Question

A two-part price (such as Costco's membership fees and then a fee for goods or an electric companies base rate plus a ra...

A two-part price (such as Costco's membership fees and then a fee for goods or an electric companies base rate plus a rate for usage) is favored by firms that

can segment buyers

are price takers

have high fixed costs and low marginal costs

have high fixed costs and high marginal costs

0 0
Add a comment Improve this question Transcribed image text
Answer #1

"C"

this will be used by the firms that have a high fixed cost and low marginal cost for example a phone subscription, the fixed cost is high but the marginal cost is low.

Add a comment
Know the answer?
Add Answer to:
A two-part price (such as Costco's membership fees and then a fee for goods or an electric companies base rate plus a ra...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Could someone help me to take notes for me from this paragraph . Thank you in...

    Could someone help me to take notes for me from this paragraph . Thank you in advance s benefits, dipe, Hotels, 240 are not used wild on cumulativemented similar loyalty pro sinesses and belt ance biste nes Wet hind costs and the 15 percore locked in by th PART 1 Microeconomic Analys forfeited if they are not used within a certain time period and many h as preferential service, are based on cumulative usage of the airline cery stores, and...

  • can you please help me with these problems . microeconomics 0/1.21 pts ed Question 80 The practice of setting prices deliberately below pricing. costs in an eff...

    can you please help me with these problems . microeconomics 0/1.21 pts ed Question 80 The practice of setting prices deliberately below pricing. costs in an effort to drive a competitor out of the market is known as predatory average variable O average fixed explicit average total marginal 0/1.21 pts wered Question 78 0/1.21 An example of a tying arrangement is a restaurant offering both Pepsi and Coca-Cola products. a car manufacturer installing expensive onboard GPS/navigation systems in all the...

  • 50.If market price is greater than the minimum of AVC but below the minimum of AC,...

    50.If market price is greater than the minimum of AVC but below the minimum of AC, then A. revenue covers variable costs and some of the fixed costs and profit is positive. B. economic profit is zero. C. revenue covers variable costs and some of the fixed costs, although profit is negative. D. the firm will shut down. 1.In the presence of asymmetric information, a fixedminus−fee contract A. can lead to opportunistic behavior on the part of the agent. B....

  • Part 2 Econonm ge ANALYZING MANAGERIAL DECISIONS: eBay.com the "Red shooting star." eBay has created a se of...

    Part 2 Econonm ge ANALYZING MANAGERIAL DECISIONS: eBay.com the "Red shooting star." eBay has created a se of policies to guard against "feedback ulation" and feedback abuse."p eBay operates the world's largest online auction. In early 2008, eBay operated in 39 counties with 276 million registered users worldwide. The total value f all successfully closed items in 2007 was $59 bil lion with an average of $2.039 worth of goods trad- ing on the site every second. Sellers pay a...

  • 1.) What is the main difference between a competitive firm and a monopoly? a. A competitive...

    1.) What is the main difference between a competitive firm and a monopoly? a. A competitive firm owns a key resource, but a monopoly firm does not. b. A competitive firm is a price taker, and a monopoly is a price maker. c. A competitive firm produces output at a lower cost than a monopoly firm. d. A competitive firm is subject to government regulations, but a monopoly firm is not. 2.) What is the main social problem caused by...

  • Hello,I'm havinng an written assignment due to 27/01. Subject 2 Part A Miller corporation has the...

    Hello,I'm havinng an written assignment due to 27/01. Subject 2 Part A Miller corporation has the following balance sheet Summary Balance Sheet ASSETS Cash Accounts receivable Inventories Current Assets Net Fixed Assets Total Assets LIABILITIES Accounts payable Accruals Short-term debt Current liabilities Long-term debt Preferred stock Common stock Retained earnings Total common equity Total liabilities and equity (in ,000) 30,000 60,000 60,000 150,000 150,000 300,000 30,000 30,000 15,000 75,000 90,000 15,000 30,000 90,000 120,000 300,000 The short-term debt is mainly...

  • Questions are below. Only answer problems #5 - #9. I have already answered problems #1-4, my...

    Questions are below. Only answer problems #5 - #9. I have already answered problems #1-4, my data is below. Problems #5-#9 are listed in order below. Please help, Ive submitted this question 4x and recieved no help. I will rate! Thank you Quivers Inc. began operations on January 1 of the current year. The company produces eight-ounce bottles of jet wax called Ophelia Shine. The wax is sold wholesale in 12-bottle cases for $100 per case. There is a selling...

  • (1) If the world price is above the domestic equilibrium price, the domestic country is likely...

    (1) If the world price is above the domestic equilibrium price, the domestic country is likely to ____________________ the good.          (2) The difference between what an economy sells to and buys from foreigners is _________________.          (3) The idea that exchange rates and prices adjust to equalize the cost of living across international boundaries is called __________________________.          (4) In the graph below, when the world price is $3, how many units are...

  • NEED ANSWERS OF PART (f,g,h,j) Problem 2 [21 marks] Consider a firm that uses two inputs. The quantity used of input 1...

    NEED ANSWERS OF PART (f,g,h,j) Problem 2 [21 marks] Consider a firm that uses two inputs. The quantity used of input 1 is denoted by x, and the quantity used of input 2 is denoted by x2. The firm produces and sells one good using the production function f(x1, x2)-4x053x25. The final good is sold at price P $10. The prices of inputs 1 and 2 are w$2 and w2 $3, respectively. The markets for the final good and both...

  • As a subsidiary manager, would you consider Regent’s use of the beginning-of-the-year exchange rate for budget...

    As a subsidiary manager, would you consider Regent’s use of the beginning-of-the-year exchange rate for budget setting and average-of-the-year rate for budget tracking appropriate? Why? What changes in the budgeting process can Regent make to prepare foreign subsidiary managers to better respond to the effects of inflation and exchange rate changes? It was January 2016, and Lee Morgan, CEO of Regent, Inc., was getting ready to review the financial performance of Regent’s subsidiaries. In recent years, this exercise had become...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT