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OLEGan [10]
3 years ago
14

In 2007, the economy slipped in a recession that many called the worst since the Great Depression. This caused people to experie

nce a general decrease in their income levels. At the same time, there was an increase in the price of wheat used to make Ramen Noodles (an inferior good). Given these two effects, what would happen to the equilibrium price and quantity of Ramen Noodles
Business
1 answer:
Elis [28]3 years ago
3 0

Answer:

an increase in equilibrium price and an indeterminate effect on equilibrium quantity.

Explanation:

An inferior good is a good whose demand increases when income falls and reduces when income rises.

If ramen is an inferior good, when income falls its demand would increase. This would lead to a rise in quantity and price.

An increase in the price of wheat would increase the cost of production of ramen. As a result, the supply of ramen would fall. Price would increase and supply would fall.

The combined effect would be an increase in equilibrium price but an indeterminate effect on equilibrium quantity.

I hope my answer helps you

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Answer:

Direct expenses

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Direct expenses are defined as costs incurred by a business that are directly traceable to a cost object or business entity.

Some overhead cost for example is directly attributable to a particular department, so this is a direct cost.

Some examples of direct expenses are cost of raw materials, direct labour, customer service, transportation cost of goods from a supplier, and so on.

4 0
3 years ago
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Hope that helps! <3

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3 years ago
People who combine natural resources, labor, and capital in a profitable venture are called entrepreneurs.
svlad2 [7]
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8 0
3 years ago
Patterson Co.’s Depreciation Expense is $20,200 and the beginning and ending accumulated depreciation balances are $150,100 and
andreev551 [17]

Answer: $0

Explanation:

Fron the question, we are informed that Patterson Co.’s Depreciation Expense is $20,200 and the beginning and ending accumulated depreciation balances are $150,100 and $155,100, respectively.

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