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1 year ago

what situation is occurring if a 1 percent decrease in price results in more than a 1 percent increase in quantity demand?

1 answer:

3 0

Demand is price elastic, is occurring if a 1 percent decrease in price results in more than a 1 percent increase in quantity demand.

<h3>What is price elastic?</h3>

Price elastic of demand means the measurement of the product's demand with respect to its price.

It is common that if the price of a product will increase, the demand will fall, but some products demand fall more than other products, which is measure by price elastic in demand.

Thus, the correct option is demand is price elastic.

Learn more about demand is price elastic.

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Gems Corp. is a leading jewelry brand that finds it hard to make as much profit as its competitors. In order to overcome this, t

Leni [432]

Answer: B - Internal Analysis

Explanation: Internal Analysis involves a company looking inwards to determine it's competencies, strength, weakness and advantages. Internal anaylsis usually incorporates a SWOT analysis.

A SWOT analysis is the analysis of the strength, weakness, opportunities and threats of the organisation.

An external analysis involves analysing the market place and economy to identify trends and put measures in place to take advantage of current trends to ensure profit maximization.

Competitior anaylsis involves analysising the competitions of an organisation to identify threats and opportunities so as to maximaise profit

Client advantage can arise from building a loyal customer base that always patronise the business or having a company been one of the few producers of a product.

In the case of Gems Corps, they looked inwards and made improvements to how the company is run.

Therefore,Gems Corps made use of Internal Analysis.

I hope my answer helps.

Goodluck

4 0

3 years ago

Match each value with its type.

lozanna [386]

<u>Answer: </u>

The following are the values with their correct matches

Pays medical bills - Liability coverage.

Pays damages to your car - Collision coverage.

Pays damages to the other car - Pays 0% damages to the other car.

<u>Explanation: </u>

Medical expenses are termed as a liability coverage because they certainly cannot be ignored as one cannot choose to risk his health.
The payment done for the repairing of a car damaged due to collision is termed as collision coverage.

One would choose to not spend on the repairing of the other car when one car is in good condition.

7 0

3 years ago

Read 2 more answers

Three months ago, Central Supply stock was selling for $51.40 a share. At that time, you purchased five put options on the stock

oee [108]

Answer:

$4,350

Explanation:

Calculation to determine your net profit or loss on this investment

Net profit = (-$0.60 - $42.70 + $52) × 100 × 5

Net profit= $4,350

Therefore your net profit or loss on this investment is $4,350

7 0

3 years ago

Cirone Inc. reported the following results from last year's operations: Sales $ 9,600,000 Variable expenses 6,810,000 Contributi

weeeeeb [17]

Answer: 8.39%

Explanation:

Margin = Net Income/ Sales

Net income for the company including the new investment:

= 864,000 + (Sales * Contribution margin ratio - Fixed costs)

= 864,000 + (4,200,000 * 30% - 966,000)

= $1,158,000

The combined sales for the company is:

= 9,600,000 + 4,200,000

= $13,800,000

Combined margin:

= 1,158,000 / 13,800,000

= 8.39%

6 0

3 years ago

On January 1, 2021, Cori Ander Herbs granted restricted stock units (RSUs) representing 300,000 of its $1 par common shares to e

Anna [14]

Answer: $1,288,000

Explanation:

The amount should the company record as compensation expense for the year ended December 31, 2022 will be calculated thus

Number of RSUs = 300,000

Market price of shares = $14

Term of RSUs = 3 years

The compensation expense for year 1 which is 2021 will be:

= [(300,000 × $14) × 1 / 3] - $0

= $1,400,000

The compensation expense for year 2 which is 2022 will be:

= [(288,000 × $14) * 2 / 3] - $1,400,000

= $2,688,000 - $1,400,000

= $1,288,000

Therefore, the amount should the company record as compensation expense for the year ended December 31, 2022 will be $1,288,000

Note that the number of RSUs in 2022 was calculated as:

= 300,000 × (100% - 4%)

= 300,000 × 96%

= 288,000

8 0

3 years ago