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2 years ago

If the price elasticity of demand for a product is 2. 5, then a price cut from $2. 00 to $1. 60 will:_______

Business

1 answer:

hoa [83]2 years ago

3 0

Increase the quantity demanded by about 25 percent.

<h3>What is the short definition of price elasticity?</h3>

Price elasticity in business and economics refers to how much people, consumers, or producers alter their demand or the quantity supplied in reaction to changes in price or income.
It is mostly used to evaluate how consumer demand has changed as a result of a price change for a good or service.

<h3>What are some examples of price elasticity of demand?</h3>

When a price increase results in a greater percentage reduction in demand, we say a good is price elastic.
For instance, if price increases 20% and demand declines 50%, the PED equals -2.5. One illustration is Heinz soup. Heinz soup options are plenty today.

learn more about price elasticity of demand here

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Reserves$72Checkable Deposits$240 Securities110Loans from Federal Reserve Banks2 Loans60 Consolidated Balance Sheet: Federal Res

mamaluj [8]

Answer:

d. directly increase by $2 and the money-creating potential of the commercial banking system will increase by $6

Explanation:

Note: The organized table of the question is attached as picture below

Total increase in money supply = (1/Reserve ratio)*2

Total increase in money supply = (1 / 0.25) * 2

Total increase in money supply = 4 * 2

Total increase in money supply = 8.

Out of which 2 is directly increased because fed deposits 2 into checking deposits and 6 is indirectly increased.

5 0

2 years ago

As a new employee at acme global, frederick just spent the morning learning about the organization's policies and procedures. He

jeka94

I believe the answer is: orientation

In business setting, orientation refers to the process of familiarizing oneself to company's culture and operation. Conducting orientation as new recruits would speed up your adaptation process, make it more easier for your coworkers and bosses to accept you, and ensure that you are not left behind in term of expected performance.

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3 years ago

Bailey, Inc., is considering buying a new gang punch that would allow them to produce circuit boards more efficiently. The punch

KengaRu [80]

Answer:

initial investment $100,000

useful life 15 years

cash flow per year = -$2,000 + $12,000 = $10,000

discount rate 5%

discounted cash flow:

1 $10,000/1.05 = $9,524

2 $10,000/1.05² = $9,070

3 $10,000/1.05³ = $8,638

4 $10,000/1.05⁴ = $8,227

5 $10,000/1.05⁵ = $7,835

6 $10,000/1.05⁶ = $7,462

7 $10,000/1.05⁷ = $7,101

8 $10,000/1.05⁸ = $6,768

9 $10,000/1.05⁹ = $6,446

10 $10,000/1.05¹⁰ = $6,139

11 $10,000/1.05¹¹ = $5,847

12 $10,000/1.05¹² = $5,568

13 $10,000/1.05¹³ = $5,303

14 $10,000/1.05¹⁴ = $5,051

15 $10,000/1.05¹⁵ = $4,810

A) discounted pay back period = 14.2 years

B) if the decision rule is a discounted payback period of 3 years, then the project should be rejected

C) the decision rule should be the NPV, which is actually positive since the DPBP is less than 15 years. Only companies that fear premature obsolescence should base their decision on the pay back period. Since this is an electronics company, it is sound to use the pay back period as a decision parameter besides the NPV.

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3 years ago

What is one way we know about what accounting in the ancient world was like?

Degger [83]

Answer:

Explanation:

7 0

2 years ago

Read 2 more answers

Because General Electric is a ____ corporation, Todd Barrow can purchase stock with the help of an account executive through the

dexar [7]

The correct answer is : Public

purchasing stock through Secondary market means that an investor could purchase the stock from other investors, ( usually through stock exchange)
currently, only Public corporations could sell their stocks in the stock exhange

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3 years ago