answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
MrRa [10]
2 years ago
8

Ghose and Han​ (2014) found that the elasticity of demand for Google Play apps is negative 3.7. This elasticity applies to a sma

ll college town where approximately​ 1,000 apps per month are sold. If price rises by 10​%: 1) What would be the effect on quantity​ demanded? The quantity demanded will decrease decrease increase by 37 percent.(Enter your response rounded to one decimal​ place.) 2) Would revenue rise or​ fall? Revenue would fall remain unchanged rise fall . 3) What is the percentage change in​ revenue? The change in revenue is 43.30 percent.(Enter your response rounded to two decimal​ places.)
Business
1 answer:
scZoUnD [109]2 years ago
5 0

Answer:

1) The demand will decrease by 37% as a result of a 10% increase in price:

0.10 x -3.7 = -0.37 a ngevative impact in the maginitude of 37%

2) Revneue will fall

3) The decrease in revenues will be for 30.7%

Explanation:

<u>Revenues Price x Quantity</u>

P (1 + 0.1) Q (1 - 0.37) = (1.1)(0.63) = 0.693

we apply to the price the 10% increase

and we apply to the demand the 37% decrease in quantity

The revenue will fall to 0.693 = 69.3%

100 - 69.3 = 30.7%

You might be interested in
A trader wishes to unwind a position of 200,000 units in an asset over eight days. The dollar bid–offer spread,as a function of
suter [353]

Answer

The answer and procedures of the exercise are attached in the following archives.

Step-by-step explanation:

You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.  

3 0
2 years ago
Jaxon Markets currently has credit terms of net 30, an average collection period of 29 days, and average receivables of $211,410
Fudgin [204]

Answer: $50,301

Explanation:

If they offered the new terms of 2/10, net 30 then 45 percent of their customers would pay on day 10 with the remainder paying on average in 32 days.

The collection period would therefore be;

= 0.45 * 10 + 0.55 * 32

= 22.1 days

Currently the Average Daily sales are;

= Average Receivables/ Average collection period

= 211,410/29

= $7,290

With the new collection period their Average receivables would be;

= 7,290 * 22.1

= $‭161,109‬

Potential cash to be freed up = Current Receivables - New receivables

= 211,410 - 161,109

= $50,301

7 0
2 years ago
The following information is taken from the income statement of Olympic, Inc.: Depreciation Expense $ 90,000 Amortization Expens
Lina20 [59]

Answer:

The correct option is D,$402,000.

Explanation:

In determining the cash flow provided by operating activities,we need to adjust the net income for effects of non cash items reported.It is important  to note that the reverse of the earlier treatment of the items is what is required now.For instance depreciation and amortization  were deducted in  income statement,for cash flow purposes we need to add both to net income.

Net income                          $315,000

add depreciation                $90,000

amortization                         $15,000

loss on sale of equipment  $9,000

less gain on sale of building($27000)

Cash flow from operations  $402,000

The cash flow from operating activities as adjusted is $402,000.

6 0
2 years ago
Sigmund wrote four checks last month, and these were the only transactions for his checking account . Accourding to his register
GREYUIT [131]
The answer is $177.48
7 0
2 years ago
Read 2 more answers
Tanner wants to buy a new car. What will he most likely consider when making his decision on the type of car to buy?
Nitella [24]

Answer: a deal website that compares different types of cars, so he can choose the one he likes best

Explanation:

When buying a good or service, it is best to look out for a variety of those goods because it will enable a person to be able to compare the different varieties and be able to pick the one most suitable for them.

Tanner therefore will most likely use a website that compares cars so that he is able to see the features that different cars offer which will enable him make a decision that is most suitable for him.

8 0
2 years ago
Other questions:
  • The problem with relying on a point estimate of a population parameter is that:
    7·1 answer
  • When purchasing a dishwasher a manager can tell if it is in compliance with the regulatory authority by?
    8·1 answer
  • Which of the following is NOT true about franchising?
    15·2 answers
  • In its first month of operations, Bethke Company made three purchases of merchandise in the following sequence: (1) 300 units at
    6·1 answer
  • The unusual types of ingredients Vosges uses, as described in the video, are part of which elementof the four Ps?
    8·1 answer
  • When attempting to build ethical safeguards into the company, businesses can take the following specific approaches:
    7·1 answer
  • The government of Alfon believes that its citizens should have complete freedom in their economic and political pursuits, and th
    11·2 answers
  • Youns Inc. reported the following results from last year’s operations: Sales $ 10,500,000 Variable expenses 6,610,000 Contributi
    6·1 answer
  • The GoT cups are a fast seller and you need to ensure that you have enough rolls of paper to fulfill demand. The first stage in
    5·2 answers
  • Consider the following scenario:
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!