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3 years ago

If Kindle e-readers and Nook e-readers are substitutes, a higher price for Nooks would result in a(n) ______.

Business

1 answer:

lara31 [8.8K]3 years ago

3 0

Answer: a) increase in the demand for Kindles.

Explanation: the substitution effect for substitute goods gives that, if the price of good A rises, the demand for good B rises. Since a substitute good is a good that can be used in place of another, they are goods that a consumer perceives as similar or are comparable, in such a way that having more of one good causes the consumer to desire less of the other good. From the viewpoint of price, and given that consumers always prefer to spend less in instances where two goods are substitutes, it then means that Kindle can be used and preferred in place of Nooks given that the price of Nooks had gone up. Therefore, increasing the price of Nooks causes a corresponding increase in the demand for Kindles.

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For 2012, Everyday Electronics reported $22.5 million on sales and $18 million of operating costs (including depreciation). The

sammy [17]

Answer:

$1,575,000

Explanation:

Net operating profit before taxes:

= Sales - operating costs

= $22,500,000 - $18,000,000

= $4,500,000

Net operating profit after taxes:

= Net operating profit before taxes - Taxes

= $4,500,000 - ($4,500,000 × 0.35)

= $4,500,000 - $1,575,000

= $2,925,000

Economic Value Added:

= Net Operating Profit After Taxes - (Operating Capital × Weighted Average Cost of Capital)

= $2,925,000 - (15,000,000 × 9%)

= $2,925,000 - $1,350,000

= $1,575,000

3 0

3 years ago

Georgia Products Inc. completed and transferred 163,000 particle board units of production from the Pressing Department. There w

Lerok [7]

Answer:

Pressing Department. Round "cost per equivalent unit" answers to the nearest cent.

a. Total conversion cost $

b. Conversion cost per equivalent unit $

c. Direct materials cost per equivalent unit $

a. Total conversion cost 252.900

b. Conversion cost per equivalent unit 0.61

c. Direct materials cost per equivalent unit 3.20

Explanation:

Solution

a. Total conversion cost 252.900

b. Conversion cost per equivalent unit 0.61

c. Direct materials cost per equivalent unit 3.20

Statement of Equivalent Units(Weighted average)

Material Conversion cost

Units Complete % Equivalent units Complete % Equivalent units

Transferred out 163.000 100% 163,000 100% 163,000

Ending WIP 14,000 100% 14,000 40% 5,600

Total 177,000 Total 177,000 Total 168.600

Cost per Equivalent Units (Weighted average)

COST Material Conversion cost TOTAL

Beginning WIP Inventory Cost $ 0

Cost incurred during period 628.350 252.900 881.250

Total Cost to be accounted for 566,100 102,900 669,000

Total Equivalent Units 177,000 168.600

Cost per Equivalent Units 3.20 0.61 3.81

3 0

3 years ago

4) All of the following are true of known liabilities except:A) Include accounts payable, notes payable, and payroll.B) Are obli

Thepotemich [5.8K]

Answer: E) May depend on some future event occurring. It is not a characteristic of known liabilities.

Explanation: Unknown or uncertain liabilities are those whose existence depends on the occurrence of a future event.

Known liabilities <u>are definitely determinable and measurable.</u>

<u />

3 0

3 years ago

GDP is the: national income minus all non-income charges against output. monetary value of all final goods and services produced

olasank [31]

Answer:

The correct answer is: monetary value of all final goods and services produced within the borders of a nation in a particular year.

Explanation:

GDP of a nation can be defined as the monetary value of all the goods and services that are produced within the geographical boundaries of the nation in a year.

The GDP does not include intermediate goods and services as it may lead to double counting. The reselling of objects is also not included.

It is used to measure the health of a nation's economy. It shows the level of economic activities in a nation. An increase in GDP means economic growth.

6 0

3 years ago

What is the functions of a commercial bank? Explain.

Goshia [24]

A commercial bank offers products and services such as loans, savings accounts, safety deposit boxes and mutual fund/insurance to individuals and businesses.

6 0

3 years ago