You work for a large agrochemical manufacturer producing atrazine and glyphosate. a) For glyphosate, marginal costs are constant and positive (MC>0). Analysts report that at the current price, the price elasticity of demand is ​εp,q=−0.75. An executive suggests cutting the price until elasticity reaches -1 to maximize profits. Do you agree with this recommendation? Explain why or why not. b) For atrazine, the firm produces 100,000 kg/year. Marginal cost is constant at MC=$4/kg, and average cost at current output is AC=$9/kg. The current price is P=$10/kg, and the price elasticity of demand is estimated to be constant at εp,q=−2. Should your firm change the price of atrazine or keep the price at $10 per kilogram? Why?

You have been reviewing your client’s description of its internal controls and you notice that the following preventative controls are in place: requiring manager approval for inventory write-offs; and  segregation of duties so that employees executing sales do not perform inventory write-offs. As part of a fraud risk assessment, which of the following choices correctly identifies the fraud scheme(s) these internal controls would help prevent? (Check all that apply)  

Potentially Useful Formulas: 1. Price elasticity of demand: εp,q = (ΔQ/ΔP)(P/Q) 2. Income elasticity of demand : εi,q = (ΔQ/ΔI)(I/Q) 3. Profit maximization for a competitive firm: choose Q such that P = MC (MC: Marginal Cost) 4. Profit maximization more generally: choose Q such that MR(Q) = MC(Q) 5. Total costs = Fixed Costs + Variable costs (TC = FC + VC) 6. AC = TC/Q (AC: Average Cost, TC: Total Cost) 7. Pricing rule of thumb: (P-MC)/P = -1/ εp,q (Where P=Price, Q=Quantity, I=Income, MC=Marginal Cost, MR=Marginal Revenue, TC=Total Cost, FC=Fixed Cost, VC=Variable Cost, AC=Average Cost, εp,q​=Price Elasticity of Demand, εi,q=Income Elasticity of Demand)

Which of the following potential mechanisms for pharmacokinetic drug interactions appears to be LEAST important?

According to Herzberg’s Two-Factor Theory, which is a motivator factor?

Nucleic acids therapeutics are cleared as:

Which cells of the kidney secrete renin?

Today, the ability to compete in global markets depends most on

What was the result of the Civil Rights Act of 1991?

What is a characteristic of successful entrepreneurs?