Answer:
Ceteris paribus assumption: Demand curves relate the prices and quantities demanded assuming no other factors change
Explanation:
Ceteris paribus is a Latin phrase meaning “other things being equal”. If all else is not held equal, then the laws of supply and demand will not necessarily hold.
Demand is the amount of some product a consumer is willing and able to purchase at each price.
IMPACT THE SUBSTITUTION EFFECT AND THE REAL INCOME
A substitute is a good or service that can be used in place of another good or service. A lower price for a substitute decreases demand for the other product and increases the quantity demanded for tomatoes
A change in the price of a good or service causes a movement along a specific demand curve, and it typically leads to some change in the quantity demanded, but it does not shift the demand curve.
Answer:
The answer is C.
Explanation:
Debt-to-equity ratio is an economical term that is used to express the balance between a companies total debt and its assets. It shows at what ratio the company's assets are funded by investors, stakeholders etc.
Since the industry average debt-to-equity ratio is 0.80 and the two companies have debt-to-equity ratios of 1.00 and 1.50 respectively, they are both over the average.
But with the higher ratio, Carter Co. has a higher financial risk compared to Sunny Co. and the industry average debt-to-equity ratio. So the correct answer is C.
I hope this answer helps.
Answer:
<u>Vertical Linkages </u>
Explanation:
A linkage refers to a connect between two parts. In the organizational context, it refers to communication and coherence between different departments and levels.
Vertical linkage refers to the chain of command and assignment of responsibilities by top level management, vertically downwards to the lower level or operational level management.
Such a chain serves as a mode of communication and as means coordination within an organization.
Activities are performed and tasks are executed by the lower level management, which are consistent and in alignment with the top level management goals. The employees at lower level update their progress to the top level w.r.t the extent goals and targets have been met.
An organization may create such linkages via rules of hierarchy, creation of levels or establishment of formal system of management.
So during adverse times, such a linkage helps since, everybody is aware in advance what they are supposed to do and there is no ambiguity.
Answer:
a. The $25,000 is deductible as a current expense.
b. The $25,000 is still deductible as a current expense.
Explanation:
a.They open a bagel shop in the city?
The $25,000 spent on travel, surveys, and financial forecasts will be treated as an an ordinary and necessary business expense. The reason is that it is spent to carry out an investigation necessary for expanding their already existing business. Therefore, the $25,000 is deductible as a current expense.
b. They decide not to open a bagel shop in the city?
It does not matter whether they open the bagel shop in the city or not. The $25,000 spent on investigation will still be treated as an an ordinary and necessary business expense, since it is spent to expand existing active business. The $25,000 is still deductible as a current expense.
One of the example of the commodities in which the sellers have little choice in setting selling price is books
In selling a books, all the price is usually arranged by the publisher and manufacturer and the seller could not really set the selling prices unless they have enough resource to self-publish
