The right answer for the question that is being asked and shown above is that: "B. Shirley's car will appreciate in value." Shirley qualifies for a $12,000 auto loan and chooses a 36-month loan term versus a 60-month loan term. The shorter term of the loan affect Shirley is that her<span> car will appreciate in value.</span>
Answer:
D. Tasha: "If coffee drinkers expect the price of coffee to rise next month, then current demand will go up and lead to a price increase this month."
This is the only one with incorrect economic analysis
Explanation:
A. is correct because a shortage of supply would drop the price as we can see in the Graph 1 with the supply curve.
B. is correct because if the two goods are substitues then a lower price for caffeinated soft drinks like Mountain Dew would cause the consumer demand for coffe to go down because the consumers would prefer the good with lower price, rising the demand for Mountain dow in detriment of coffe.
C. is correct as we can see in the Graph 1, the increse in the demand would generate a higher price but it would make the demand go back to D1
D. is incorrect because if coffee drinkers consume more coffee this monht the price would lower.
This type of demand is classified as autonomous demand. Autonomous demand does not depend on other products but is due to increase in consumer usage by natural desire. This type of demand is relative to the needs of the consumer.
Answer
2
Explanation:
Cost index in dollar - value LIFO method is used to determine the change in prices since the beginning of he base year by comparing the year end inventory to the base layer cost.
The extended cost of the ending inventory at the most recent price is divided by the cost of the ending inventory at the base year price.
Workings
Cost in term of base layer = $50,000
Cost in term of the layer layer $100,000
Cost index = 100000/50000 = 2
To be able to fix the thing that are broken and to communicate with each other