Anyone know the answer to this?

You work for a marketing firm that has just landed a contract with Run-of-the-Mills to help them promote three of their products

Mazyrski [523]

Answer:

1.1 substitutes do not market together

-0.35 complements market together

Explanation:

1.1

-0.35

Cross price elasticity of demand measures the responsiveness of quantity demanded of good A to changes in price of good B.

If cross price elasticity of demand is positive, it means that the goods are substitute goods.

Substitute goods are goods that can be used in place of another good.

if the price of a good increases, the demand for the substitute increases and if the price of the good reduces, the demand for the substitute increases.

If the cross-price elasticity is negative, it means that the goods are complementary goods.

Complementary goods are goods that are consumed together

Cross price elasticity = percentage change in quantity demanded of good A / percentage change in the price of good B

Frizzles = -22% / -20% = 1.1

Mookies = 7 / -20 = -0.35

5 0

3 years ago

The costs incurred by a business in an effort to avoid bankruptcy are classified as _____ costs. Flotation Direct bankruptcy Ind

poizon [28]

Answer:

The correct answer is indirect bankruptcy costs.

Explanation:

Indirect costs are considered to be damage to the image and reputation of the company, lost investment opportunities, credit restrictions, conflicts with suppliers, loss of sales, conflicts with workers. Indirect costs are usually much higher than direct costs.

6 0

4 years ago

Gunther earned a 62.5 percent return on a stock that he purchased one year ago. The stock is now worth $12, and he received a di

saul85 [17]

Answer:

Originally pay for the stock = $8

Explanation:

Given:

Total return = 62.5%

Value of stock (after 1 year) = $12

Dividend during the year = $1

Originally pay for the stock = ?

Computation:

$Total\ return = [\frac{Dividend + (Value\ of\ stock\ after\ 1\ year - Purchase\ Value)}{Purchase\ Value} ]\times 100$

$62.5 = [\frac{1 + (12 - Purchase\ Value)}{Purchase\ Value} ]\times 100\\\\0.625 Purchase\ Value = 1 + 12 - Purchase\ Value\\\\1.625 Purchase\ Value = 13\\\\Purchase\ Value = 8$

Originally pay for the stock = $8

6 0

4 years ago

On the first day of its fiscal year, Ebert Company issued $50,000,000 of 10-year, 7% bonds to finance its operations. Interest i

maw [93]

Answer:

Ebert Company

Journal Entries:

1) Debit Cash $43,495,895

Debit Bonds Discounts $6,504,105

Credit Bonds Payable $50,000,000

To record the sale of the bonds at a discount.

2) First semiannual interest payment:

Debit Interest Expense $1,957,315

Credit Amortization $207,315

Credit Cash $1,750,000

To record the first semiannual interest payment.

3) Second semiannual interest payment:

Debit Interest Expense $1,966,644

Credit Amortization $216,644

Credit Cash $1,750,000

To record the second semiannual interest payment.

b. Bond interest for the first year = $3,923,959 ($1,957,315 + $1,966,644)

c. The company issued the bonds at a discount at a coupon rate of 7%, which is less than the market interest rate of the bonds (9%).

Explanation:

a) Data and Calculations:

Face value of bonds = $50,000,000

Price received = $43,495,895

Discount = $6,504,105

Coupon interest rate = 7%

Interest payment = semiannually

Maturity period = 10 years

Market (effective) interest rate = 9%

1) Cash $43,495,895 Bonds Discounts $6,504,105 Bonds Payable $50,000,000

2) First semiannual interest payment:

Interest Expense $1,957,315 Amortization $207,315 Cash $1,750,000

Cash payment = $1,750,000 ($50,000,000 * 3.5%)

Interest expense = 1,957,315 ($43,495,895 * 4.5%)

Amortization = $207,315

Fair value of bonds = $43,703,210 ($43,495,895 + $207,315)

3) Second semiannual interest payment:

Interest Expense $1,966,644 Amortization $216,644 Cash $1,750,000

Cash payment = $1,750,000 ($50,000,000 * 3.5%)

Interest expense = 1,966,644 ($43,703,210 * 4.5%)

Amortization = $216,644

7 0

3 years ago

In a _________ economy, both individuals and the government participate, and enterprises are both publicly and privately owned.

lana [24]

The answer to the question above is letter C. In a Mixed Economy, both individuals and the government participate, and enterprises are both privately and publicly owned. Mixed economy is an economic system which refers to the market economies with proficient regulatory oversight and provided public goods by the government.

4 0

3 years ago