1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
ss7ja [257]
2 years ago
11

Assume the price elasticity of demand for a product is 0.6. When the price is $15, consumers buy 50 units of the good. If the pr

ice decreases by twenty percent, how many units will consumers buy
Business
1 answer:
Igoryamba2 years ago
6 0

The consumer will buy 56 Units

Procedure to solve

Δp = 20% of 15

Δp = 20/100 × 15

Δp = 3

e = 0.6

Formula:

e = (Δq/Δp)×p/q

0.6 = (Δq/-3)×15/50

0.6 × (-3) = Δq × 0.3

Δq = 1.8/0.3 = 6

Price decreases and quantity increases

Therefore

q' = q+Δq

q' = 50+6

q' = 56

p is the given price, q is the given quantity, Δp is the change in price, Δq is the change in quantity, e is the elasticity, q' is the new quantity.

Price Elasticity

The price elasticity of demand can be said to be an economic measure of the increase in the quantity of commodity demands or consumes in relationship to its change in price.

The price elasticity of demand refers to the percentage change in the quantity demanded of goods divided by the percentage change in the price.

Learn more about elasticity here:

brainly.com/question/14450755

#SPJ4

You might be interested in
Which of the following is not correct with respect to using bcc for recipients of a message?
Korvikt [17]

The option that is not correct with respect to using bcc for recipients of a message is this:

  • It should be the default for all correspondence.
<h3 /><h3>What is the Blind Carbon Copy?</h3>

Blind carbon copy is a way of preventing the recipients of a bulk message from viewing the other addressees. While it is a very good privacy option, it is not expected to be the default for all correspondence.

Sometimes, the addressees might have to view their counterparts so BCC is enabled in such cases.

Learn more about the Blind Carbon Copy here:

brainly.com/question/3594902

#SPJ11

5 0
1 year ago
Jack is buying the Padillas' home. He makes his offer and in his terms states, he wants all the window treatments, refrigerator,
gogolik [260]

Answer:

c) Counteroffer

Explanation:

A counteroffer determines this when an offer is being created for the purpose of the earlier offer by another person during the negotiation for creating the ending contract. To make the counteroffer is to reject the previous offer and is created under the terms of the counteroffer or there will be no contract.

Here according to the given scenario, Jack makes the offer in the condition that he needs only microwave, refrigerator, and window treatment and this will be a sale part. Now, Padilla who is selling the home is accepting the terms of Jack with the condition that the refrigerator will remain in the home. So, this case is called the counter offer.

5 0
3 years ago
Ứng dụng thuyết X Y Z vào công ty Honda Việt Nam
Arlecino [84]

Answer:

I d speak this language sorry <3

7 0
2 years ago
Interview any local business owner and request him/her to identity any business problem that they are experiencing
Goshia [24]
I interviewed a local talent management firm's about her business problem that they currently experienced.

Currently, they faced problem from the power of social media. In the past, many artists relied on talent management firm to gain exposure, but today, they can find that exposure through social media. (i.e : youtube, facebook)
7 0
3 years ago
Assume you borrowed $100,000 at a fixed rate of 7 percent for 30 years to purchase a house. If the inflation rate is 3 percent,
nikitadnepr [17]

Answer:

(A) less

Explanation:

Given a positive inflation rate, the real value of the dollar will depreciate by the rate of inflation annually.

Thus, for a house that cost $100,000 today, given a 3% inflation rate, it would cost (100,000 * 1.03 = ) $103,000 after a year.

This means, $100,000 today will have the same value as $103,000 one year later.

Therefore, repayments, which will likely be a fixed sum every year, will have a lower purchasing power as the year progresses.

6 0
2 years ago
Other questions:
  • If you buy the stock and plan to sell it 3 years from now, what are your expected cash flows in (i) year 1; (ii) year 2; (iii) y
    13·1 answer
  • I want to study accounting at levels 2 and 3. What can you offer me in my choice of subjects? Would this come under 'Business'?
    8·1 answer
  • The shareholders' equity of Green Corporation includes $288,000 of $1 par common stock and $480,000 par of 6% cumulative preferr
    8·1 answer
  • The following transactions occur for Cardinal Music Academy during the month of October: Provide music lessons to students for $
    5·1 answer
  • Local government officials would like to know if city residents are generally satisfied with the cleanliness of local
    9·2 answers
  • Shelby Cabinets, Inc. produces custom cabinets. The following inventory balances appeared on its balance sheet.
    15·1 answer
  • Garcia is currently spending his entire lunch budget on 3 sodas and 4 hot dogs. At his current level of consumption, Garcia's ma
    6·1 answer
  • The capital budget forecast for the Santano Company is $725,000. The CFO wants to maintain a target capital structure of 45% deb
    11·1 answer
  • Adrian is one of several engineers applying for a job recently advertised on the internet. While writing his email cover letter,
    8·1 answer
  • Use the three-step demand-supply analysis discussed in class to analyze changes to the equilibrium price, and quantity in the ca
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!