If Zinc Suppliers Are Successful in Forming an International Zinc

question 115

Multiple Choice

If zinc suppliers are successful in forming an international zinc cartel, they will

• A) lower output and raise prices, which discourages the entry of new firms into the industry.
• B) lower output, raise prices, and have a need to prevent the entry of new firms into the industry.
• C) raise output and raise prices, which discourages the entry of new firms into the industry.
• D) raise output, raise prices, and have a need to prevent the entry of new firms into the industry.

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Definitions:

Current Assets

Assets that are expected to be converted into cash, sold, or consumed within one year or within the normal operating cycle.

Discounted Note

A type of debt instrument that is sold or redeemed for less than its face value but whose actual value matures to the full face amount at a later date.

Face Value

The nominal or original value stated on a financial instrument, such as a bond or stock certificate.

Gross Pay

The total amount of money earned by an employee before any deductions or taxes are taken out.