Which of the Following Statements Regarding Price Discrimination Is False

question 70

Multiple Choice

Which of the following statements regarding price discrimination is false?

• A)In order to capture more surplus, the firm must have some market power.
• B)The firm must have some information about the different amounts people will pay for the product.
• C)The firm must be able to prevent resale.
• D)The firm must be able accurately forecast total sales.

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Definitions:

Impairment Losses

Financial losses recognized when the carrying amount of an asset exceeds its recoverable amount.

Consolidated Financial Statements

Financial statements that present the assets, liabilities, equity, income, expenses, and cash flows of a parent company and its subsidiaries as a single entity.

Amortize

To amortize means to gradually reduce or write off the initial cost of an asset over a period, typically through regular payments covering interest and principal.

Non-Controlling Interest

A share of equity ownership in a subsidiary not attributable to the parent company, representing the portion of the subsidiary's net assets and net income not owned by the parent.