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kompoz [17]
3 years ago
15

In an economy where heating oil is the primary source of heat for most households, new supplies of natural gas, a substitute for

heating oil, are discovered. Natural gas provides heat at a much lower cost. What is the most likely effect of these discoveries on the market price and quantity of heating oil?
Business
1 answer:
Burka [1]3 years ago
6 0

Answer:

The market price for heating oil will most likely drop and the quantity of heating oil will increase.

Explanation:

The reason for this is because  the demand for natural gas is greater since it can be bought in larger quantities at a cheaper price. This spike in demand will the price of natural gases to increase and quantity to decrease as more and more people start to use it.

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PRO FORMA INCOME STATEMENT Austin Grocers recently reported the following 2016 income statement (in millions of dollars): Sales
padilas [110]

Answer:

Net income = $169.2

Growth in dividend = 76.25%

Explanation:

The projected figures are as below:

Sales = $700 x (1 + 15%) = $805 <em>(15% increase in sales)</em>

Operating costs including depreciation = $805 x 60% = $483 <em>(60% of sales)</em>

Interest expense = 40 <em>(remain constant)</em>

EBIT = Sales - Operating costs including depreciation = $805 - $483 = $322

EBT = EBIT - Interest expense = $322 - $40 = $282

Net income = EBT x (1 - Tax rate) = $282 x (1 - 40$) = $169.2

Dividend = Net income x Dividend payout ratio = $169.2 x (32/96) = $56.4

Growth in dividend = $56.4/$32 = 76.25%

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4 0
3 years ago
Suppose your firm develops a new pharmaceutical product that may be used to reduce blood cholesterol levels, so the firm is the
Troyanec [42]

Answer:

The markup calculated as a result of information about the elasticity of demand

Explanation:

As a monopoly seller of pharmaceutical products the price set as markup would be above our marginal cost.

There are three facts about markup:

1. The Markup is not to be a price below marginal cost of the pharmaceutical product.

2. Markup is smaller when demand is more elastic. Remember if the price elasticity of demand is lower than 1, (negative) a rise in price causes an

increase in revenue for the seller.

Therefore having a -4 elasticity of demand could imply more profits for the firm.

5 0
3 years ago
Baxter Company's merchandise inventory at the start of 2014 was $85,000. The company purchased inventory during 2014 in the amou
11Alexandr11 [23.1K]

Answer:

$306,000

Explanation:

The formula and the computation of the cost of good sold is shown below:

Cost of goods sold = Opening balance of merchandise inventory + Purchase made  - ending balance of merchandise inventory

= $85,000 + $323,000 - $102,000

= $306,000

Basically we have applied the above formula to find out the cost of goods sold

7 0
3 years ago
Benito's family is thinking of relocating from Los Angeles to Oakland to save money. They set up a budget comparing the cost of
padilas [110]

Answer:

Total monthly saving = $1,315

Explanation:

Given:

                         Oakland     Los Angeles  

Cost Housing       $565        $1200

Food                     $545        $655

Health Care          $245        $495

Taxes                    $450         $625

Other Necessities $350        $495

Find:

Total monthly saving

Computation:

Saving in house = $1200 - $565 = $635

Saving in food = $655 - $545 = $110

Saving in health care = $495 - $245 = $250

Saving in taxes = $625 - $450 = $175

Saving in necessities = $495 - $350 = $145

Total monthly saving = $635+$110+$250+$175+$145

Total monthly saving = $1,315

7 0
3 years ago
Read 2 more answers
________ appeals help consumers make purchase decisions by offering factual information that encourages consumers to evaluate th
Anika [276]

"Informational" appeals help consumers make purchase decisions by offering factual information that encourages consumers to evaluate the brand favorably on the basis of the key benefits it provides.

<h3>What is informal appeals?</h3>

A corporate message typically substitutes data and figures for a main notion. A business message should make sure to properly state any significant dates, locations, times, etc.

The powerful business report can be written as-

  • Business reports always are formally presented, impartial, and thoroughly researched. If the study focused on a specific issue or analyzes the actual quality of a whole organization, every data must be accurate and reliable.
  • A business report must be objective, therefore stay away from stating to the reader how and where to feel in your descriptions.
  • Let the sales statistics speak for itself, rather than saying something like "Sales were bad last quarter," if last quarter's sales were down. Person pronouns, such as "I believe we should invest that money," should also be avoided.
  • A business report must to be objective and presented from the viewpoint of the company.

To know more about parts of a business report, here

brainly.com/question/11599232

#SPJ4

5 0
2 years ago
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