[03.06] Which of the following is an example of a capital investment? oil. taxes. stocks. computer. [03.06] Which investment produces a $5 hourly profit for a candy shop earning $1 profit per pound of candy? worker at $10 per hour, producing 8 pounds of candy per hour worker at $12 per hour, producing 16 pounds of candy per hour machine with $5 per hour operating cost, producing 10 pounds of candy per hour machine with $8 per hour operating cost, producing 14 pounds of candy per hour [03.06] Which is the most profitable investment for a cell phone company earning $10 per plan contract? opening a new store location with $200 daily operating cost, generating 30 new plans per day redesigning web site at $50 daily operating cost, generating 10 new plans per day creating television commercial at $25 daily operating cost, generating 15 new plans per day offering free $10 gift for every new plan, generating 40 new plans per day [03.06] Usually capital investments increase productivity. decrease productivity. cost too much to be worthwhile. are outdated before the company can afford them [03.04] Pure competition is a market structure that has few competitive firms with the same products. many sellers with differentiated products. a perfectly elastic demand curve. one seller. [03.04] An example of horizontal consolidation is when a bank acquires a company that produces vaults. purchases a share of the U.S. Treasury. divides into two new banks. combines with another bank [03.04] The level of competition most beneficial to consumers is oligopoly. monopoly. pure competition. monopolistic competition.
