Which of the following is a disadvantage of trademarking a firm's product?
A) A trademark may become so widely used to denote a particular type of product that the trademark may no longer be a legally protected brand name.
B) A trademark conveys information about the product to the public.
C) A trademark differentiates a firm's product.
D) A trademark does not affect demand for the firm's product.
A
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A movie theater can increase its profits through price discrimination by charging a higher price to adults and a lower price to children if
a. adults buy more popcorn than children. b. the cost of showing a movie to children is less than the cost of showing a movie to adults. c. it has some degree of monopoly-pricing power. d. All of the above are correct.
For a large firm that produces and sells automobiles, which of the following costs would be a variable cost?
a. the unemployment insurance premium that the firm pays to the state of Missouri that is calculated based on the number of worker-hours that the firm uses b. the cost of the steel that is used in producing automobiles c. the cost of the electricity of running the machines on the factory floor d. All of the above are correct.