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3 years ago

Which is not a characteristic of a demand curve?

Business

1 answer:

Dominik [7]3 years ago

8 0

Answer: The correct answer is (A) : Positive upward slope.

Explanation: A demand curve is basically a graph like any other with the variables in potted on both the x-axis (left to right) and the y-axis (top to bottom). Understanding the definition of demand would make it easier to understand why the answer is option A and why the demand curve has a negative downward slope.

Demand can be defined as the quantity of a commodity or service that a consumer is willing and able to buy at a given price and at a particular point in time. And the law of demand states that “other factors being held constant, the higher the price of a commodity, the lower the quantity being demanded by the consumer. And the lower the price of a commodity, the higher the quantity being demanded by a consumer.”

This is simply a rational consumer behavior. So if the price of movie tickets were to go up let’s say from $10 to $15 then a consumer who previously could afford to watch 8 movies in a month (that’s $80) would be having second thoughts and so, rather than spend $120 per month on movie tickets, would be more inclined to watch less movies and stay within his/her $80 budget.

Therefore, on the demand curve, as the price of movie tickets moves positively towards the right side (on the x-axis), the quantity demanded would move negatively downwards (on the y-axis). As one variable increases the other one decreases, and vice versa. That explains why the demand curve has a negative downward slope.

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A country sells more goods and services to foreign countries than it buys from them. It has Select one: a. a trade surplus and p

GREYUIT [131]

Answer:

a trade surplus and positive net exports.

Explanation:

If a country sells more goods and services to foreign countries than it buys from them, it means the country's export is greater than its import. If export is greater than import, net exports (export- import ( would be postive.

Also, there would be a trade surplus.

A trade surplus is when the value of export is greater than imports.

I hope my answer helps you

5 0

3 years ago

Time lags associated with policy decision making and implementation suggest that______.a.increases in spending to fight a recess

arlik [135]

Answer:

B) increases in spending to fight a recessionary gap may occur too late.

Explanation:

Time lags refers to the time that passes between making a decision and implementing the decision. For example, the FED announces its intention to increase or decrease their interest rate with a lot of anticipation, and sometimes it would be better if they just did it.

Politicians are famous for talking a lot and doing very little, and that happens in every country in the world. During recessions words aren't needed, actions are needed. The problem is that many times words are abundant and actions are scarce. A small problem that is not dealt swiftly and properly can become a huge problem.

5 0

3 years ago

The cost to manufacture one unit of Killian Audio Products' best-selling hearing aid, the Zone, is $67.50. The CFO of the compan

ikadub [295]

Answer:

Economies of scale

Explanation:

Economies of scale refers to reducing total costs per unit by increasing total output. All companies have certain fixed costs, some companies have higher fixed costs than others, but they always exist. When you are producing something, the cost equation is production costs = variable costs per unit + average fixed costs per unit.

Variable costs vary directly with output, while fixed costs do not, e.g. salaries can be fixed, depreciation, rent, interests, etc. The higher the output, the lower the average fixed cost per unit.

Also, sometimes variable costs can also decrease as total output increases. E.g. you can get higher discounts for purchasing larger quantities of materials and supplies.

4 0

3 years ago

______________________: Bringing goods or services into one country from another.

dem82 [27]

Answer:

importing is the answer.

6 0

3 years ago

Mariposa Inc is considering improving its production process by acquiring a new machine. There are two machines management is an

kondor19780726 [428]

Answer:

Machine B should be purchased because it has a lower equivalent annual cost

Explanation:

To determine the better of the two options, we would compare the equivalent annual cost of each options using a discount rate of 14% per annum

Equivalent annual cost = Total PV of cost /Annuity factor

Total PV of cost = Initial cost + PV of annual operating cost

PV of annual operating cost= Annual operating cost × Annuity factor

Annuity factor = (1- (1+r)^(-n))/r

r- rate , n- years

Machine A

PV of annual operating cost = 8,000 × (1- 1.14^(-3)/0.14= 18573.05622

PV of total cost = 290,000 +18573.05622 = 308,573.06

Uniform Annual cost = 308,573.06 /2.321632027 = 132,912.13

Equivalent annual cost = $132,912.13

Machine B

PV of annual operating cost = 12,000 × (1- 1.14^(-2)/0.14= 19759.92613

PV of total cost = 180,000 + 19759.92613 = 199,759.93

Equivalent annual cost = 199,759.93 /1.6466=$121,312.15

Equivalent annual cost = $121,312.15

Machine B should be purchased because it has a lower equivalent annual cost

Total PV of cost

6 0

3 years ago