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iragen [17]
4 years ago
10

The price elasticity of demand is: ________ A. negative, but the minus sign is ignored. B. positive, but the plus sign is ignore

d. C. positive for normal goods and negative for inferior goods. D. positive because price and quantity demanded are inversely related.
Business
1 answer:
stira [4]4 years ago
6 0

Answer:

A. negative, but the minus sign is ignored.

Step-by-step explanation:

The price elasticity of demand is negative, but the minus sign is ignored.

By definition, price elasticity of demand can be defined as the degree of responsiveness of a change in quantity demanded as a result of a change in price of the commodity.

That is, one percent change in price leads to one percent change in quantity demanded.

Price elasticity of demand is negative but the minus sign is ignored. In economics, we interpret the value in absolute terms such that the minus sign is ignored. When PED is negative, it implies that a one percent change in price of a commodity will lead to a small change in quantity demanded of the commodity. In this case, PED is fairly inelastic; that is, Ed < 1. The commodity in question is a normal good and is conformed to law of demand which states that the higher the price of a commodity, the lower the quantity demanded, and vice versa, all things being equal (celeris paribus).

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Adriana only buys doighnuts from her favorite local doughnut shop. what type of good is it?
nikdorinn [45]

I assume that the donut is very good

5 0
3 years ago
Haft Construction Company determines that 54,000 pounds of direct materials are needed for production in July. There are 3,200 p
alexandr402 [8]

Answer:

cost of direct materials purchases   160,800

Explanation:

pounds required for production      54,000

desired ending inventory                    2,800

total needs                                         56,800

beginning inventory                           (3,200)

units to be purchased                        53,600

cost per unit of direct materials                  3

cost of direct materials purchases   160,800

<u>Notes:</u>

The pounds for production and the ending inventory are the raw materials demand.

The beginning inventory is a portion we already have, so we need to purchase less.

Then, we multiply the pounds to be purchased by their cost to get the total cost for direct materials

3 0
3 years ago
Bob is evaluating a bond issue to determine the right price for the bond. In his evaluation, he gathers the following informatio
Elanso [62]

Answer:

The price of the bond is $1000. Thus, option a is the correct answer.

Explanation:

The price of a bond is calculated using the present value of the interest payments made by the bond, which is in the form of an annuity, plus the present value of the face value of the bond. The present value is calculated by discounting the annuity of interest and the face value by the YTM or yield to maturity. In case YTM is not provided, we assume that it is same as or equal to the coupon rate paid by the bond.

The formula for the price of the bond is attached.

Bond Price = 25 * [(1 - (1+0.025)^-8) / 0.025]  +  1000 / (1+0.025)^8

Bond Price = $1000

5 0
3 years ago
Defined by Miles as "a requirement of the activities of one subunit that is affected by the activities of other subunits" is a _
Natali [406]

Defined by Miles as "a requirement of the activities of one subunit that is affected by the activities of other subunits" is a <u>contingency</u>.

According to the contingency theory of management, situational circumstances can have an impact on the relationships between dependent and independent variables at work, which will have an effect on employee behavior, effectiveness, and behavior at work in general. Also known as the situational approach to management, this idea.

It is crucial to take into account the particular contingency factors that apply to each business in order to assess organizational data effectively and increase employee engagement. A need for one component's operations that affects those of another subunit is known as a contingency.

The above question is incorrect, the correct question is:

Defined by Miles as "a requirement of the activities of one subunit that is affected by the activities of other subunits" is a _________.

To know more about Contingency here

brainly.com/question/29816313

#SPJ4

4 0
1 year ago
Ajax, Inc., issued callable bonds with a par value of $1,000,000 that require the payment of a call premium of $10,000. The bond
ivann1987 [24]

Answer:

Explanation:

The journal entry is shown below:

On September 30

Bonds payable A/c Dr $1,000,000

Loss on bond retirement A/c Dr $20,000

          To Discount on Bond A/c  $10,000

          To Cash A/c $1,010,000

(Being the callable bond is recorded)

The computation is shown below:

For cash

= Par value of bond + Premium

= $1,000,000 + $10,000

= $1,010,000

For Loss, it would be

= $1,010,000 - $990,000

= $20,000

And, the remaining amount would be transferred to discount on bond

7 0
3 years ago
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