Question

2. The type of firm and industry that lends itself to trend analysis is a(n) a....

2. The type of firm and industry that lends itself to trend analysis is a(n) a. Emerging firm in a new industry. b. Growing firm in a growing industry. c. Mature firm in a mature industry. d. Declining firm in a declining industry.

Homework Answers

Answer #1

In every industry, one firm wants to perform better than the other and wants to compare their results with that of their competitors and for the same, a trend analysis is performed, to analysize as to how the industry is performing .

Mature firms are the ones that have experince in the industry and they are the ones who set the ongoing industry trend.

Therefore, mature firm in a mature industry are the ones who lends itself to trend analysis.

Hence, option c. is the correct option.

Know the answer?
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
Similar Questions
An industry producing a homogeneous commodity is comprised of N(≥ 2) firms. Assume that each firm...
An industry producing a homogeneous commodity is comprised of N(≥ 2) firms. Assume that each firm faces a marginal cost of 1 and no other costs. The industry inverse demand function is P(Q) = 11 − Q, where Q is industry output. (a) Assuming that the firms choose quantities simultaneously, derive the profits of each firm in equilibrium. (b) Two of the firms are considering a merger. A merger simply means that these two firms become one firm, with the...
A survey is conducted to determine whether industry type is independent of geographic location. The result...
A survey is conducted to determine whether industry type is independent of geographic location. The result of the survey is tabulated for the following fast growing industries (Food and Services) and their respective locations, New South Wales (NSW) and Victoria (VIC). Geographic Locations Industry type NSW VIC Total Food 15 28 43 Services 25 32 57 Total 40 60 100 One industry is selected at random. Answer the following questions using the values in the above table. a) Find the...
8. Each firm in a monopolistically competitive industry faces inverse demand p= 40−n−4q, where n represents...
8. Each firm in a monopolistically competitive industry faces inverse demand p= 40−n−4q, where n represents the number of firms in the industry. Firms have a constant marginal cost of $6 and a fixed cost of $25. How many firms are in this industry in the long run? (a) 1 (b) 4 (c) 12 (d) 14
1. What type of firm is most likely to use a LBO? (a) mature, low growth...
1. What type of firm is most likely to use a LBO? (a) mature, low growth firm (b) midlevel manufacturer (c) young, biotech firm (d) regulated firm 2. A merger between two banks would most likely be considered: (a) a vertical merger (b) a horizontal merger (c) an equity carveout (d) a spin off
The Bell Co. is a new firm in a rapidly growing industry. The company is planning...
The Bell Co. is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 20.00% a year for the next 4 years and then decreasing the growth rate to 4.00% per year. The company just paid its annual dividend in the amount of $2.70 per share. What is the current value of one share of this stock if the required rate of return is 8.20%? A. $101.15 B. $117.93 C. $138.63 D....
59. What type of industry is described by the term “perfect competition”? a. an industry in...
59. What type of industry is described by the term “perfect competition”? a. an industry in which numerous price-taking firms produce identical products b. an industry in which a few price-taking firms produce identical products c. an industry in which firms are price takers and compete for market share by varying the qualitative characteristics of products d. an industry in which numerous firms are price makers and produce identical products 60. Which of the following is most likely a price...
a new firm is rapidly growing industry. The company is planning on increasing its annual dividend...
a new firm is rapidly growing industry. The company is planning on increasing its annual dividend by 17% a year for the next five years and then decreasing the growth rate to 5.4% per year. The company just paid its annual dividend in the amount of $1.36 per share. What is the current value of one share if the required rate of return is 14.2%? A. $28.92 B. $28.59 C. $28.13 D. $25.70 E. $25.26
Which of the following will occur in the long run in this industry? a. This firm...
Which of the following will occur in the long run in this industry? a. This firm will continue to earn positive economic profits. b. Firms will enter this industry. c. This firm will incur losses. d. Firms will exit this industry.
2. Suppose a representative firm producing in a perfectly competitive industry has the following cost function:...
2. Suppose a representative firm producing in a perfectly competitive industry has the following cost function: C(q) = q2 + 8q + 36 a. Solve for the firm’s average cost function. b. At what level of q is average cost minimized (i.e. what is the minimum efficient scale for the firm)? What is the value of average cost at this level of q? c. Suppose all firms in this industry are identical and the demand function for this industry is...
If a firm is on a learning curve this implies a. That the firm’ s variable...
If a firm is on a learning curve this implies a. That the firm’ s variable resources are not efficiently employed. b. That the firm is enjoying a comparative advantage in the industry. c. That the firm is enjoying economies of scale. d. That the firm’s cumulative average total costs are declining. e. That the firm’s cumulative average fixed costs are increasing. Please advise why in a brief explantion