Answer:
First we need to first find the equilibrium quantity and price during normal times.
The equilibrium price in normal times is P=$3 and the equilibrium quantity is 55 bottles.
During the hurricane, the government will set a price ceiling of $3. We can infer from the table that the quantity supplied at P=$3 is 55 bottles while the quantity demanded during hurricane at the price of $3 per bottle is 105 bottles. Hence,
105-55= 50
During a hurricane, there would be a shortage of 50 bottles of water.
If there were no price ceiling, then the equilibrium price would be such that the quantity demanded during hurricane equals the quantity supplied. From the table we can see that the equilibrium price would in that case be P=$5 per bottle where the equilibrium quantity is 85 bottles. With the price ceiling only 55 bottles are available for trading. Now without the price ceiling 85 bottles are available.
Hence consumers would have to pay an additional $2 (=5-3) but they can now buy an additional 30 bottles [=85-55].
Without the antiprice gouging law, consumers would have to pay $2 more than the ceiling price, but they would bv able to buy 30 more bottles of water.
Answer:
The dividend payout ratio is 43.33% as shown below
Explanation:
EBIT is an acronym for earnings before interest and tax, it is given as $2 million.In other words, to arrive at net income we need to deduct interest on loan and tax.
EBIT $2000000
less interest(5000000*10%) ($500000)
Earnings before tax $1500000
Tax @40% ($600000)
Net income $900000
Since capital project requires 60% of equity(net income belongs to equity holders),hence we need to deduct 60% of capital outlay from net income to arrive at distributable earnings.
distributable earnings =$900000-(60%*$850000)
=$390000
Hence dividend payout ratio=distributable earnings/net income
=$390000/$900000
=43.33%
SLPS trade securities on their own behalf (not for someone else).
Answer:
Critical thinking is the analysis of facts to form a judgment. The subject is complex, and several different definitions exist, which generally include the rational, skeptical, unbiased analysis, or evaluation of factual evidence.
Explanation:
i just know
Impact theory says that the moon formed from the dust produced by a collision between Earth and another large body.
