When Lofonift Inc. introduced its flagship product, an MP3 player, it captured the MP3 player market by offering its product at the lowest price in the market. This forced many of its competitors out of business
In this scenario, Lofonift Inc. most likely indulged in__________.
Fill in the blanks with correct word.
ANSWER: predatory pricing
Lofonift Inc. most likely indulged in predatory pricing. Predatory pricing is the practice of charging a very low price for a product with the intent of driving competitors out of business or out of a market.
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Duke Power & Light just spent $10 million to repair one of its electrical grid substations that was heavily damaged by a lightning strike. The loss was not insured.Required:Why would a utility ask the public service commission for approval to treat the $10 million as an asset for rate-making purposes rather than as an allowed expense?
What will be an ideal response?
A corporation issues for cash $9,000,000 of 8%, 30-year bonds, interest payable semiannually. The amountreceived for the bonds will be
a. present value of 60 semiannual interest payments of $360,000, plus present value of $9,000,000 to be repaidin 30 years b. present value of 30 annual interest payments of $720,000 c. present value of 30 annual interest payments of $360,000, plus present value of $9,000,000 to be repaid in30years d. present value of $9,000,000 to be repaid in 30 years, less present value of 60 semiannual interest payments of$360,000
Crimson Inc. is conducting their annual performance review process for employees. The company uses a tool that measures entrepreneurial behavior and found there was a lot of irrelevant information that was also gathered. The irrelevant information gathered from the results is termed _____.
a. contamination b. deficiency c. reliability d. validity e. specificity
Wait time in a process-focused layout is likely to be ______ when compared to a product-focused layout?
a. Shorter b. Longer c. About the same d. Wait times cannot be compared between the two layouts