When firms in a monopolistically competitive market engage in price-related advertising, defenders of advertising argue that
a. the quality of products sold in the market always increases.
b. customers are less likely to be informed about other characteristics of the product.
c. new firms are discouraged from entering the market.
d. each firm has less market power.
d
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Which determinant shifts supply?
a. income b. prices of related goods c. technology d. tastes and preferences
Consider the monopoly in the figure below with price regulated at $2 per unit. Consumer surplus at the regulated price is: 
A. $4.50. B. $9. C. $8. D. There is insufficient information to determine consumer surplus.
Which of the following audit procedures is the most appropriate when internal control over cash is weak or when a client requests an investigation of cash transactions?
A) Cash confirmation. B) Bank reconciliation. C) Evaluation of ratio of cash to current liabilities. D) Proof of cash.
What is the most likely reason that snack foods sold in vending machines are so much more expensive than snack foods sold in grocery stores?
A. Snack foods sold in vending machines come in smaller packages, so the per-package costs are higher. B. Grocery stores buy in bulk, while vending machine companies tend to buy in smaller quantities. C. People who purchase snack foods from vending machines tend to have less elastic demand for snack foods. D. Owners of vending machine companies are greedier than owners of grocery stores.