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3 years ago

If there is a market with the below noted market segmentation, what would the four firm market concentration ratio be?

Business

2 answers:

sergey [27]3 years ago

7 0

Answer:

b. 90

Explanation:

The concentration ratio is a term in business that is measured as the total summation of the market share percentage carried by the largest specified number of companies in an industry. The concentration ratio varies between 0% to 100%, and an industry's concentration ratio is considered to demonstrates the extent of competition in the industry.

However, the four-firm concentration ratio is calculated by summing the market shares—that is, the percentage of total sales—of the four largest companies in the given market.

Hence, in this case, we have 35%, 30%, 15% and 10% as the top four largest market share. There by, summation equals => 35+30+15+10 = 90.

BlackZzzverrR [31]3 years ago

4 0

Answer:

The correct answer is:

90 (b.)

Explanation:

A concentration ratio is the ratio of the combined market shares percentage held by the largest specified number of firms, compared to the given market size. The concentration ratio ranges from 0% to 100%. If the concentration ratio of an industry ranges from 0% to 50%, that industry is said to be perfectly competitive if the top 5 firms have a concentration ratio of 60% or more, oligopoly is said to occur, and if the competition ratio of one company is 100% it shows monopoly.

In our example, the concentration of the largest four market segments are:

35%, 30%, 15% and 10%

Therefore, the four firm market concentration ratio = 35 + 30 + 15 + 10 = 90

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A bank loaned out $19 comma 00019,000, part of it at the rate of 7 %7% per year and the rest at 15 %15% per year. If the inter

Alla [95]

Answer:

Explanation:

Let x be the amount loaned at 7% and ($19,000 - x) be the amount loaned at 15%

Given:

Interest incurred at 7%, I1 + Interest incurred at 15%, I2 = $2000

Interest, I = amount × rate

I1 = 7/100 × x

I2 = 15/100 × ($19,000 - x)

From the above expressions,

(0.07)x + (0.15) × ($19,000 - x) = $2,000

Solving for x,

0.07x + 2850 - 0.15x = 2000

Collecting like terms,

0.08x = 850

x = $10625

The amount loaned at 7% interest is

$10625

The amount loaned at 15% interest is ($19000 - $10625)

= $8375

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2 years ago

While harry was intoxicated, he sold his car to ben for substantially less than its fair market value. this contract is consider

VMariaS [17]

The answer to this question is that the contract is voidable. A voidable contract specificallt means that the contract can still be implemented or affirmed or rejected by one of the parties due to valid reasons. A situation where in a contract can be voidable is when the other party is not in the capacity to enter into a contract.

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2 years ago

The primary goal of managerial accounting is to provide information to A. internal decisionminusmakers. B. creditors. C. shareho

mylen [45]

Answer:

A. internal decision makers

Explanation:

Managerial accounting is a form of accounting the identification, analysis and interpretation of an entity's information for the pursuance of its set goals and objective by internal users such as Managers.

The information presented by managerial accounting is used by management in making key business decisions.

Elements of managerial accounting includes budgeting and forecasting which differs from financial accounting uses historical data and is meant majorly for external users such as creditors and shareholders.

Hence the primary goal of managerial accounting is to provide information to internal decision makers.

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2 years ago

LO 4.5Why are the overhead costs first accumulated in the manufacturing overhead account instead of in the work in process inven

vivado [14]

Answer Explanation:

For the manufacturing overhead occurs during the manufacturing process but unlike wages, the actual values are unknow thus, we cannot anticipate in a guarantee amount. Hence, the cost accounting works as follows:

It will stablish a predetermined overhead rate which will be charged against WIP based on another factor which can be measure (like working hours, machine hours, among others)

Then, during the period as the actual cost occurs they will be charged into manufacturing overhead account.

At the end of the period, we will be able to determinate the actual cost and adjust COGS, WIP and FINISHED GOOD if needed to represent the actual cost of the inventory produced.

3 0

2 years ago

(Prob. 5.32) The industrial engineering department for Invade Air Fresheners has found that a new packing machine should save $4

cluponka [151]

Answer:

It will be willing to pay up to $297,853.46

Explanation:

First, we calculate present value of the cash saving

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 45000

time 8

rate 0.05

$45000 \times \frac{1-(1+0.05)^{-8} }{0.05} = PV\\$

PV $290,844.57

Then, the present Value of the salvage value

$\frac{Salvage}{(1 + rate)^{time} } = PV$

Maturity 7.50 %

time 8.00

rate 0.05

$\frac{7.5}{(1 + 0.05)^{8} } = PV$

PV 5.08 %

This is calculate as a percent, because we are not given with a cash value.

Last, the 12,000 major overhaul

$\frac{Overhaul}{(1 + rate)^{time} } = PV$

Maturity -12,000.00

time 8.00

rate 0.05

$\frac{12000}{(1 + 0.05)^{8} } = PV$

PV -8,122.07

This PV is negative as it is a cash out-flow

Lastly, we add them all:

290,844.57 + 0.0508PV - 8,122.07 = PV

<u>And solve for PV</u>

290,844.57 - 8,122.07 = PV - 0.0508PV

282,722.5‬ = 0.9492PV

282,722.5/0.9492 = PV

PV = 297,853.455541 = 297,853.46

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2 years ago