Answer:
Decrease
Explanation:
The accountant's revenue will decrease because the demand for his services has fallen by 1,818%, while the price he charges has only gone up by 66%.
The rise in prices will not be enough to cover the losses for such a deep fall in demand.
For example, suppose that before, the accountat used to complete 200 services a month for $100 per year, his total revenue is = 200 x $100 = $20,000.
Now, he will charge 68% more, the new service fee is $168, but demand for his services will now be a negative 3436 (200 x 1,818% = 3636), so his revenue will be 0, or even, negative (he could get into debt to afford his expenses).
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Answer:
80%
Explanation:
The capacity utilization rate evaluate the proportion of potential economic output that is actually realized.
To solve for theoretical utilization, we use the following formula as given below;
Theoretical Utilization = {p/(ma)}×100
Where we have our variables as,
p=16
m=4
a=5
Imputing variables into the formula we have
Theoretical utilization = {16÷(4×5)}×100
= {16/20}×100
=0.8×100
=80%