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3 years ago

Suppose the demand for tacos decreases. What will happen to producer surplus in the market for tacos?

Business

1 answer:

velikii [3]3 years ago

6 0

Answer:

it decreases

Explanation:

As a result of the decrease in demand for tacos, the price of tacos would fall, all other things remaining equal.

Producer surplus is the difference between the price of a good and the least price the seller is willing to sell the product. As a result of the fall in price, the producer surplus would decrease.

Assume that price of tacos before the fall in demand is $10

the least price, the seller is willing to sell tacos is $3.

Producer surplus = $10 - $3 = $7

After the fall in demand, price falls to $8

producer surplus becomes = $8 - $3 = $5

We can see that producer surplus fell

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3 years ago

A company incurs advertising costs of $10,000. The company's three selling departments have the following sales: Department 1—$1

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Answer:

The amount of advertising allocated to:

Department 1: $1,250

Department 2: $3,750

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Total sales of the company = Sales of Department 1 + Sales of Department 2 + Sales of Department 3 = $10,000 + $30,000 + $40,000 = $80,000

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3 years ago

Yeager Corporation has used regression analysis to perform price elasticity analysis. In doing so management regressed the quant

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Answer:

b). 72.458 %

a). 24, 213

Explanation:

1). The second option i.e. 72.458% correctly measures the variance percentage brought in the dependent variable(regressed the quantity demanded) by manipulating the independent variable(price elasticity). The first option is wrong as it shows R multiple which is rather the coefficient. The third and the last options are incorrect as they display the intercept employed to determine the quantity and the key error of calculating the standard deviation.

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Quantity demanded = Intercept + (Adjusted R squared * Price coefficient)

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3 years ago

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Answer:

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6. Restaurant Permits and Licenses.

7. Design Your Layout and Space.

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Read 2 more answers