Increased capital investment is generally used for what business expenses?

For a particular good, a 12 percent increase in price causes a 3 percent decrease in quantity demanded. Which of the following s

Charra [1.4K]

Answer:

b.The good is a necessity

Explanation:

The price elasticity of demand = percentage change in quantity demanded/ percentage change in price

3% / 12% = 0.25

When the coefficient of elasticity is less than one, demand is inelastic.

Inelastic demand means that when price increases, there is little or no change in quantity demanded.

Necessity goods are goods that are very important to consumers and thus they tend to have an inelastic demand. For example, medications.

Substitute goods are goods that can be used in place of another good because of their similarity. E.g. butter and margarine

Goods with many substitutes have an elastic demand. If price of a good increases, consumers can easily shift consumption to substitute goods.

Narrowly defined goods have an elastic demand because it is easier to find subsituites for such goods.

Demand is more elastic in the long run because consumers have more time to search for substitutes.

I hope my answer helps you

3 0

3 years ago

Among the greatest failures of the process of collectivization in China was Group of answer choices trying to convert desert and

Romashka-Z-Leto [24]

Answer:

C. the starvation of up to 35 million people.

Explanation:

Collectivization was first introduced in the USSR by Joseph Stalin between 1929-1933 and his purpose for starting this process was to limit the powers of the Kulaks, who were the rich peasants. The program was also aimed at improving agriculture. China adopted this same policy under the rule of Mao Zedong between 1949-1976. Also known as <em>The Great Leap Forward </em>era, this process sought to make China a socialist economy and also increase productivity in agriculture.

The resultant effect of this process was mass starvation of about 35 million people in 1959. Although the government referred to floods and droughts as the cause of this starvation, it was actually the result of collectivization. When Diang Xiaping came into power in 1978, he instituted reforms in the collectivization process that proved successful.

3 0

3 years ago

Requirements

Stella [2.4K]

Journal entries:

Nov. 1, common stocks issued

Dr Cash 41,000

Cr Common stock 41,000

Nov. 4, office supplies and furniture purchased

Dr Office supplies 1,200

Dr Furniture 2,300

Cr Accounts payable 3,500

Nov. 6, service revenue

Dr Cash 2,100

Cr Service revenue 2,100

Nov. 7, land purchased

Dr Land 27,000

Cr Cash 27,000

Nov. 10, service revenue

Dr Accounts receivable 800

Cr Service revenue 800

Nov. 14, payment of furniture

Dr Accounts payable 2,300

Cr Cash 2,300

Nov. 15, wages expense

Dr Wages expense 1,470

Cr Cash 1,470

Nov. 17, collection of accounts receivable

Dr Cash 500

Cr Accounts receivable 500

Nov. 20, service revenue

Dr Accounts receivable 680

Cr Service revenue 680

Nov. 25, received cash in advance

Dr Cash 1,900

Cr Unearned revenue 1,900

Nov. 28, service revenue

Dr Cash 3,100

Cr Service revenue 3,100

Nov. 29, purchase prepaid insurance

Dr Prepaid insurance 840

Cr Cash 840

Nov. 30, wages expense

Dr Wages expense 1,470

Cr Cash 1,470

Nov. 30, rent expense

Dr Rent expense 650

Cr Cash 650

Nov. 30, utilities expense

Dr Utilities expense 650

Cr Accounts payable 650

Nov. 30, dividends distributed

Dr Retained earnings 2,800

Cr Dividends payable 2,800

Dr Dividends payable 2,800

Cr Cash 2,800

Since there is not enough space here, I prepared an excel spreadsheet with the T-accounts.

In order to prepare a trial balance sheet, I must first prepare an Income Statement:

Service revenue $6,680

Wages expense ($2,940)

Rent expense ($650)

<u>Utilities expense ($650)</u>

Net income: $2,440

Retained earnings = $2,440 (net income) - $2,800 (dividends) = ($360)

STEWART CO.

BALANCE SHEET

NOV. 30, 2018

Assets:

Cash $12,070

Accounts receivable $980

Prepaid insurance $840

Office supplies $1,200

Furniture $2,300

Land $27,000

Total assets: $44,390

Liabilities and stockholders' Equity:

Accounts payable $1,850

Unearned revenue $1,900

Common stock $41,000

Retained earnings ($360)

Total liabilities and stockholders' equity: $44,390

Download pdf

8 0

3 years ago

Five years from today, you plan to invest $4,150 for 10 additional years at 7.3 percent compounded annually. How much will you h

just olya [345]

Answer:

$8,395

Explanation:

You will have

$4,150 x (1 + 0.073)^10 = $8,395 at the end of 15 years from today.

6 0

3 years ago

Which document must the borrower receive at least three days before the signing appointment?

sergiy2304 [10]

The document the borrower must receive at least three days before the signing appointment is: Closing Disclosure.

Closing disclosure is a loan document that contains all the information about the what loan entails.

This closing disclosure tend to contain the following:

The loan terms
Transaction details
Closing information
Projected payments
Closing costs
Summary of loan transaction etc

Closing disclosure document must be received by the borrower at least three days before the borrower sign the appointment so as to give the borrower time to go through the document or to review the documents and have good understanding of the loan terms and condition before signed the appointment.

Inconclusion the document the borrower must receive at least three days before the signing appointment is: Closing Disclosure.

Learn more about closing disclosure here:brainly.com/question/4375643

5 0

2 years ago