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jadbaubl1449
12.06.2020 •
Business
2 Points
The amount of money you make on the college savings plan investment is
dependent on:
A. the account holder's level of income.
B. the market performance of the investment.
O C. a college's cost of attendance.
D. college tuition inflation.
Solved
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Ответ:
Ответ:
Part a: What will be the equilabrium price that Dumphy and Funke will charge?
Price charged = $30
Part b: What are the profits for Dumphy and Funke at the equilibrium price?
Profit on equilibrium price = $0
Part c: What type of competition would Funke and Dumphy likely engage in after the decrease in demand?
Price competition
Explanation:
Part a: What will be the equilabrium price that Dumphy and Funke will charge?
Price charged by each of the artists will be equal to their marginal cost.
Thus, equilibrium P = MC = $30.
Part b: What are the profits for Dumphy and Funke at the equilibrium price?
Equilibrium profits will be 0 at the equilibrium because price charged is equal to MC, leading to no profits.
Part c: What type of competition would Funke and Dumphy likely engage in after the decrease in demand?
Price competition - as changes in price will lead to changes in demand and thus sales