1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Vadim26 [7]
3 years ago
10

Last week, michelle spent $30 on caviar. today, michelle still spends $30 on caviar even though its price has doubled. what is m

ichelle\'s price elasticity of demand for caviar? (use the midpoint formula for your calculation.)
Business
1 answer:
Liula [17]3 years ago
4 0
Price elasticity of demand describes how the quantity demanded changes with a change in price. It describes how responsive demand is to price. 

The formula for elasticity is:
e = %change in Quantity ÷ % change in price
Keep in mind that this number will almost certainly be negative, since an increase in price should decrease demand. 

The problem tells us that price has doubled. This represents a 100% increase in price: Michelle still spent $30 dollars, although this $30 bought her half as much caviar since the price is twice what it was. This means her quantity demanded, or purchased, fell by 50%. 

e= -50% ÷ 100%
e = -0.5

This tells us, more generally, that a x% increase in the price reduces demand by x/2%. 
You might be interested in
A firm using a(n) _______ essentially adopts a mass-market philosophy, viewing the market as one big market with no individual s
snow_tiger [21]

A company that uses an undifferentiated segmentation strategy adopts a mass market philosophy.

<h3 /><h3>What is undifferentiated marketing?</h3>

It is a strategy that consists of not performing market segmentation to sell your products and services, that is, it does not differentiate the different market niches, with every individual being a potential customer.

Therefore, in undifferentiated marketing, the company sees the market as a large market without individual segments.

Find out more about marketing here:

brainly.com/question/10229975

#SPJ1

5 0
2 years ago
Assume Ford Motors expects a new hybrid-engine project to produce incremental cash flows of $50 million each year, and expects t
photoshop1234 [79]

Answer:

A) $560 million

Explanation:

First lets calculate the NPV of the cash stream by this investment,

PV Cash stream = Cash flow/ (r-g), where r = avg cost of capital and g = growth of the cash stream.

PV = 50 / (0.09 - 0.04)  = $1000 million

We assume that external finance issuance costs are payable as a part of initial outlay of the project and so,

Total initial outlay = 420 + 20 = $440 million

NPV of the project then,

NPV = 1000 - 440 = $560 million

Hope that helps.

8 0
4 years ago
John is injured and receives $16,000 of income from a disability policy. John's employer paid 100% of the disability policy prem
Aleks [24]

Answer:

$16,000

Explanation:

Given:

Amount receives from disability policy = $16,000

John's employer paid = 100%

Amount include in income = ?

Computation of amount include in income:

Amount include in income = Amount receives from disability policy × John's employer paid

Amount include in income = $16,000 × 100%

Amount include in income = $16,000

Note: Payments receives from the health insurance Policies are not included.

7 0
3 years ago
A key element of the scientific management philosophy is
Maksim231197 [3]
I would say that a key element in the scientific management, taking from experience in mining is that to have a successful project outcome, all the variables and their quantities and qualities must be taken into account including materials, equipment, personnel, experience, safety and past record such as in evaluating a drill contractor and also their rates for the drilling for labour and equipment. 
4 0
3 years ago
One reason for the wave of FDI into the United States by Japanese auto companies was partly in response to
zhuklara [117]

Answer:

government-imposed tariffs on Japanese auto imports.

Explanation:

  • Tokyo put no taxes on American and other imported vehicles. The US under the TPP had agreed to its tariff would be 2.5% and that all japan automobiles would be removed. The new tariff system would make auto manufacturers in the US produce and sell cars.
5 0
3 years ago
Other questions:
  • According to the generation m2 study, millennials spend ______ percent of their media use time with a mobile device.
    10·1 answer
  • In a command economy, the head of each household makes the fundamental economic choices such as what to produce and how to produ
    9·1 answer
  • Carmen is giving a persuasive presentation at her university tomorrow. During the speech design process, Carmen asks herself why
    6·1 answer
  • Adjusting entries affect at least one a.revenue and the dividends account b.revenue and one owner's equity account c.asset and o
    14·1 answer
  • Which application's primary business benefits include sales forecasts, sales strategies, and marketing campaigns?
    10·1 answer
  • If you’re thinking about a career as an applied mathematician, you should consider researching the_cluster. Within this cluster,
    15·2 answers
  • Patty owes Samantha $5,000 under a contract for maid services that Samantha performed. Samantha owes her landlord, Alec, $6,000
    11·1 answer
  • You have a loan outstanding. It requires making six annual payments of $ 6 comma 000 each at the end of the next six years. Your
    11·1 answer
  • Why do you think there is wi-fi activity even when you are not actively using network services?
    6·1 answer
  • Brainllest bfgdnlbiuf hybfhong
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!