Which type of managed care organization has the strictest cost control features?

All of the following would be considered explicit costs of operating a business except

A) the rental value of equipment the company owns and uses for its own production. B) advertising expenses. C) utility expenses. D) the cost of raw materials used in production.

A firm started promoting its product through advertising. This changed the product's elasticity from -1.08 to -0.99 . The firm should

a. Lower prices as the demand is more elastic b. Lower prices as the demand is more inelastic c. Raise prices as the demand is more elastic d. Raise prices as the demand is more inelastic