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2 years ago

Do you think the price elasticity of demand for Ford sport-utility vehicles (SUVs) will increase, decrease or remain the

1 answer:

8 0

a. When other car manufacturers begin to make SUVs, the price elasticity of demand for Ford's SUV will increase. This is because the options consumers have has also increased.

b. When import is banned, the price elasticity of demand for Ford's SUVs will decrease. This is because there are less substitutes for Ford's SUVs. Consumers would now have limited choices.

c. As a result of the ad campaigns, the price elasticity of demand for Ford's SUVs will decrease. This is because other cars would be considered to be les safe when compared with the Ford SUVs.

d. Overtime, the price elasticity for Ford Cars will increase as there would be more substitutes

Price elasticity of demand measures how quantity demanded responds to changes in the price of a good

<em>Types of price elasticity </em>

Elastic demand : this means that quantity demanded is sensitive to changes in price. Coefficient of elasticity is greater than 1
Inelastic demand : this means that quantity demanded does not respond much to change in price. Coefficient of elasticity is less than 1

To learn more about demand elasticity, please check: brainly.com/question/13565779?referrer=searchResults

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A stock has a beta of 1.28, the expected return on the market is 12%, and the risk-free rate is 4.5%. Using the CAPM, what is th

MatroZZZ [7]

Answer:

14.10%

Explanation:

The calculation of expected return on this stock is shown below:-

Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)

= 4.5% + 1.28 × (12% - 4.5%)

= 4.5% + 1.28 × 7.5%

= 4.5% + 9.6%

= 14.10%

The Market rate of return - Risk-free rate of return) is also called as the market risk premium

hence, the expected rate of return is 14.10%

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3 years ago

Jenna is searching for a job that suits her tastes about where to live. Mary is looking for a job that makes best use of her ski

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Answer:

a. Jenna and Mary are both frictionally unemployed.

Explanation:

Frictional unemployment is short-term in nature and arises as workers search for their first jobs or are moving between jobs. An example of frictional unemployment is a fresh graduate searching for their first employment. Frictional unemployment is the natural unemployment in the economy. It is caused by factors that lead to economic under-performance.

Shifts in the economy cause structural unemployment. It occurs when the skills available are not suited for the current job openings. Jenna and Mary have not been affected by changes in the economy. Their unemployment is natural and temporally.

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3 years ago

Lauer Corporation provided the following information about one of its laptop computers: Date Transaction Number of Units Cost pe

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Answer:

D. $934,500.

Explanation:

FIFO Method:

170 x $870 = 147,900

270 x $970 = 261,900

370 x $1,070 = 395,900

115 x $1,120 = 128,800

Hence, Total Cost of Goods Sold for 925 Laptop Computers will be $934,500.

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4 years ago

A taxpayer's most advantageous tax benefit is A) a tax deduction. B) a depletion allowance. C) a tax credit. D) straight-line de

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Answer:

D) a tax credit.

Explanation:

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2 years ago

What role, if any, should the U.S. government take in this issue of setting fair wages in developing countries?

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Answer:

Corporations of the United States should be tracked by the U.S government to ensure that workers' rights in developing countries should not be compromised.

Explanation:

In many developing countries political leaders are afraid that if wage rates are enforced on big corporations they could be forced off global markets. Foreign investment capital is significant to the economy of developing countries and there is always fear that the loss of such investment may break the economies of these countries. The government of the U.S should ensure vigorous monitoring programs that require businesses to report the location of international factories publicly so that human rights organizations can track their actions independently.

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3 years ago