Determine assets dedicated to the two classes of customers


Edison Electric Company's president has been arguing that residential electric rates need to be raised relative to industrial rates. His reason is that the rate of return that the company earns on its assets is higher from its industrial customers than from its residential customers. Is this a good reason? Hint: How can Edison determine its assets dedicated to the two classes of customers?

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Microeconomics: Determine assets dedicated to the two classes of customers
Reference No:- TGS057662

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