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
Natasha_Volkova [10]
3 years ago
6

El Niño wind patterns affected the weather across the United States during the winter of 1997–1998. Suppose the demand for home

heating oil in Connecticut is given by Q = 20 – 2 Phho + 0.5 Png – TEMP, where Q is the quantity of home heating oil demanded, Phho is the price of home heating oil per unit, Png is the price of natural gas per unit, and TEMP is the absolute difference between the average winter temperature over the past 10 years and the current average winter temperature. If the current price of home heating oil is $1.20, the current price of natural gas is $2.00, and the average winter temperature this year is 40 degrees compared to 28 degrees over the past 10 years, the price elasticity of demand for home heating oil is:
Business
1 answer:
Fed [463]3 years ago
5 0

Answer:

The price elasticity of demand for home heating oil is-0.36

Explanation:

In order to calculate the price elasticity of demand for home heating oil we would have to use the following formula:

Elasticity of demand = (dQ/dPhho)*(P/Q)

According to the given data we have the following:

demand for home heating oil in Connecticut=Q = 20 – 2 Phho + 0.5 Png – TEMP

current price of home heating oil=$1.20

current price of natural gas =$2.0

Therefore, if Q = 20 – 2 Phho + 0.5 Png – TEMP, then:

Q=20 – 2*1.2 + .5*2 – 12

Q=6.6

Therefore, price elasticity of demand = (-2)*(1.2/6.6)

price elasticity of demand =-0.36

The price elasticity of demand for home heating oil is-0.36

You might be interested in
Blue Spruce Corp. took a physical inventory on December 31 and determined that goods costing $229,500 were on hand. Not included
Irina18 [472]

Answer:

Blue Spruce report as its December 31 inventory is $285,000

Explanation:

Correct inventory

= 229,500 + goods purchased FOB shipping point 30,000 + goods sold FOB destination 25,500

= 229,500 + 30,000 + 25,500

= 285,000

3 0
3 years ago
The yield to maturity on a discount bond is: equal to both the coupon rate and the current yield. equal to the current yield but
dlinn [17]

Answer:

greater than both the current yield and the coupon rate.

Explanation:

A discount bond is a bond that at the point of issuance, it's less than its face or par value.

When a bond is trading for less than its face value in the market, it's known as a discount bond.

The yield to maturity on a discount bond is greater than both the current yield and the coupon rate. This simply means that the coupon rate is usually lower than the yield to maturity of the discount bond.

Additionally, the yield to maturity can be defined as the bond's total rate of return required by the secondary market while the coupon rate is defined as the annual interest of a bond divided by its face value.

For instance, when a bond is issued at a par or face value of $5,000, at maturity the investor would be paid $5,000. But because bonds are being sold before its maturity, it would trade below its face value.

Hence, a bond with the face value of $5,000 could trade for as low as $4,800, thus making it a discount bond.

8 0
4 years ago
3. A company manufactures two types of products: A and B. Three resources R1, R2, and R3 are required to make these products. a.
mojhsa [17]

Answer:

(i)The units of production of Product A and B (x and y) are the decision variables

(ii)Objective is to maximize profit

(iii)Objective function, Max P=20x+50y

(iv)The Contraints are:

8x+2y\leq500....(i)

2x+5y\leq400.......(ii)

3y\leq180

x>0, y>0

Explanation:

Let the number of Product A=x

Let the number of Product B=y

Each unit of product A requires 8 units of R1 and 4 units of R2.

Each unit of product B requires 2 units of R1, 5 units of R2, and 3 units of R3

The availabilities of resources R1, R2, and R3 are 500, 400, and 180

Since R1 \leq500,

Product A requires 8 units of R1 per production unit

Product B requires 2 units of R1 per production unit

Total Unit of R1 possible is given by the inequality: 8x+2y\leq500....(i)

Since R2 \leq400,

Product A requires 2 units of R2 per production unit

Product B requires 5 units of R2 per production unit

Total Unit of R2 possible is given by the inequality: 2x+5y\leq400....(ii)

Since R3 \leq180,

Product B requires 3 units of R2 per production unit

Total Unit of R2 possible is given by the inequality: 3y\leq180....(iii)

Since the manufacturer also makes a profit of $20 and $50 for products A and B, our objective is to maximize profit

Therefore: Objective function, Max P=20x+50y ......(iv)

5 0
3 years ago
question content area if $354,000 of 10% bonds are issued at 95, the amount of cash received from the sale is
Ludmilka [50]

The amount of cash received from the sale is calculated to be $336,300.

The amount of cash received from the sale of bonds can be calculated by using the following formula;

Cash received = Face value of bond × Bond quote

Since $354,000 of 10% bonds are issued at 95 in this case, therefore we substitute the values in the equation to determine the amount of cash received from the sale as follows;

Cash received = $354,000 × (95 / 100)

Cash received = $354,000 × 0.95

Cash received = $336,300

Therefore $336,300 cash is received from the sale if $354,000 of 10% bonds are issued at 95

To learn more about bonds; click here:

brainly.com/question/14442962

#SPJ4

3 0
1 year ago
Price Company’s note receivable is receivable from Score Company. Interest of $7,520 was paid by Score to Price during 2015. Any
Minchanka [31]

Answer:

Please see attachment

Explanation:

Please see attachment

7 0
4 years ago
Other questions:
  • 10. Regarding veal, lamb, or pork, the term noisette would properly refer to
    5·1 answer
  • Windsor Co. is building a new hockey arena at a cost of $2,420,000. It received a down payment of $510,000 from local businesses
    5·1 answer
  • Chico Company paid $560,000 for a basket purchase that included office furniture, a building and land. An appraiser provided the
    12·1 answer
  • The FI Corporation's dividends per share are expected to grow indefinitely by 5% per year. a. If this year’s year-end dividend i
    12·1 answer
  • Which one of the following statements is correct? A) The lessor is primarily concerned with returning the asset at the end of th
    9·1 answer
  • If marginal product is greater than average product:
    9·1 answer
  • How did the constitution differ from the articles of confederation? Match the correct document on the left to each of the featur
    9·2 answers
  • David wants to open a new gymnasium with state-of-the-art equipment and qualified trainers. However, he can only afford either o
    6·1 answer
  • New York Production Company uses the indirect method to prepare its statement of cash flows. The Treasury Stock account had a de
    13·1 answer
  • An Investment Adviser Representative (IAR) is also a registered broker-dealer. The IAR has a brokerage client who has a $1,200,0
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!