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Elina [12.6K]
2 years ago
8

If price elasticity of demand is 0.5, it follows that a _______ percent decrease in price would cause a _______ percent increase

in quantity demanded.
Business
1 answer:
aivan3 [116]2 years ago
6 0
A 5% percent decrease in Price would result in a 5% percent increas in demand i think.. 
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JKL Corporation, a company devoted primarily to paper products, is estimating the cost of equity appropriate for a vegetable pro
Andrej [43]

Answer:

Ke 13% according to CAPM

Explanation:

We calculate the cost of equity using the CAPM

Ke= r_f + \beta (r_m-r_f)  

risk free 0.05

market rate  

premium market = (market rate - risk free)= 0.08

beta(non diversifiable risk) = 1

<u>We have to use the beta of the firm. </u>

The beta of a comparable firm is used when we lack information for our own firm.

Ke= 0.05 + 1 (0.08)  

Ke 0.13000 = 13%

7 0
2 years ago
The ABC Company had its highest level of production in May when they produced 4,000 units at a total cost of $110,000 and its lo
lukranit [14]

Answer:

Fixed cost= $50,000

Explanation:

The high low method is the process by which highest level of activity ND lowest level of activity are comapred along with total cost at each level. Fixed and variable cost can be calculated using equations.

Variable cost= (Highest activity cost- Lowest activity cost)/(Highest activity unit- Lowest activity unit)

Variable cost= (110,000-87,500)/ (4,000-2,500)

Variable cost= 22,500/ 1,500= $15 per unit

Fixed cost= High activity cost- (Variable cost* High activity units)

Fixed cost= 110,000- (15*4,000)

Fixed cost= 110,000- 60,000

Fixed cost= $50,000

8 0
2 years ago
A group of manufacturers of LCD screens for computers and cell phones met together monthly in private conference rooms in hotels
aleksklad [387]

Answer: a. ​The manufacturers had engaged in a per se violation of antitrust laws.

Explanation: The Sherman and Clayton Acts would apply to US companies. The group of manufacturers of LCD screens were not specified as US companies. But by virtue of the fact of colluding with Korean makers they would have per se been violating the the Monopoly Regulation and Fair Trade Act (MRFTA) of Korea.

3 0
2 years ago
Hopkins Company has taken a position in its tax return to claim a tax credit of $70,000 (direct reduction in taxes payable) and
Oksi-84 [34.3K]

Answer:

The amount of the additional projected liability that should be recognized is $28,000

Explanation:

For computing the amount of the additional projected liability, we have to apply the formula which is shown below:

= Tax benefit in 20% - Tax benefit in 40%

= $70,000 - $42,000

= $28,000

The other information which is given in the question is irrelevant. So, it is not been considered in the computation part. Hence, it is ignored.

We took the higher value between $42,000 and $14,000.

5 0
2 years ago
The phone rings in the next room and the assistant answers it. She tells the caller, "Yes, sir, he is here." After a moment she
In-s [12.5K]

Answer:

The best question to ask the CEO's personal assistant while you are waiting for the CEO is:

Could you tell me about your work environment?

Explanation:

This question will enable you to build rapport with the personal assistant and to learn more about the organization.  It will expose the personal assistant's job satisfaction level, the job setting, and social features, including physical conditions for a worker at the organization to fulfill her responsibilities.  The question will also expose the general employee feelings of wellbeing, workplace relationships, productivity efficiency, and employee health.  It will expose the organization culture, which is an important determinant of organizational success.

3 0
2 years ago
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