Price of elasticity of demand represents the measure of the change in the quantity demanded of a product in relation to its price change. The fact that Jessica buys each month exactly teh same quantity of the roduct (Big Mac) no matter what the price of the product ismeans that Jessica's price elasticity of demand for Big Macs is: 0.
In this situation the price of the product does not affect the demand.
Answer:
(2) I. Express appreciation for trusting you to handle taxes II. Explain situation A. Unexpected income B. Change in tax codes III. Inform the client he owes an additional $10,000 in taxes IV. Close with a forward-looking statement.
Explanation:
This would be the best way to address this situation. In this example, the client is likely to be angry and upset when he realizes about the changes in his taxes. Therefore, you should try to preempt this situation. By expressing appreciation for using you to handle his taxes, you begin in a positive and friendly note. Moreover, you should proceed to explain the situation, inform him of the changes, and end on a kind note.
Answer:
b. Accept Project A and reject Project B.
Explanation:
To verify project viability at a required return rate of 16%, simply calculate the project's net present value at a rate of 16%. If the NPV is positive, then the project should be accepted, otherwise it should be rejected.
Project A:
Project A should be accepted.
Project B:
Project B should be rejected.
Answer:
c. triple-bottom-line approach
Explanation:
The triple-bottom-line approach is a framework with 3 parts: financial, social, and environment. Performance evaluation is more than just financial, it also incorporates social and environmental impacts of the business.
Volcanic batterie's vision statement has represented these 3 bottom lines
Financial- VolcanicBatteries will conscientiously track its financial performance to ensure profits for its investors
Social- enhance its community through employment and supporting charities
Environmental- and dispose of waste in amanner that will not harm the environment
Answer: Will report a liability of $5000 for judgement debt and a claim of $11,000
Explanation:
The liability refers to the obligations of the firm which are certain is going to make payment as compensation.
The $5000 liability, although payment has not been made it's already Incurred by the company under the acural concept.
The claim of $11,000 is only probable and not certain even though amount and time of execution can be estimated, since it's not certain it will only be recorded as a claim in the goverments fund balance sheet.
