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1 year ago

The price elasticity of supply is0.9 , and price increases by10 percent. As a result, the quantity supplied will increase by

Business

1 answer:

Darya [45]1 year ago

6 0

When price increases by 10 percent, the quantity supplied increases by nine percent.

<h3>What is the percentage increase in the quantity supplied?</h3>

Price elasticity of supply measures the responsiveness of quantity supplied to changes in price of the good. Price and quantity supplied have a positive relationship.

If the value of the price elasticity of supply is less than one, it means that supply in inelastic. Supply is inelastic if a small change in price has little or no effect on quantity supplied.

Price elasticity of supply = percentage change in quantity supplied / percentage change in price

percentage change in quantity supplied = percentage change in price X price elasticity of supply

0.9 x 10 = 9%

To learn more about supply elasticity, please check: brainly.com/question/26634801

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Suppose Firm A has a supply curve of Upper Q Subscript Upper A Baseline equals negative 2 plus p and Firm B has a supply curve o

Sonja [21]

Answer:

The total supply can be found by adding individual supply functions as follows:

Qa+Qb = Q

Q = -2+p+0.5p

Q= -2+1.5p where p = $44 therefore;

Q= -2+1.5(44)

Q= 64

Total supply at p = $15

Q= -2+15(1.5)

Q= 20.5

8 0

3 years ago

Read this scenario, and then answer the question that follows. richard is excited to start his trucking business. after taking o

Damm [24]

Some potential economic consequences that Richard did not consider before making his decision are:

The cost of maintenance for used trucks.
The cost of gasoline from the town to the nearest city.
The location of the places that goods will be transported to and from.

<h3>What are economic considerations?</h3>

These are the factors that will affect the profitability and viability of a business.

In Richard's case, he needed to have considered various costs such as the higher cost of maintaining used trucks and the cost of gasoline that he will incur for living so far from big cities.

He also needs to consider the distance his trucks will have to travel to pick up good and deliver them.

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8 0

1 year ago

Ou have been hired as the new pricing manager for WCG, which sells cell phone plans to customers. You manage a team of pricing a

andrew-mc [135]

Answer:

1. WCG agrees with its cell plan competitors to raise prices for all customers - Sherman Antitrust Act

2. WCG colludes with another company to stop offering family plan discounts - Sherman Antitrust Act

3. WCG decides to advertise a new plan that is 75 percent off the regular plan, even though it is only 20 percent less - Wheeler-Lea Act

4. WCG promises retail consumers a "wholesale" rate, even though it is the same price as always - Wheeler-Lea Act

5. WCG wants to attract more women to its plans and starts offering female consumers 30 percent off their bill - Robinson-Patman Act

6. WCG offers a discount to teenage males in an effort to get customers from its more trendy competitor - Robinson-Patman Act

8 0

3 years ago

Trek Company has the following production data for April: units transferred out 40,200, and ending work in process 6,220 units t

Kitty [74]

Answer:

the costs to be assigned to the units transferred out and the units in ending work in process is $562,800 and $49,760 respectively

Explanation:

The computation is shown below:

Cost assign to units transferred out is

= 40,200 units × $4 + 40,200 units × $10

= $160,800 + $402,000

= $562,800

And, the Cost assign to work in progress is

= 6,220 units × $4 + (6,220 units × 0.40) × $10

= $24,880 + $24,880

= $49,760

Hence, the costs to be assigned to the units transferred out and the units in ending work in process is $562,800 and $49,760 respectively

5 0

3 years ago

) Prestwich Company has budgeted production for next year as follows: First Quarter Second Quarter Third Quarter Fourth Quarter

grigory [225]

Answer:

165,000 pounds ($495,000)

Explanation:

To determine the budgeted purchases of material A in pounds for the second quarter, prepare a Materials Purchases Budget as follows :

<u>Materials Purchases Budget</u>

Pounds

Materials Required for Production (80,000 x 2) 160,000

Add Closing Materials Inventory (90,000 x 2 x 25%) 45,000

Total Materials 205,000

Less Opening Materials Inventory (80,000 x 2 x 25%) (40,000)

Material Purchases 165,000

Cost per unit $3

Budgeted Materials Cost $495,000

6 0

2 years ago

The price elasticity of supply is0.9 ​, and price increases by10 percent. As a​ result, the quantity supplied will increase by

The price elasticity of supply is0.9 , and price increases by10 percent. As a result, the quantity supplied will increase by