Answer:
A. cost-plus regulation
Explanation:
When a local regulator calculates the average cost of production for the public water utility or any other service and allow an adjustment for the normal rate of profit the firm should expect to earn, and then set the price that consumers can be charged accordingly, this is known as cost-plus regulation.
It is usually carried out by the government.
Answer:
is based on offering a unique product or service that a wide range of buyers find appealing and worth paying for
Explanation:
A broad differentiation strategy is a strategy of making ones goods or services different from that of competitors in a way that would appeal to a wide range of consumers.
An example of a company that employs broad differentiation strategy is apple. Apple products are deemed to be quite different from that of its competitors
<em><u>Characteristics of broad differentiation strategy </u></em>
- Firms that use this pricing have higher brand loyalty
- Firms that use this pricing have higher sales than when compared with competitors
- Firms that use this pricing are able to charge a higher price for their products when compared to their competitors
Federal tax rate = 10%
State tax rate = 4.3%
Social security = 6.2%
Medicare = 1.45%
Total deductions = 21.95%
Amount withheld = 21.95%*6727 = $1476.58
Answer and Explanation:
The computation of the fair return for each company is shown below:
Fair Return = Risk free rate of return + Beta × market risk premium
= 4.8 + 1.6 × 5.9
= 14.24%
Now
Everything $5 is
= 4.8 + 1 × 5.9
= 10.7%
Hence, the same should be considered
