Answer:
Demand decreases.
Explanation:
If demand decreases while supply remains unchanged, equilibrium price and quantity would fall.
If supply increases, equilibrium price would fall and quantity would rise.
If supply decreased, equilibrium price would rise and quantity would fall
If demand increases, equilibrium price and quantity would rise.
I hope my answer helps you
Answer:
Spelling and Grammar check.
Explanation:
Answer:
Demand for spinach is elastic.
Explanation:
The price floor, which is maintained by the United States, is the minimum price for selling the goods. This price is set above the equilibrium price, which results in excess supply while demand for the same goods remains constant.
Since the prices for spinach cannot be set lower than the price floor and the policy is decreasing the revenue output for spinach farmers then this probably means that the prices are set too high which has decreased the demand for spinach. This means that the demand for spinach is elastic.
Answer and Explanation:
The computation is shown below:
Contribution Margin for Bat
= $50 - $50
= $0
Contribution Margin for Gloves = $100 - $80
= $20
Now
Overall Contribution Margin = (0 ×70%) + ($20 × 30%)
= $0 + $6
= $6
Now
A. Break even sales = Fixed cost ÷ contribution margin
= $57,000 ÷ $6
= 9,500
B.Baseball bats = 9,500 × 70% =6,650
Baseball Gloves = 9,500 × 30% = 2,850
Answer:
160,000 units
Explanation:
Step 1 : Determine the Sales Mix
Bramble : Standard
60000 : 40000
3 : 2
Step 2 : Determine the Overall Break even Point
Break even Point = Fixed Cost ÷ Contribution per unit
= $2400000 ÷ $30
= 80,000
Step 3 : Determine break-even point for Standards
Standards Break even point = 80,000 x 2
= 160,000 units
Thus,
Bramble Corp would sell 160,000 units of Standards at the break-even point
