Lambda is the same as that exhibited by the company’s average project, which means that Project Lambda’s net cash flows can be discounted using Cold Goose’s 7% WACC. Given the data and hints, Project Lambda’s initial investment is __________ , and its NPV is ____________ (rounded to the nearest whole dollar). A project’s IRR will ______ if the project’s cash inflows increase, and everything else is unaffected
Answers
The initial investment of Project Lambda was $9,325,350.56.
The NPV of Project Lambda is $1,514,304.22,
How to solve for initial investmentPV = A / (r * (1 + r)^n - 1)
where PV is the present value, A is the annual cash flow, r is the discount rate (which is the project's IRR), and n is the number of years.
Using the given annual cash flows and the project's IRR of 11.3%, we can calculate the present value of the annuity as follows:
PV = $2,400,000 / (0.113 * (1 + 0.113)^1 - 1) + $4,500,000 / (0.113 * (1 + 0.113)^2 - 1) + $4,500,000 / (0.113 * (1 + 0.113)^3 - 1) + $4,500,000 / (0.113 * (1 + 0.113)^4 - 1)
PV = $9,325,350.56
Therefore, the initial investment of Project Lambda was $9,325,350.56.
To calculate the NPV of the project, we can use the formula:
NPV = PV of cash inflows - Initial investment
Using the present value of the annuity calculated above as the PV of cash inflows, we can calculate the NPV as follows:
NPV = $2,400,000 / (1 + 0.07)^1 + $4,500,000 / (1 + 0.07)^2 + $4,500,000 / (1 + 0.07)^3 + $4,500,000 / (1 + 0.07)^4 - $9,325,350.56
NPV = $1,514,304.22
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Why might a professional lose his or her credential?
The professional does something that is illegal.
The professional quits a job voluntarily.
The professional goes on too many vacations.
The professional does not attend mandatory continuing education programs.
The professional has complaints filed against him or her.
Answers
Answer:
it is A, D, and E
Explanation:
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Answer:
a d e
Explanation:
A conservative financing plan involvesSelect one:a. heavy reliance on debt.b. heavy reliance on equity.c. high degree of financial leverage.d. high degree of combined leverage.
Answers
A conservative financing plan involves heavy reliance on debt. Hence option (a) is the answer.
What is a conservative working capital financing policy?Conservatism in investing places an emphasis on minimizing risk while maintaining the purchasing power of one's capital. The majority of low-risk securities, including treasuries and other high-quality bonds, money markets, and cash equivalents, will often be given a relatively high allocation in conservative investment plans. To keep the company's assets and obligations in balance and to protect against unforeseen issues, a conservative working capital policy is typically implemented.
Accounting conservatism in investing places an emphasis on minimizing risk while maintaining the purchasing power of one's capital. The majority of low-risk securities, including Treasuries and other high-quality bonds, money markets, and cash equivalents, will often be given a relatively high allocation in conservative investment plans.
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Which type of worker would most likely be able to begin work after receiving a high school degree and completing
an on-the-job apprenticeship?
A. a miner
B. a forester
C. a conservationist
D. a park worker
Answers
firms in a small economy planned that inventories would grow over the past year by $500,000. over that year, inventories did grow by exactly $500,000. this implies that
Answers
Given the situation described in the question, this implies that the firm's "aggregate expenditure that year equal to the GDP that year."
This is evident in the fact that the expected or estimated inventories sum equals the actual inventories sum.
Note business or firm's inventories are included when measuring the GDP.
This is because the unsold inventories of firms which is resulted from the firms producing more than they sell, increases GDP. While when firms sell Inventories more than they produce, it leads to a reduction in GDP.
Hence, in this case, it is concluded that the correct answer to the question is "aggregate expenditure that year equal to the GDP that year."
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Which industry is the second-largest employer of teens
and young people?
What percentage of employed teens are employed by
the government?
I got it
is retail trade
and 7%
Answers
Answer:
I. Retail industry
ii. 7%
Explanation:
Retail industry is the second largest employers of teen and young people next to health sector which is the largest employer.
Retailing involves buying goods either from the producers or wholesaler and selling them to the final consumers. Some services are also offered in these retailing such as call center representative, those who work in innovation lab. etc
In the United States, about 7% of teens and young people are in the employment of government , while retail industry is the largest employer of teen and young people because it provides flexibility and also do not involve much academic qualifications.
Example of these retail jobs are those who work in call center, sales representatives and those who works in stores.
Answer:
Retail Trade
7%
Explanation:
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Alan Patel is a college student living alone in a campus apartment. He finished cooking dinner when his friends text him to join them at the dining hall on campus for dinner. He now has to decide whether to eat the dinner he prepared or walk to campus to meet his friends at the dining hall. Alan should consider all the following costs when making this decision EXCEPT the time it will take to go meet his friends and walk back. amount of money he will spend at the dining hall. money spent on the groceries he used to cook dinner. value he places on not eating dinner alone.
Answers
With the exception of the money spent just on items he used to prepare dinner, Alan should take into account all of the following expenses while making this choice.
Explain the term decision making?Determining a decision, acquiring data, and weighing potential solutions are all steps in the decision-making process.You can make more careful, intelligent decisions by organizing pertinent information and outlining alternatives by following a step-by-step decision-making process.This strategy raises the likelihood that you'll select the one that will satisfy you the most.For the stated question:
College student Alan Patel resides alone in an apartment on campus. When his pals texted to ask him come join them for supper in the university dining hall, he had just finished preparing. He must now choose between eating the meal he cooked and walking to school to meet his buddies there at dining hall.Thus, with the exception of the money spent just on items he used to prepare dinner, Alan should take into account all of the following expenses while making this choice.
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Which economic system is based on no private property and wealth is distributed by the government?
Answers
Socialism is a public or community ownership of the means of production-based economic and political system that priorities economic equality.
In a free enterprise system, there are few limits on how businesses can be owned and operated in terms of trade and governmental interference.
Socialists contend that since everyone makes a contribution to society through their labour, everyone should gain from it. Different socialists value ownership or control to varying degrees. While some think that most land and natural resources should be owned by the government, others think that small companies should be individually owned. Still others, mostly the wealthy, think that socialism can be achieved by simply taxing the wealthy more heavily.
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Next Saturday, best friend, Sol, and I will have separate acts in a citywide talent contest. But we've just made a _____ with each other that will help us from feeling jealous if one of us wins and one loses. We've decided that if one of us wins, that person will share the prize money with one another.
Answers
Answer:
truce
Explanation:
Here is the full question :
Next Saturday, my best friend. Sol and I will have separate acts in a citywide talent contest. But
we've just made a _____with each other that will help us from feeling jealous if one of us
wins and one loses. We've decided that if one of us wins that person will share the prize money
with the other one.
Which word BEST completes the sentence?
truce
alliance
treaty
pact
A truce is an agreement between people to stop fighting for a limited.
Sol and his best friend made an agreement that would stop them from fighting
A pact is an agreement between people
Answer:
Truce (that the correct one).
Explanation:
Fine print contains what? A. Only stuff lawyers require B. A bunch of useless info C. Clear language designed to be easy to read D. Virtually all of the important info in an agreement. Which is it?
Answers
Answer:
D
Explanation:
A fine print is a term that refers to the business usage of the terms and the conditions.
Have important information regarding the company or the documents that are placed in the footnotes and they are essential for entering into an agreement.Hence the option D is correct.
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Suppose the Federal Reserve sets the reserve requirement at 14%, banks hold no excess reserves, and no additional currency is held, Instructions: In part a, round your answer to 2 decimal places. In part b, enter your answer as a whole number . a. What is the money multiplier? COM b. How much will the total money supply increase by the Federal Reserve increases reserves by $300 millon? milion c. When the Federal Reserve increases the reserve requirement, the money multiplier will (Click to select and an increase in reserves will have (Click to select effect on the money supply
Answers
a. The money multiplier can be calculated using the formula: Money Multiplier = 1 / Reserve Requirement. In this case, the reserve requirement is 14%, so the money multiplier would be 1 / 0.14 = 7.14 (rounded to two decimal places).
b. To determine how much the total money supply will increase when the Federal Reserve increases reserves by $300 million, we can use the formula: Change in Money Supply = Change in Reserves × Money Multiplier. In this case, the change in reserves is $300 million and the money multiplier is 7.14. So, the change in money supply would be $300 million × 7.14 = $2,142 million (or $2.142 billion).
c. When the Federal Reserve increases the reserve requirement, the money multiplier will decrease, resulting in a decrease in the money supply. Conversely, an increase in reserves will have an expansionary effect on the money supply.
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Match the steps that marketing management performs to the scenarios that describe the steps
Answers
The steps that marketing management performs to the scenarios that describe the steps include the "Discovery Step --- Marketing management team are performing detailed research for the best target market for their products or services."
The other steps that marketing management performs to the scenarios that describe the steps include the following:
Strategy step -- the marketing management team determines the proper marketing channels for their product or services. Then, they formulate the messaging and finally plan the timing.Implementation step -- the marketing management team decides when and where to execute their targeted, cost-effective marketing campaigns and put them into action.Measurement step -- the marketing management team assesses the marketing campaign results to know the right methods or techniques before continuing with the marketing campaign.Hence, in this case, it is concluded that the Marketing management team plays a vital role in the product life cycle.
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What are the 3 reasons for the Wealth Gap?
Answers
Answer:
(iii) Growth in technology widens income gap. Growth in technology arguably renders joblessness at all skill levels [3].
(iv) Gender does matter. In many countries, there is a gender income gap in the labor market [3].
(v) Personal factors.
(ii) Globalization.
Explanation:
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Introduction: Match the type of business organization with one of its features.
Sole proprietorship
Is the most common form of business
organization in the United States
Franchise
Can be the most complicated and the
most expensive type of organization
Corporation
Requires a fee to be paid to a parent
company for a business plan
Partnership
Includes two or more owners who are
liable for any business debt
Cooperative
Is an organization in which member
owners market their products together
Answers
Answer: :)
Explanation:
Edge 2020
A business organization is termed as an organization that works for the accomplishment of economic activities. Economic activities include the exchange of goods and services and maintaining the records of the transactions.
The match to type of organization:
Sole proprietorship: Is the most common form of business organization in the United States.
Franchise: Requires a fee to be paid to a parent company for a business plan.
Corporation: Can be the most complicated and the most expensive type of organization.
Partnership: Includes two or more owners who are liable for any business debt.
Cooperative: Is an organization in which member owners market their products together.
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the reason that the law of demand exists is that: question 28 options: a) people always follow the law of the land. b) specialization leads to an increase in a person's standard of living. c) a higher price never reduces demand enough to lower producer's profits. d) people substitute cheaper products for more expensive products.
Answers
The reason that the law of demand exists is: D) "people substitute cheaper products for more expensive products".
The law of demand states that there is an inverse relationship between the price of a good and the quantity of it that consumers are willing and able to buy. This means that as the price of a good increases, the demand for it decreases, and vice versa. The reason that this law exists is because people have limited budgets and will often substitute cheaper products for more expensive ones.
This results in a lower demand for the more expensive product and an increased demand for the cheaper substitute. The law of demand forms a fundamental principle in economics and helps to explain consumer behavior and market dynamics.
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as a consumer obtains more and more chocolate, the consumer is willing to give up less and less peanut butter. this means the consumers indifference curve between chocolate and peanut butter will be:
Answers
As a consumer obtains more and more chocolate, they are willing to give up less and less peanut butter, which means the consumer's indifference curve between chocolate and peanut butter will be downward sloping.
An indifference curve is a graph that illustrates all combinations of two goods that provide the consumer with the same level of satisfaction. As the consumer increases their quantity of chocolate, the quantity of peanut butter they are willing to sacrifice decreases, which is why the indifference curve is downward sloping.
Indifference curves slope downwards because, as the amount of one item consumed grows, the amount of the other item consumed must decline to keep utility constant. Each indifference curve represents the set of all possible combinations of two goods that provide the same degree of satisfaction or utility to the consumer.
Indifference curves that are steep indicate that the consumer places a high value on one of the items under study and a low value on the other. Indifference curves that are less steep indicate that the consumer values each of the items similarly.
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