Explain what happen when government imposes a minimum price, Financial Management

Assignment Help:

Explain what will happen while the government imposes a minimum price that is below the market equilibrium price. Why is this true?

The minimum price will comprise no impact on the market. This is true since the price floor will just only have an impact when the market equilibrium price is below it. Companies and consumers will otherwise not change their behavior.


Related Discussions:- Explain what happen when government imposes a minimum price

Profit & loss account, waht are the basic functions of profit & loss accoun...

waht are the basic functions of profit & loss account

How do we estimate expected incremental cash flows, How do we estimate expe...

How do we estimate expected incremental cash flows for a proposed capital budgeting project? We valuate expected incremental cash flows for a proposed project by valuating the

Student, applicability of an operating cycle in vegetable growing in uganda...

applicability of an operating cycle in vegetable growing in uganda

Pension fund management: a global perspective, Pension Fund Management: A G...

Pension Fund Management: A Global Perspective Pension funds are known worldwide more for their social security element. They have assumed more importance from the day the priva

Portfolio management a financial tool for a firm''net worth, I need your...

I need your assistance on how to group the relevant data so as to help me in the data analysis

State about the detection risk, State about the Detection risk This is ...

State about the Detection risk This is the risk that auditors 'substantive procedures don't detect a material misstatement in an account balance or class of transactions. It is

M.r, capital structure

capital structure

What are the operating and financing decisions of any firm, A firm's operat...

A firm's operating and financing decisions   Risk also results from decisions made within the company.  This risk is usually divided into two classes:  - Business risk is th

Determine the return on invested capital, 1.      Consider the following tw...

1.      Consider the following two investment alternatives   Net cash flow   End of year Machine A Machine

What is profit maximisation criterion, Profit maximisation criterion P...

Profit maximisation criterion Profit maximisation criterion is unsuitable and inappropriate as an operational objective of financing, investment and dividend decisions of a fi

Write Your Message!

Captcha
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