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sammy [17]
3 years ago
14

What is true of demand for a good that has many available substitutes?

Business
1 answer:
Margarita [4]3 years ago
7 0

Answer:

Demand for the good is relatively elastic

Explanation:

Substitute goods are goods that can be used in place of one another.

For example, there are different brands of jeans. These different brands serve the same purpose and be used interchangeably.

Goods with many substitutes usually have a relatively elastic demand.

Price elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.

Price elasticity of demand = percentage change in quantity demanded / percentage change in price

The more elastic a good is, the more demand is sensitive to price changes

If the price of a good increases and it has many substitutes, consumers can easily shift to consuming a cheaper substitute

You might be interested in
The change in period-to-period operating income when using variable costing can be explained by the change in the
wolverine [178]

Answer:

Unit sales level multiplied by a constant unit contribution margin.

Explanation:

The change in period-to-period operating income when using variable costing can be explained by the change in the Unit sales level multiplied by a constant unit contribution margin.

Hope this helps!

6 0
4 years ago
A fast-food restaurant accepts five dollars in cash as payment for three tacos. This is an example of money's role as a:
shtirl [24]

Answer:

The correct answer is c. medium of exchange.

Explanation:

Money is a financial asset that serves as an intermediate platform to optimize the exchange of goods and services, avoiding the inaccuracies of bartering, that is, the direct exchange of goods and services. Therefore, for a good to be qualified as money, the following three criteria must be met and that are the three main functions that money fulfills in a modern economic system:

  1. Exchange medium: to avoid the inefficiencies of a barter system. When a good is required for the sole purpose of using it to be exchanged for other things, it owns this property. In addition, money should be a lightweight and easy to store and transport.
  2. Unit of account: When the value of a good is frequently used to measure and compare the value of other goods or when its value is used to denominate debts, it is said that the good possesses this property. The unit of account means that it is the unit of measure that is used in an economy to set prices.
  3. