Answer:
COFFEE SHOPS would have a larger potential customer base.
NEW SHOE STORE is geared toward individuals with more disposable income.
Explanation:
The logic here is quite simple, households earning $25,000 or more are likely to be customers of the coffee shops. This also includes households earning $55,000 or more. So the consumer base of coffee shops is very large.
On the other hand, only households earning $55,000 or more are likely to be customers of the new shoe store. Since there are fewer households that earn $55,000 or more, their consumer base will be smaller and it should rather focus on people with more disposable income.
Even if 90% of the people earn above $55,000 and only 10% earn between $25,000 - $55,000, the consumer base of coffee shops will always be larger since it includes almost everyone.
The answer is marginal revenue (MR) curve above $22.
Explanation:
Jim and Lisa Groomers will maximize its accounting profit when taking it to 0 its economic profits when marginal revenue = marginal costs.
Economic profits are not the same as accounting profits because they include the opportunity costs of investing the money somewhere else. That is whythe long run firm is not able to make economic profits since as they exist, new competitors will enter the market. But in the case of the shoert run, the firms are able to make economic profit, but by doing so, they cannot maximize their accounting profit.
Economic profit = account profit = Opportunity profit
Opportunity cost are extra costs or benefitslost from choosing one activity or investment over another one.
Answer:
The technology is a support activity in a firm's value chain.
Explanation:
Value chain analysis means the analysis which adds the value to the organization. It can be categorized in two activities - primary activities and support activities. This value chain analysis is propounded by Porter.
The primary activities includes inbound & outbound logistics, operations, Marketing & sales and service whereas support activities includes firm infrastructure, human resource management, technology , and procurement.
Thus, the technology is a support activity in a firm's value chain.
Answer: Selling exports abroad at a lower price than the domestic price.
Explanation:
Dumping is a practice in international trade where the country exporting, does so at a price that is lower than the domestic price of the good being exported in the importing country.
This allows the country exporting to gain more market share but can also lead to the collapse of the domestic industry thereby allowing for an export based monopoly to form.
An example would be Japan selling electronics in the U.S. at lower rates to capture market share even though those same electronics commanded a higher price in Japan.
Answer:
The correct answer is then it has required reserves of $110 and holds excess reserves of $190.
Explanation:
According to the scenario, computation of the given data are as follows:
Total deposit = $1,000 + $100 = $1,100
So, we can calculate the total reserve required by using following formula:
Total reserve required = 10% × Total deposit
= 10% × $1,100 = $110
And Previous excess = $100
Current access = $90
So, Excess reserve = Previous excess + Current access
= $100 + $90
= $190
