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saveliy_v [14]
3 years ago
8

In the market for crude oil, if the change in demand due to the falling price of natural gas (a substitute for oil) is greater t

han the change in supply due to disruptions in oil-well operations in the Middle East, then the equilibrium price of oil will decrease.True /false
Business
1 answer:
murzikaleks [220]3 years ago
8 0

Answer:

True

Explanation:

The effects of both changes on price is as follows:

1. The Greater Effect - change in demand due to the falling price of natural gas (a substitute for oil)

As price of natural gas, a substitute for oil, falls, demand for oil will fall pushing oil producers to respond by cutting crude oil prices in a bid to sustain demand and prevent its fall. <em>Thus, the effect is a price fall</em>.

2. The Lesser Effect - change in supply due to disruptions in oil-well operations in the Middle East

Due to supply disruptions which will result is a reduction in supply, the price of oil will tend to increase as consumers buy more of a commodity in less supply. <em>Thus, the effect on price is a rise</em>.

There, since the greater effect is a price fall, and the lesser effect is a price rise, equilibrium price is expected to fall.

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Which of the following statements is correct? Group of answer choices The normal balance of revenue is a debit. The normal balan
kaheart [24]

Answer:

The normal balance of liabilities is a credit.

Explanation:

In the double entry system one account must be debited in order for the other to be credited.

There are different balances for each account. For the accounts with normal credit balance a credit causes it to increase while a debit decreases it.

For accounts with negative balance a credit reduces its balance while a debit increases its balance.

- Asset: Debit

- Expense: Debit

- Dividends: Debit

- Liability: Credit

- Owner’s Equity: Credit

- Revenue: Credit

- Retained Earnings: Credit

Liabilities are debt owed by a business. When payment is given out to settle a debt (a debit) it reduces to amount a business owes.

If more loans are collected (a credit) the liability figure increases.

So liability has a normal credit balance

5 0
3 years ago
When a business is calculating its operating costs, it must include _____. answer.com?
Svetach [21]
Variable costs.


Hope that helps, Good luck! (:
6 0
3 years ago
Read 2 more answers
A tax exempt municipality is considering the construction of a new municipal waste water treatment facility. Two different sites
In-s [12.5K]

Answer:

The incremental benefit/cost ratio for Alt A is 2.15 and The incremental benefit/cost ratio for Alt B is 1.35

Explanation:

In order to calculate the incremental benefit/cost ratio for both of the two alternatives we would have to make the following calculations:

For ALT A

PV of benefits = $2,111,404 * [1-(1.06)^-75]/0.06 = $34,744,943.5

Therefore, incremental benefit cost ratio = $34,744,943.5/$16,161,644 = 2.15

The incremental benefit/cost ratio for Alt A is 2.15

For ALT B

incremental benefits = ($3,019,639 -$2,111,404) * [1-(1.06)^-75]/0.06 = $14,945,777.2

incremental benefits = $27,211,376 - $16,161,644 = $11,049,732

Therefore, incremental benefit cost ratio = $14,945,777.2/$11,049,732 = 1.35

The incremental benefit/cost ratio for Alt B is 1.35

5 0
3 years ago
EA3.
icang [17]

Answer:

3,000 units and 1,950 units

Explanation:

For computing the equivalent units of ending work in process for materials and conversion cost, first we have to determine the ending work in process units which is shown below:

Ending work in process units = Beginning inventory + units started - units completed and transferred

= 2,500 units + 18,000 units - 17,500 units

= 3,000 units

Now the equivalent units of ending work in process for materials would be

= 3,000 units × 100%

= 3,000 units

And, for conversion cost it would be

= 3,000 units × 65%

= 1,950 units

3 0
3 years ago
a company announces that it is buying back 10% of its common shares in the open market. the company currently pays no dividends
Marina CMI [18]

P/E choice decrease

When companies buy rear their own stock, it decreases the numbers of claims outstanding. Earnings per share are computed as net income divided by number of shares great. If the number of shares outstanding declines while net revenue stays the same, EPS will increase. If EPS increases while the stock price stays the identical, the price/earnings ratio (P/E) will fall.

<h3>What are stock earnings?</h3>

Earnings refer to a company's earnings in a given quarter or fiscal year. Earnings are a key figure used to select a stock's value. A company's profits are used in many standard ratios. Payments have a big influence on stock price, and as a consequence, the numbers are subject to potential manipulation.

To learn more about Earning, refer

brainly.com/question/26215194

#SPJ4

7 0
1 year ago
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