Which of the following is not an advantage of cost-plus pricing?
A) If a firm is selling multiple products, it ensures that the firm's prices will cover costs that are difficult to assign to one product.
B) It ensures that the firm will maximize its profits.
C) It is easy to calculate.
D) It requires little information.
B
Economics
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Figure 17-2
Given the situation in graph (1) in Figure 17-2, what movement would be expected in graph (2) from the economy's self-correcting mechanism?
a.
A to B
b.
A to D
c.
C to E
d.
D to C
Economics
Which of the diagrams correctly portrays the demand (D) and marginal revenue (MR) curves of a pure monopolist that is able to price discriminate by charging each customer his or her maximum willingness to pay?
A. A.
B. B.
C. C.
D. D.
Economics