Since Lorraine is willing to sell her snooker table for no less than $600. if she receives $840, her producer surplus will be $240.
What is producer surplus?Producer surplus is a concept in economics that refers to the difference between the price a producer receives for selling a good or service and the minimum price they are willing to accept for that same good or service. In other words, it represents the benefit that producers receive from selling their products above their production costs.
Lorraine's producer surplus is the difference between the price she receives for selling her snooker table and the minimum price she was willing to accept.
Her minimum price is $600, and she receives $840 for selling the table.
Therefore, her producer surplus is:
$840 - $600 = $240
So, the correct answer is:
$240.
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Answer these question
1. 100 bushels and p1
2. 150
3. as bushels become that big, it gets harder and harder to transport them, messing with the price compared to just buying two separate 100 bushels.
suppose the current equilibrium price of natural gas per mmbtu is $5. if the government decides the price per mmbtu of natural gas cannot rise above $4, there would be:
The current equilibrium price of natural gas per mmbtu is $5. If the government decides the price per mmbtu of natural gas cannot rise above $4, then there would be an excess demand for natural gas.
Equilibrium is a state of balance between supply and demand. When a commodity is at equilibrium, the quantity supplied equals the quantity demanded at a specific price. An equilibrium price is the price that results in the quantity demanded being equal to the quantity supplied.
The current equilibrium price of natural gas per mmbtu is $5. If the government decides the price per mmbtu of natural gas cannot rise above $4, then there would be an excess demand for natural gas. This is because the quantity of natural gas demanded would exceed the quantity supplied at the price ceiling of $4. Therefore, the government's decision would create a shortage of natural gas.
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many countries are investing in countries other than their own, causing each country to become less autonomous and more dependent. group startstrue or falsetrue, unselectedfalse, unselected
The given statement "Many countries are investing (investment )in countries other than their own, causing each country to become less autonomous and more dependent" is true .
It is true that many nations are making investments in nations other than their own, which makes each nation more dependent on the others and less autonomous.
Today, many nations make investments in nations other than their own, which makes each nation more dependent on the other and less independent. The fundamental reason for this is that the investing nation thinks there is a chance to profit from such investments, and the receiving nation can obtain the critical financial resources for its expansion and development.
These investments can take many different forms, including investments in real estate (such as factories), in human capital (such as education), and in financial markets (such as the stock market). These are referred to as foreign direct investments (FDI).
Therefore, it is true that many nations are making investments in nations other than their own, which makes each nation more dependent on the others and less independent.
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Correct Question:
Many countries are investing (investment ) in countries other than their own, causing each country to become less autonomous and more dependent.
(true or false )
which of the following is false? group of answer choices common markets allow for labor mobility between participating nations. a common market is more deeply integrated than an economic union. the european union is a deeper form of integration than nafta. nafta is an example of a free trade area.
The statement that is false is that "The European Union is a deeper form of integration than NAFTA."
The European Union (EU) is a political and economic union consisting of 28 member states that are located primarily in Europe. It has adopted a single currency, the euro, and has achieved political and economic integration through the free movement of goods, services, people, and capital within its borders. NAFTA, on the other hand, is a free trade agreement between the United States, Canada, and Mexico that was established in 1994. While it does create free trade between the three countries, it does not provide for the same level of economic integration as the EU. NAFTA does not require the free movement of people and does not have a common currency.
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Which of the following is correct?
a.) Nominal and real interest rates always move together. b.) Nominal and real interest rates never move together. c.) Nominal and real interest rates do not always move together. d.) Nominal and real interest rates always move in opposite directions.
The statement "Nominal and real interest rates do not always move together" is correct because nominal interest is the total interest paid and real interest is the difference between nominal interest rates and inflation. The correct answer is option "c".
Nominal interest rates are interest rates that are unadjusted for inflation. It represents the total amount of interest paid by a borrower or lender. A borrower would pay more nominal interest rates, whereas a lender would earn more nominal interest rates on their investment. Nominal interest rates are typically less than the real interest rate because they do not account for inflation.
Real interest rates, on the other hand, are adjusted for inflation. It calculates the difference between nominal interest rates and inflation. The real interest rate determines the real return on investment. Because inflation is subtracted from the nominal rate, real interest rates are typically lower than nominal interest rates because inflation lowers the real rate.
The actual movement of nominal and real interest rates is dependent on several factors such as the rate of inflation, global economic conditions, etc.
Therefore option "c" is correct.
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which financial statement shows the sources of the changes in the various permanent equity accounts?
The statement of changes in equity shows the sources of the changes in the various permanent equity accounts.
The statement of changes in equity is a financial statement that shows the changes in a company's equity accounts during a given period. It provides a summary of the changes in the company's permanent equity accounts, such as common stock, preferred stock, and retained earnings, among others.
The statement of changes in equity typically includes the following information:
Beginning balance of each permanent equity accountChanges in each permanent equity account during the period, such as issuances of new shares, repurchases of shares, dividends paid, and net income or lossEnding balance of each permanent equity accountBy looking at the statement of changes in equity, investors and analysts can understand the sources of the changes in a company's equity accounts.
Therefore, the statement of changes in equity provides a valuable source of information for investors and analysts to understand the sources of the changes in a company's permanent equity accounts.
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______ has a greater chance of arising from intangible resources than from tangible resources.
Competitive advantage has a greater chance of arising from intangible resources than from tangible resources.
What is a competitive advantage?Competitive advantage is the term used to describe a business's ability to gain a competitive edge over its rivals in the industry. A company with a competitive advantage can outperform its competitors by producing products or services that are of higher quality or are more cost-effective.Intangible resources are those that cannot be touched, such as a company's reputation or brand image, while tangible resources are physical assets such as equipment or property. Intangible resources are typically more difficult to imitate, making them a source of competitive advantage for firms.
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brookman inc's latest eps was $2.75, its book value per share was $22.75, it had 215,000 shares outstanding, and its debt/total invested capital ratio was 44%. the firm finances using only debt and common equity, and its total assets equal total invested capital. how much debt was outstanding? do not round your intermediate calculations. group of answer choices $2,997,638 $4,534,888 $4,227,438 $3,843,125 $3,612,538
Brookman Inc.'s outstanding debt can be determined using the following formula:
Total Invested Capital (TIC) = Total Assets = Debt + Equity
The debt to total invested capital ratio is then used to determine the proportion of debt in total invested capital. The remaining amount is the equity.
TIC = Debt + Equity
The company's latest earnings per share (EPS) and book value per share (BVPS) are used to determine the company's market value per share (MVPS). There are 215,000 shares outstanding.
MVPS = EPS / BVPS
Market Value of Equity (MVE) = MVPS * Shares Outstanding
Now we will calculate the total invested capital:
TIC = MVE / D/E ratio
Using the above equation we can calculate Debt as:
Debt = TIC - Equity
Substitute the given values in the above equations to get the answer:
BVPS = $22.75EPS = $2.75
Shares outstanding = 215,000D/Total invested capital ratio = 44% = 0.44
Therefore,
MVPS = EPS/BVPS = $2.75/$22.75 = 0.120330D/E = 0.44/(1-0.44) = 0.78MVE = MVPS * Shares Outstanding = $0.120330 * 215,000 = $25,900TIC = MVE/D/E ratio = $25,900/0.78 = $33,205
Debt = TIC - Equity = $33,205 - ($25,900/0.78) = $4,534,888
Thus, the amount of debt outstanding is $4,534,888.
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which of the following normally triggers the warehouse tasks (fulfillment) by the selling company in the order-to-cash cycle? group of answer choices invoice received from the customer purchase order received by buying company sales order approved by the credit manager packing slip received from the shipping department
Sales order received from the sales department normally triggers the warehouse task (fulfillment) by the selling company in the order-to-cash cycle. Option B) is correct .
This is what initiates the fulfillment process, which includes picking and packing the product, shipping it, and collecting payment from the customer.
The sales order is typically sent to the warehouse or distribution center, where the order is processed and the product is prepared for shipment. Once the order is shipped, an invoice is sent to the customer, and payment is collected. The order-to-cash cycle is an important process for companies to ensure timely and accurate fulfillment of orders, as well as timely and accurate payment collection.
Therefore, the correct answer is B) Sales order received from the sales department. The selling company in the order-to-cash cycle is normally triggered by the sales order received from the sales department.
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which of the following normally triggers the warehouse tasks (fulfillment) by the selling company in the order-to-cash cycle? group of answer choices
A) Packing slip received from the shipping department
B) Sales order received from the sales department
C) Picking ticket received from the sales department
D) Journal voucher received from the shipping department
which of the following items are included in cash? multiple select question. checks from customers accounts receivable from customers currency and coins balance in checking accounts notes receivable from customers
Currency and coins are physical forms of money and are the most liquid assets of a business and is included in cash.
Therefore, correct option is : A. Currency and coins.
Checks from customers are pieces of paper that are written by customers that promise payment of a certain amount of money. Balance in checking accounts refers to the amount of money available in a business’s checking account.
Accounts receivable from customers are not considered cash. Accounts receivable is an asset that arises from the sale of goods or services and represents the amounts due from customers. Notes receivable from customers are not considered cash either. Notes receivable is a legal promise to pay a certain amount of money at a specified date and may involve interest payments.
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overland needs to maintain 21 percent of its sales in net working capital. currently, the store is considering a four-year project that will increase sales from its current level of $349,000 to $408,000 the first year and to $414,000 per year for the following three years of the project. what amount should be included in the project analysis for net working capital in year 4 of the project?
The given problem states that Overland needs to maintain 21 percent of its sales in net working capital. The store is currently considering a four-year project that will increase sales from its current level of $349,000 to $408,000 in the first year and to $414,000 per year for the following three years of the project. The question is asking us to find out what amount should be included in the project analysis for net working capital in year 4 of the project.
For calculating net working capital (NWC), we need to subtract the current liabilities from the current assets. Mathematically, it is represented as: NWC = Current Assets – Current Liabilities Now let's find out the current assets and current liabilities. In the problem, current sales are given as $349,000.Current Assets: To calculate current assets, we have to add the inventories, accounts receivable, and cash.
The question does not provide any information about inventories and accounts receivable. We can assume that it is not changing, and we can consider it to be a part of the initial investment, i.e., not relevant to the calculation of net working capital. Therefore, we can assume the current assets as $349,000.Current Liabilities: There is no information provided regarding the current liabilities. We can assume that there are no current liabilities.
Therefore, the current liabilities would be $0. Net working capital would be the same as current assets. Thus, NWC = $349,000. In the first year, sales are $408,000, so NWC is calculated as: NWC = Current Assets – Current Liabilities NWC = $408,000 x 0.21NWC = $85,680For the following three years, sales are $414,000 each year, so the NWC will be: NWC = Current Assets – Current Liabilities NWC = $414,000 x 0.21NWC = $87,240.
In the fourth year, the calculation of net working capital would be the same as for the previous year. NWC = Current Assets – Current Liabilities NWC = $414,000 x 0.21NWC = $87,240 Hence, the amount that should be included in the project analysis for net working capital in year 4 of the project is $87,240.
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when a registered person with a member firm participates in outside private securties transactions without obtaining apporval of the firm, it is reffered to as
"Selling away" refers to the situation when a registered person engages in private securities transactions without obtaining the firm's approval, potentially exposing themselves and the firm to legal and regulatory consequences. B is the correct answer.
Registered individuals who engage in selling away may be in violation of securities laws and regulations, as well as the firm's policies and procedures. This can lead to disciplinary action, such as fines or suspension, as well as potential liability for losses suffered by investors.
Firms have a responsibility to supervise their employees' activities and ensure they comply with regulatory requirements, so they may face consequences as well. It is important for registered individuals to obtain approval from their firm before engaging in any private securities transactions to avoid any potential legal or regulatory issues.
This question should be provided with answer choices:
[A] Market Manipulation[B] Selling Away[C] Churning[D] Selling ShortLearn more about private securities https://brainly.com/question/29494248
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premier, inc., has an odd dividend policy. the company has just paid a dividend of $3.75 per share and has announced that it will increase the dividend by $5 per share for each of the next five years and then never pay another dividend. if you require a return of 11 percent on the company's stock, how much will you pay for a share today?
The current value of Premier, Inc.'s stock is $25.50.
Premier, Inc.'s dividend policy is strange. The company has just paid a dividend of $3.75 per share and has announced that it will increase the dividend by $5 per share for each of the next five years and then never pay another dividend.
What is the current value of Premier, Inc.'s stock?
If you need an 11 percent return on Premier, Inc.'s stock, how much will you pay for a share today?
The current value of Premier, Inc.'s stock is the amount that you would pay for a share today. To find out how much you should pay for a share today, you need to use the present value of an ordinary annuity formula. This calculation will give you the present value of the dividend stream. It will also assist you in determining the share price.
To put it another way, the present value of an ordinary annuity calculates the present value of a stream of equal payments to be received in the future. The following is the formula:
PV = PMT * [1 - 1 / (1 + r)^n] / r
where
PV = present value
PMT = periodic payment
r = interest rate
n = number of payments required
Using the figures from the problem, we can see that:
PV = $3.75 * [1 - 1 / (1 + 0.11)^5] / 0.11
PV = $3.75 * 3.604 / 0.11
PV = $122.85
The current value of Premier, Inc.'s stock is $25.50.
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true or false: capital markets are defined by the type of securities traded rather than the maturity of those securities. true false question. true false
The first choice is correct. Capital markets are characterized by the kind of securities traded rather than their maturity.
What exactly is the capital market?Savings and assets are channelled through capital markets between vendors and those in need. Banks and investors are examples of suppliers because they have capital to lend or invest. Businesses, governments, and persons are all looking for capital in this market. Primary and secondary markets comprise capital markets.The stock market and the yield curve are the two most common capital markets. They aim to improve interactional efficiencies by bringing suppliers and those seeking capital together and providing a venue for them to exchange securities.
The term capital market refers to the physical and based on texture in which various bodies trade multiple kinds of financial instruments.
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which model discounts future value? group of answer choices environmental economics service-based economics mainstream economics product-based economics
The model that discounts future value is mainstream economics.
Mainstream economics is a form of economic analysis that is based on the principles of supply and demand and the maximization of economic efficiency. This model seeks to maximize present value by discounting future value. It is important to remember that this is only a model and not an absolute rule, and that it may not be appropriate in all cases. In environmental economics, for example, future costs are often considered as important as present costs, so the discounting of future value may not be appropriate. Service-based and product-based economics may also discount future value, but they typically place a greater emphasis on current costs.
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mr. finn, an agent with devoted health, is giving a sales presentation and wants to provide some food for his guests. what can mr. finn provide?
If Mr. Finn, an agent with Devoted Health, is giving a sales presentation and wants to provide some food for his guests, he can provide light snacks.
Light snacks would be permitted, but the neighbors may not provide a meal. Mr. Finn can provide foods like chips, nuts, fruits, crackers, pretzels, or vegetables with dip. It's an excellent idea to keep the snack simple so that guests can serve themselves with ease.
Also, Mr. Finn can provide drinks such as water, tea, or juice. These drinks are more than enough for a light refreshment during a sales presentation.
Mr. Finn's primary aim should be to make his clients feel comfortable and at ease during his sales presentation. A small snack and drink would help accomplish this, as well as make them feel appreciated.
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if a company understates its ending inventory in the current period, what effect will this have on cost of goods sold in the following period?
If a company understates its ending inventory in the current period, this will cause cost of goods sold in the following period to be overstated.
When a company understates its ending inventory in the current period, it is recognizing less inventory than is actually present. This results in the cost of goods sold in the following period being higher than it would be if the company had reported the accurate ending inventory.
To illustrate this concept, assume a company had $10,000 of inventory on hand at the end of a period. If the company understates this ending inventory by $2,000 and recognizes only $8,000 in inventory, then the cost of goods sold in the following period will be overstated by $2,000 because the company is effectively accounting for more inventory than actually exists.
As a result, cost of goods sold in the following period will be overstated by $2,000.
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when gm and ford motor company introduced large factories and mass production, the cost of building each car declined. this effect exemplifies blank . multiple choice question. job specialization law of diminishing returns economies of scale departmentalization
The cost of producing each automobile decreased as GM and Ford Motor Company built large factories and mass production; this result is an example of economies of scale.
What is the Ford Motor Company's business plan?Market penetration is Ford's main intensive growth strategy. In order to expand the company, this intense strategy calls for selling more products to current clients. Ford uses this intense expansion approach by expanding its dealership network and upping sales.
What kind of corporate structure does GM have?Regional divisions make up the organisational structure of General Motors Company. According to geographic regions or operational areas, corporate activities are grouped in this form of organisational structure.
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elena plans to open a non-profit child-care center in her depressed neighborhood. she may qualify for an sba loan program that provides loans of up to $50,000 known as the:
Certified Development Company 504 Loan Program. Elena plans to open a non-profit child-care center in her depressed neighborhood. She may qualify for an SBA loan program that provides loans of up to $50,000 known as the 7(m) Microloan Program.
The Small Business Administration (SBA) is in charge of the MicroLoan Programme. The MicroLoan Programme has offered microloans to start-up, recently established, or expanding small business ventures since 1992.
It is specifically intended to assist people like women, low-income, veteran, and minority entrepreneurs who might not be able to secure capital in the commercial sector. Additionally, the programme offers technical assistance to current and potential microloan borrowers as well as assistance with marketing and management.
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rebeya is setting goals with the executive team of her organization. these goals include financial and productivity goals, as well as environmental and sustainability goals. which type of goals is rebeya establishing?
Rebeya is establishing a set of multidimensional goals that encompass financial, productivity, environmental, and sustainability objectives. These types of goals are commonly referred to as "balanced scorecard" goals or "integrated goals."
The ''integrated goals'' recognizes that an organization's success cannot be measured by financial metrics alone, but rather by a combination of factors that contribute to long-term success and sustainability.
By setting multidimensional goals, Rebeya is taking a holistic approach to management that considers not only the financial bottom line but also the impact of the organization's activities on the environment and society.
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the activity which can be used to predict the behavior of a manufacturing or service system by actually tracking the movement and interaction of the system comonents is known as
The activity which can be used to predict the behavior of a manufacturing or service system by actually tracking the movement and interaction of the system components is known as simulation.
Simulation refers to the creation of an artificial environment that imitates the conditions of a real-world process or system in order to comprehend and analyze its characteristics. Simulation is frequently employed to assist in decision-making, problem-solving, and analysis of complex systems or processes that are impossible or difficult to comprehend or predict by other methods. It has many applications in a variety of fields, including manufacturing, engineering, healthcare, and transportation, among others. In manufacturing and service systems, simulation can be used to study and evaluate various aspects of the system, such as resource allocation, capacity planning, process optimization, and quality control, among others.
By tracking and analyzing the movement and interaction of system components, simulation can help to identify bottlenecks, delays, and other issues that may impact the performance of the system. By simulating various scenarios and alternatives, decision-makers can identify the most efficient and effective ways to improve system performance and achieve their goals.
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assuming brokerage fees of $6000, calculate the amount of cash needed to retire baldwin's 12.4s2030 bond early.
5,591,396 is the amount of money required to pay down the Baldwin 12.4 20 bond.
The term "bond" refers to a type of security in finance where the issuer (debtor) owes the holder (creditor) a debt and is required, depending on the terms, to provide cash flow to the creditor (e.g., repay the principal (i.e., amount borrowed) of the bond at the maturity date as well as pay down interest (called the coupon) over a specified period of time).
Depending on the economic value that is stressed, several types of bonds are created with varied cash flow timing and amounts. Semiannually, annually, and less frequently at other times, the interest is typically due at set intervals.
Consequently, a bond is a type of borrowing or IOU. Bonds offer the borrower external financing for long-term investments.
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referring to a used car price guide to agree on the price during a sales negotiation is an example of which component of principled negotiation?
Referring to a used car price guide to agree on the price during a sales negotiation is an example of the "objective criteria" component of principled negotiation.
Principled negotiation is a method of finding a mutually beneficial outcome for both parties while maintaining a positive relationship. This method, also known as “win-win” or “interest-based” negotiation. A framework for finding a mutually beneficial solution can be referred to as principled negotiations. Objective criteria assist parties to avoid using personal biases or any other underhand tactics that may not be objectively relevant during the negotiation. They provide an independent perspective that assists the parties in creating rational and logical conclusions.
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the employee handbook expresses an expectation that employees make every attempt to schedule their vacation time around any existing business commitments. this is an example of a group of answer choices standard operating procedure. policy. heuristic. rolling plan. rule.
If the employee handbook expresses an expectation that employees make every attempt to schedule their vacation time around any existing business commitments: This is an example of a policy.
What is the scenario an example of?In this case, the employee handbook expresses an expectation that employees should schedule their vacation time around existing business commitments.
This is a policy that outlines the organization's expectations with regard to employee vacation scheduling.
Therefore we can concluded that the correct option is B.
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The complete question is:
the employee handbook expresses an expectation that employees make every attempt to schedule their vacation time around any existing business commitments. this is an example of a group of answer choices
standard operating procedure
policy
heuristic
rolling plan
rule
nrr has identified for investment choices for a customer who is a senior looking for current income which
The NRR has identified four investment choices for a senior looking for current income. These include investing in short-term bonds, dividend-paying stocks, income-producing mutual funds, and fixed annuities.
