An industrial producer is searching for a supplier for ball bearings. Its three most important supplier criteria are price, quality, and delivery reliability. The firm has decided that quality and delivery reliability should carry the same weight, and that each of them are twice as important as price. If the weights sum to 100%, what would a supplier with ratings of 40, 90, and 75 in the three respective categories score as a weighted total?

A) 37
B) 370
C) 49
D) 205
E) 74

Under which of the following situations would a monopolist increase profits by lowering price (and increasing output) :

A) if it discovered that it was producing where MC = MR.
B) if it discovered that it was producing where its MC curve intersects its demand curve.
C) if it discovered that it was producing where MC < MR.
D) under none of these circumstances because a monopolist would never lower price.

In Mexico the government has levied a tax on sugary soft drinks. For Coca-Cola, this represents a threat.