Toot Sweets Bakery sells freshly baked muffins from 6.30 am at $1.20 per muffin. By 4 pm, the remaining muffins are marked down to $0.60 each. Which of the following statements is true?
A) Toot Sweets is trying to minimize its loss.
B) Toot Sweets engages in price discrimination; a higher price for those who cannot wait and a lower price for those willing to wait until 4 pm.
C) Toot Sweets has underestimated the demand for its muffins.
D) Toot Sweets is trying to prevent the opportunity to make arbitrage profit.
A
You might also like to view...
A good or service with a positive externality is one which ______
A. everyone wants to have access to B. is produced in the social interest C. the marginal social benefit exceeds the marginal private benefit D. the marginal external benefit exceeds the marginal private benefit
In some cases, specialization allows larger factories to produce goods at a lower average cost than smaller factories
a. True b. False Indicate whether the statement is true or false
Gross investment minus net investment is equal to:
A. depreciation. B. nominal investment. C. real investment. D. consumption.
If output per capita grows by a constant 6% per year, then the standard of living would grow by about ________ over 3 years
A) 12% B) 17% C) 18% D) 19% E) 20%