Annual reporting of operations

Assignment Help Business Economics
Reference no: EM13665225

Two to three pages should be sufficient for each question. Antitrust authorities at the Federal Trade Commission are reviewing your company's recent merger with a rival firm.

The FTC is concerned that the merger of two rival firms in the same market will increase market power. A hearing is scheduled for your company to present arguments that your firm has not increased its market power through this merger.

Can you do this? How? What evidence might you bring to the hearing? Assume that the demand for plastic surgery is price inelastic. Are the following statements true or false? Explain your answer for full credit. When the price of plastic surgery increases, the number of operations decreases.

The percentage change in the price of plastic surgery is less than the percentage change in quantity demanded. Changes in the price of plastic surgery do not affect the number of operations.

Quantity demanded is quite responsive to changes in price. The marginal revenue of another operation is negative. The Theory of the Firm document, the Friedman article, and the information in chapter 4 argue that the main goal of a firm in a market economy is to maximize profit (shareholder wealth) over the long term.

However, SEC regulations require U.S. corporations to publish operating results on a quarterly basis. How does this short term time frame impact long term profit maximization?

Should the SEC change their regulations of public corporations to require only annual reporting of operations? How might this impact stock price in the short term?

How do you believe that management deals with these two sometimes competing goals? During the energy crisis of the 1970s, and again in the last 5 years, Congress bemoaned the "price gouging" and "windfall" profits of the major oil companies. In the 1970s Congress imposed an "excess profits tax" on these companies.

It did not do so this time? What does this change show about how our understanding of the way the price system works to allocate resources has evolved? If "excess profits" are taxed away, where will oil companies get the money to fund new exploration and development of oil properties?

Does it matter if these price increases are demand or supply induced? Your paper should reflect scholarly writing and current APA standards. Please include citations to support your ideas.

Verified Expert

Reference no: EM13665225

Marginal cost-average total cost and profit

In a Price Taker market, with a total fixed cost =$200 Also given Output per month (3) tons, Total Cost = 1550, Price per ton = 500,. How would I calculate (and what formula w

Elucidate impossible trinity refers to which idea

The impossible trinity refers to the idea that a country can simultaneously pursue only two of the three following policies: free international-capital flows, monetary polic

Real wage rate over the course of the business cycle

Explain why relatively flat as opposite relatively steep labor demand curves are more consistent with the empirical observation that there are relatively minor changes in the

The demand function for firms product

The demand function for a firm’s product is Q = P!3 . The firm’s marginal cost of production is constant at MC(Q) = 12. Calculate the elasticity of demand, as a function of Q.

Why might the solow model be called neo-classical model

We learn Solow's growth model, often called the neo-classical growth model. Hielbronner discusses, in the "The Worldly Philosopher," the classical views on growth developed by

What will be the price of a crepe at each stall

Crepe Creations is considering franchising its unique brand of crepes to stall-holders on Hermoza Beach, which is five miles long. CC estimates that on an average day there ar

Desert community wants to punish excessive water usage

Suppose the government of a desert community wants to punish excessive water usage, where "excessive" is defined as any usage greater than 100 gallons/week. to do this, the go

Consider the case of extremity selection

Consider the case of extremity selection, where both the most skilled and the least skilled from a source country choose to migrate. In the Roy Model, what must the graph of t

Reviews

Write a Review

 
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd