Answer:
Inelastic
Explanation:
Elasticity of demand = percentage change in quantity demanded / percentage change in price
percentage change in quantity demanded =
35,000 - 40,000/40,000 = -0.125 = -12.5%
percentage change in price = $10 - $8 / $8 = 0.25 = 25%
Elasticity = -12.5%/25%= -0.5
Demand is inelastic because the elasticity of demand is a less than 1.
Elasticity of demand measures how quantity demanded changes when price change.
Demand is inelastic when a change in price has no effect on quantity demanded. Inelastic demand has a value of less than 1 .
Demand is elastic if a change in price has an effect on quantity demanded. Elastic demand has a value of more 1
Unitary elastic is when a change in price has the same proportional effect on a change in quantity demanded. Unitary elastic demand has a value of 1.
Answer:
economic costs = $56,000
Explanation:
given data
seeds = $2,000
fertilizer = $3,000
pesticides = $6,000
earning = $45,000
solution
total Accounting cost of Mr. jernigan is
total Accounting cost of Mr. jernigan = $2,000 + $3,000 + $6,000
total Accounting cost of Mr. jernigan = $11,000
and
economic costs = accounting costs + opportunity costs
economic costs = $11,000 + $45,000
economic costs = $56,000
Answer:
The rate charged per hour of labor is 120.
Explanation:
Rate charged per hour of labor is given by:
= Budgeted cost per labor hour + Profit margin
= 660000/10000 + 54
= 120
Therefore, The rate charged per hour of labor is 120.
In July, Goldcorp had sales of $540,000. Of this, the 4% sales commission= $21,600, the shipping expenses was 1% at $5400, and the manager's monthly salary was $23,750, plus miscellaneous expenses was $15,000. So I would say that the budgeted expenses would be $21,600+$5400+$23750= $50,750, assuming that miscellaneous expenses were not budgeted. Total expenses would be $65,750 if the $15,000 was included.