Answer:
D. estimate price elasticity of demand by experimenting with different prices.
Explanation:
Price elasticity of demand is an economic concept which is a measure of the sensitivity of customers willingness to buy something to its price. If the customers readily change their buying behavior with a change in price of the product, it would mean that the demand for the product is elastic.
When firms are introducing new products, they generally determine the best selling price by experimenting with different prices and observing the buying behavior of customers. Then the choose the price which produces the maximum amount of revenue for the firm, which entails the price of the product and number of units sold.
Answer:
Balance of payments (BOP)
Explanation:
The balance of payments is referred to details of the transaction that held between two entities either in the same country or outside the country of a particular time period.
when the transaction was done for another country, there is a deduction of credit from the balance of payment and when transaction was done for the same country then credit is added to the BOP
The answer to this question is:
<span>The write-off of intangible assets is called?
</span>C-"Amortization."
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(a) Debt ratio = 0.82
Debt/ Assets = 0.82
Debt/(Debt + Equity) = 0.82
Debt = 0.82Debt + 0.82 Equity
0.18Debt = 0.82 Equity
Equity = 0.18Debt/0.82
Debt/Equity = Debt/(0.18Debt/0.82) = 4.5556
Debt/Equity = 0.82/0.18 =4.5556
Debt-Equity ratio = 4.56 times
(b) Equity Multiple = 1 + Debt-equity ratio
Equity multiplier = 1+4.56 = 5.56
Equity multiplier = 5.56 times
Answer: $82000
Explanation:
Interest will be calculated as:
= No of shares x Face value per Share x Interest rate
= 1000 × $1000 × 8%
= 1000 × $1000 × 0.08
= $80000
Total face value of shares issued = 1000 × $1000 = $1,000,000
Issue Amount will be:
= No of shares x Face value per Share x Issue rate
= 1,000 x 1,000 x 98 %
= $980,000
Discount on issue will be:
= $1,000,000 - $980,000
= $20,000
Amortization of Discount on issue per annum will be:
= $20,000/10
= $2000
Therefore, interest expense will be:
= $80000 + $2000
= $82000
