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One Proposed Remedy for the Microsoft Antitrust Case Is to Break

question 8

Essay

One proposed remedy for the Microsoft antitrust case is to break Microsoft into three equal parts and strictly prohibit any coordination between the parts.The three mini-Microsoft's would then compete with one another in both the operating system and applications markets.From a Systems Competition perspective, comment on how this proposed settlement might eventually affect consumers.

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Definitions:

Net Method

A pricing strategy where the sale price of a good or service includes all discounts and is not subject to additional discounts at the time of payment.

Periodic Inventory System

An inventory management method where stock levels and the cost of goods sold are calculated at set intervals.

Terms 2/10, N/30

Payment terms indicating that a buyer can take a 2% discount if the bill is paid within 10 days, with the net amount due in 30 days.

Net Method

An accounting technique where discounts for early payment are assumed to be taken, reducing the amount recorded as accounts receivable.

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