1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Troyanec [42]
3 years ago
5

If it is known that the income elasticity of demand for the same good is 2.5, estimate the percentage change in demand if consum

er income increases from $100 to $300.
Business
1 answer:
svetlana [45]3 years ago
8 0

Answer:

500%

Explanation:

Given that,

Income elasticity of demand = 2.5

Consumer income increases from $100 to $300,

Therefore, percentage change in consumer income:

= [($300 - $100) ÷ $100] × 100

=  [$200 ÷ $100] × 100

= 200%

Income elasticity of demand = (% change in Quantity demanded) ÷ (% change in income)

2.5 = (% change in Quantity demanded) ÷ 200%

Hence,

% change in Quantity demanded = 2.5 × 200%

                                                       = 500%

You might be interested in
Building Big Box is a home improvement store based in Kansas and has been responsible for introducing some of the most innovativ
lara [203]

Answer: Finance

Explanation:

The functional area that will be responsible for securing the necessary funding for the expansion is the finance department.

The finance department refers to the department in an organization which is responsible for funds acquisition, funds management and planning for the expenditures on assets.

Since the company is expanding operations by building another facility in Canada, the finance department will provide the funds.

8 0
3 years ago
4. Suppose you have two credit cards. The first has a balance of $410 and a credit limit of $1,000. The second has a balance of
Morgarella [4.7K]
Number 4 is a number 5 is d
4 0
3 years ago
Read 2 more answers
Give the meaning and nature of Foreign direct Investmen.​
Inessa [10]

Answer:

foreign direct investment (FDI) is an investment made by a firm or individual in one country into business interests located in another country. ... However, FDIs are distinguished from portfolio investments in which an investor merely purchases equities of foreign-based companies

6 0
3 years ago
According to the law of increasing opportunity cost,
Alenkinab [10]

Answer:

The correct answer is a. production points outside the production possibility frontier are unattainable

Explanation:

Production possibility frontier graph is attached.

The production possibility frontier shows the possibilities of trade off between two products. The trade off in this frontier use all the resources available. So it is impossible to  reach a point outside the frontier, there are not enough resources.

Download xlsx
7 0
3 years ago
XYZ Company received $18,000 on April 1, 2020 for one year's rent in advance and recorded the transaction with a credit to a nom
djverab [1.8K]

Answer:

Dr Rent revenue

Cr Unearned rent revenue, $4,500

Explanation:

Preparation of XYZ Company Journal entry

Since we were told that the Company received the amount of $18,000 on April 1, 2020 for a one year's rent paid in advance in which the transaction has a credit to a nominal account, this means we have to record the transaction by Debiting Rent revenue with 4,500 and Crediting Unearned rent revenue, with the same amount of $4,500 calculated as

(3/12 x $18,000 ).

Dr Rent revenue

Cr Unearned rent revenue, $4,500

(3/12 x $18,000 )

7 0
3 years ago
Other questions:
  • In order to eliminate piles, you must _________.
    14·1 answer
  • FICO is a credit score.<br><br> True<br> False
    12·1 answer
  • Most recent work on the history of leisure In Europe has been based on the central hypothesis of a fundamental discontinuity bet
    10·1 answer
  • One of the results of the increase in the older population of the United States is
    6·2 answers
  • Comcast is advertising a new paperless statement program. With a few clicks of the mouse, you can now get your statements, pay i
    9·2 answers
  • Officials argue that the government needs to reduce the national debt. Which actions are most likely to accomplish this goal?
    11·2 answers
  • Jessica is considering putting $50 into a money market account that pays a 4 percent annual interest rate. It will take year(s)
    9·1 answer
  • Aria Perfume, Inc., sold 2,870 boxes of white musk soap during January of 2021 at the price of $80 per box. The company offers a
    14·1 answer
  • A bank currently has $150 million in "hot money" deposits against which it wants to hold an 80 percent reserve and $90 million i
    10·1 answer
  • What are the three methods of calculating balance charges on credit cards?.
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!