Short-term bonds offer a guaranteed return and are relatively low-risk. Investors should be aware of the interest rate risk associated with these investments, however, since the rates can fluctuate over time.
Dividend-paying stocks provide income in the form of dividend payments to shareholders. These stocks may provide higher yields than bonds, but there is a greater risk of the stock’s price declining.
Income-producing mutual funds invest in a variety of stocks, bonds, and other securities in order to generate a steady stream of income. These funds often provide a higher yield than short-term bonds, but there is still a risk of the fund’s value fluctuating.
Finally, fixed annuities provide a guaranteed income stream and can be a good choice for seniors looking for steady income. However, there may be fees associated with annuities and the income stream may not be adjusted for inflation.
In conclusion, seniors looking for current income can choose from a variety of investment options. Each option has its own set of risks and benefits, and it is important to carefully weigh each option before investing.
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sadie received $54,000 of compensation from her employer and she received $485 of interest from a corporate bond. what is the amount of sadie's gross income from these items?
Sadie's gross income, add the compensation from her employer ($54,000) and the interest from the corporate bond ($485) to get the total gross income of $54,485.00.
Sadie received $54,000 of compensation from her employer and she received $485 of interest from a corporate bond. The amount of Sadie's gross income from these items is $54,485.
Gross income is the amount of income before any deductions are made. Gross income is the money you earn before deductions such as federal income taxes, Social Security, and Medicare taxes are made.
Compensation is the amount paid to an employee for services rendered. Compensation includes salary or wages, bonuses, and any other benefit or remuneration given to an employee.
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which of the following is a category of accounting change? multiple choice question. reporting entity reporting class entity classification liability classification
entity classification is a category of accounting change.
This is one of the categories of accounting change. Accounting change is the alteration of the use of accounting principles or the application of accounting principles from one accounting period to the next by a corporation, the method of presenting financial statements, or the time period included in financial statements.
The three types of accounting changes are a modification in accounting policy, correction of an accounting error, and modification in reporting entity. Assuming that the information presented in the question refers to accounting changes with respect to an entity, Entity classification is the category of accounting change.
Entity classification entails a modification in the scope of the entity included in the financial statements. For example, the consolidation of the accounts of a subsidiary into those of a parent corporation.
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true or false: industrial policies of the united states have been more formal than those of japan. the u.s. government discourages exports via its export-import bank
True. Industrial policies of the United States have been more formal than those of Japan.
The United States government discourages exports via its Export-Import Bank by providing financial assistance, such as loan guarantees and insurance, to support exports of American goods and services.
The United States government has maintained a more formal policy for industrial development than Japan, which typically relies on incentives to encourage investment in certain industries. The US has a variety of financial support mechanisms, such as loan guarantees and insurance, to support exports of American goods and services.
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the sale of goods is excluded from the calculation of gdp because they contribute nothing to current production. multiple choice question. final new intermediate used
The sale of goods is excluded from the calculation of Gross Domestic Product (GDP) because it does not represent a current production of goods and services. Final new intermediate used as final goods
The sale of used goods is excluded from the calculation of GDP because they contribute nothing to current production.
Gross Domestic Product, abbreviated as GDP, is the overall monetary value of all goods and services produced in a country over a given time period, normally a year.
The sales of new, final goods and services are included in the GDP calculation, whereas the sales of intermediate and used products are not.
The sales of used products are not included in GDP calculations since they do not contribute to present production.
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adults have more money than teenagers and perhaps more inelastic demand for video games than teenage video gamers. why might it be difficult to price-discriminate based on this fact?
It might be difficult to price discriminate based on the fact that adults have more money and less elastic demand because "teenage gamers could exploit arbitrage opportunities, buy games at the low price, and re-sell them to adult gamers."
Price discrimination is the practice of charging different prices for the same product to different customers based on their willingness to pay.
In the case of video games, it would make sense to charge adults more than teenagers since they are willing to pay more and have less elastic demand. However, if the price difference is significant enough, teenagers could take advantage of this by buying games at the low price and then re-selling them to adults at a profit.
This would limit the effectiveness of the price discrimination strategy and make it difficult for game companies to capture the full value of their products.
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