None of the above. if this is a big product recall, it must be urgent and top management wants the solution ASAP. if everyone has strong opinion it is difficult to reach a consensus. Hence, Natalie (i feel) should tell the team how urgent this matter is and while she will get input from everyone, the idea that not everyone's input will be the solution as this is an urgent matter must be conveyed to her teammates. Then, she will consolidate after 1 meeting and make a final decision as a team leader.
Answer:
If the elasticity of demand of golf balls sold in the US is -0.4, the new equilibrium price will be -37.5% less price
Explanation:
In order to calculate the new equilibrium price If the elasticity of demand of golf balls sold in the US is -0.4 we would have to use the following formula:
Price elasticity of demand= percentage change in quantity demanded /percentage change in price of the good
According to the given data we have the following:
Price elasticity of demand=-0.4
percentage change in quantity demanded=15%
Therefore, -0.4=15%/percentage change in price of the good
percentage change in price of the good=15%/-04
percentage change in price of the good=-37.5%
Therefore, If the elasticity of demand of golf balls sold in the US is -0.4, the new equilibrium price will be -37.5% less price
Answer:
A. $ 748,714
Explanation:
This 10-year bond with semiannual coupon payment will have 20 coupon payments plus 1 par payment at maturity. The bond price issuing price is the present value of all coupon payments as well as par value. Let formulate the bond price as below:
Bond price = [(Coupon rate/2) x (Par value)]/[1 + (Market interest rate/2)] + [(Coupon rate/2) x (Par value)]/[1 + (Market interest rate/2)]^2 + ...+ (Coupon rate/2) x (Par value) + Par value]/[1 + (Market interest rate/2)]^20
Putting all the number together, we have:
Bond price = [(10%/2) x (950,000)]/[1 + (14%/2)] + [(10%/2) x (950,000)]/[1 + (14%/2)]^2 + ...+ (10%/2) x (950,000) + 950,000]/[1 + (14%/2)]^20 = 748,714