A Computer Manufacturer Sells Computers and Monitors Separately

question 58

Multiple Choice

A computer manufacturer sells computers and monitors separately. This manufacturer also allows consumers to choose any type of computer and any type of monitor and sells the two components as a package. This manufacturer is engaging in a ____________ pricing strategy.

• A)tying
• B)third-degree
• C)mixed bundling
• D)first-degree

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Definitions:

Dividend Policy

Guidelines a company follows to decide how much it will pay out to shareholders in dividends.

Investors

Individuals or institutions that allocate capital to various types of investments with the expectation of earning a financial return.

Dividend Policy

A company's strategy for distributing profits back to its shareholders, which can include the timing, amount, and manner of dividend payments.

Dividend Income

Income received from owning shares in a company, typically paid out of the company's profits.