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Maru [420]
3 years ago
14

How do Government price ceilings and price floors affect the economy? Select all that apply.

Business
1 answer:
serg [7]3 years ago
7 0
The following options are correct: A, B AND C.
Price ceiling and price floor are two price control methods which the government used to control price. Price ceiling is used to prevent prices from been too low while price floor is lowest price a commodity can be sold for .
You might be interested in
Fairweather Corporation purchases merchandise on terms of 2/15, net 40, and its gross purchases (i.e., purchases before taking o
Kobotan [32]

Answer:

The answer is $53,699

Explanation:

Discount = 2%

Discount days = 15 days

Net days = 40 days

Gross purchase is $800,000 per year

Discount on the purchase is $16,000(2% of $800,000)

Therefore net purchase is $784,000($800,000 - $16,000).

Net per day is:

Net purchase ÷ 365 days

$784,000 ÷ 365 days

= $2,147.95

Total trade credit = Net per day x Net days

$2,147.95 x 40 days = $85,918

Free credit = Net per day ×Discount days

=$2,147.95 x 15= $32,219

Therefore, Costly trade credit = Total credit −Free credit

$85,918 - $32,219

= $53,699

9 0
3 years ago
Walker's has a price-earnings (PE) ratio of 16 compared to its industry average of 17. Generally speaking, which one of these st
Snowcat [4.5K]

Answer:

Walker's did not outperform because it PE Ratio is close to Industry average. Industry's data is based on average which means some of the firms may have very high PE ratio and some might have quite lower than the average. It is not obvious that the Walker's outperformed or under-performed. Complete data about the individual firms might make us able to compare the performance of Walker's. Apparently its performance is up to the mark as its PE ratio is very close to Industry average.

Explanation:

<u>PE Ratio</u> is a term which show the investors confidence on the firm. It shows that how much price investors are willing to pay against each unit of earning.

4 0
3 years ago
Labor unions are restrained in their wage demands because Multiple Choice
MAVERICK [17]

Answer:

the labor demand curve is downsloping  is the correct option is  

Labor unions are restrained in their wage demands because the labor demand curve is downsloping

8 0
3 years ago
Why was Megatrends important? A. It changed the way people studied the economy. B. It made Americans realize how far behind they
Romashka [77]
The answer is (D.) It started people thinking about how technology and information would shape the future.
Megatrends are likely used in strategic work for some companies and organizations. These are the great forces in social development that will affect some areas in the nearby futures like in state, civil society, and market. In short, these are the knowledge about the probable future.
8 0
4 years ago
How do investment bankers generate revenues for their firms?
Lesechka [4]
The answer is C they but at a discount, the entire issues of new security....
3 0
3 years ago
Read 2 more answers
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