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If advertising by an individual firm does not add to total industry sales but merely attracts sales from other firms, If advertising by an individual firm does not add to total industry sales but merely attracts sales from other firms, firms would be better off not to advertise it pays one firm to advertise if the others do not advertising is like a prisoner’s dilemma the worst situation is for every firm to advertise all of the above. Which of the following describes this model well? The principle-agent model can explain non-profit maximization in firms. Which of the following describes this model well? Managers (the agents) act irrationally or with bounded rationality. Shareholders (principles) act irrationally or with bounded rationality. Principles force their managers (agents) to maximize revenue and growth. There is asymmetric information between the shareholders (principles) and managers (agents) in terms of the managers’ actions. None of the above.. which is right?

Answer: The correct answer is None of the Above, as the statement given does not accurately describe the Principle-Agent Model. The Principle-Agent Model explains the conflict of interest that can arise when one party (the principal) delegates work or decision-making

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If advertising by an individual firm does not add to total industry sales but merely attracts sales from other firms, If advertising by an individual firm does not add to total industry sales but merely attracts sales from other firms, firms would be better off not to advertise it pays one firm to advertise if the others do not advertising is like a prisoner’s dilemma the worst situation is for every firm to advertise all of the above. Which of the following describes this model well? The principle-agent model can explain non-profit maximization in firms. Which of the following describes this model well? Managers (the agents) act irrationally or with bounded rationality. Shareholders (principles) act irrationally or with bounded rationality. Principles force their managers (agents) to maximize revenue and growth. There is asymmetric information between the shareholders (principles) and managers (agents) in terms of the managers’ actions. None of the above.. which is right?

Answer The best option that describes the model well is option D, which is “There is asymmetric information between the shareholders (principles) and managers (agents) in terms of the managers’ actions.” This is because the main concept of the model

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The principle-agent model can explain non-profit maximization in firms. Which of the following describes this model well? The principle-agent model can explain non-profit maximization in firms. Which of the following describes this model well? Managers (the agents) act irrationally or with bounded rationality. Shareholders (principles) act irrationally or with bounded rationality. Principles force their managers (agents) to maximize revenue and growth. There is asymmetric information between the shareholders (principles) and managers (agents) in terms of the managers’ actions. None of the above.. which is right?

Answer The principle-agent model is an economic theory that explains the relationship between a principal (i.e. shareholder) and an agent (i.e. manager). This model states that the principal’s goal is to maximize their own utility, while the agent’s goal is

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The overall effect of advertising on economic efficiency is The overall effect of advertising on economic efficiency is positive, since it tends to lead to increased sales. indeterminate, since it leads to increased excess capacity but may also guide consumers to better decisions. negative, since it utilizes resources that could otherwise be used to expand production. Advertising is not important for efficiency. which is right?

Answer The correct answer is indeterminate, since it leads to increased excess capacity but may also guide consumers to better decisions. Advertising can lead to increased market efficiency if it helps consumers make more informed decisions about the products and

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point Question at position 1 Washing powders are often heavily advertised because Washing powders are often heavily advertised because Consumers need to know the exact composition of washing powders. The advertising elasticity of demand of washing powders is low, so firms need to advertise a lot to increase sales. The consumer base keeps changing. They are produced in an oligopolistic setting and are not search goods.

Why Do Washing Powders Need To Be Heavily Advertised? Washing powders are often heavily advertised because of several reasons. Firstly, consumers need to know the exact composition of washing powders, and this can be facilitated through advertisements. Secondly, the advertising

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Computer functionality

Overview of Computer Functionality Computer functionality refers to the capacity of a computer system to perform a set of tasks. This includes the ability to store and manipulate data, execute commands, and produce results. Computer functionality is determined by the

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What is biological extinction (extinction) ?

What is Biological Extinction? Biological extinction, or extinction, is the complete or near-complete disappearance of a species or other taxonomic group of organisms from the face of the earth. Extinction is a normal process that has occurred since life first

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Explain the process of genetic engineering. What is genetically modified organism (GMO)? Define synthetic biology, explain how it differs from evolution by natural selection , and point out some of its potential benefits and dangers.

Overview of Genetic Engineering Genetic engineering, also known as biotechnology, is the modification of an organism’s genetic material in order to produce desired characteristics. This process involves the introduction of foreign genes into an organism’s existing genetic makeup at the

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The cost function c(w 1 ​ ,w 2 ​ ,y) of a firm gives the cost of producing y units of output when the wage of factor 1 is w 1 ​ and the wage of factor 2 is w 2 ​ . Find the cost functions for the following firms: 1. A firm with production function f(x 1 ​ ,x 2 ​ )=min{2x 1 ​ ,3x 2 ​ } 2. A firm with production function f(x 1 ​ ,x 2 ​ )=2x 1 ​ +3x 2 ​ . 3. A firm with production function f(x 1 ​ ,x 2 ​ )=max{2x 1 ​ ,3x 2 ​ }

Answer: Cost Functions for Different Firms The cost function c(w1, w2, y) of a firm gives the cost of producing y units of output when the wage of factor 1 is w1 and the wage of factor 2 is w2.

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Your team has been appointed to analyze three potential projects (A, B and C) for the future business of your company. The life cycle of the projects is 10 years. The initial investment for each project is RM30 mil, RM35 mil and RM50 mil for Projects A, B and C, respectively. Due to the unique business features of each project, the MARRs are varied to be 7.5%, 11.3% and 9.2% for Projects A, B and C, respectively. Table 1 summarizes the expected profit per year and the market value (MV) of the assets for each project. Visualize the cash flow scenario of these projects. By applying Present Worth (PW) and Future Worth (FW) methods, evaluate and compare the “worthiness” of each project. Discuss your team findings and finally give the related recommendations to the company. show the calculation

Analysis of Cash Flow Scenario for Projects A, B and C The initial investment for each project (A, B and C) is RM30 mil, RM35 mil and RM50 mil, respectively. The expected profit per year and the market value (MV)

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Promises and contracts are the same thing in law True OR FalseWhy are you not allowed to smoke at a classroom?Why do countries regulate the prices of gas and electricity?Why would governments subsidize gasoline (in somecountries)?Why would governments subsidize renewables?Who is responsible for the construction and maintenance ofyour local streets? Who pay for it?Why did the US supreme court break up the Standard Oil inearly 20th centur

Answer: Promises and Contracts Are Not the Same Thing in Law Promises and contracts are not the same thing in law. A promise is a verbal or written commitment to do something in the future, while a contract is a

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how can you define product diversification?

What is Product Diversification? Product diversification is a strategy used by companies to increase their portfolio of products or services by offering a range of different products or services. This strategy is used to help companies to expand their customer

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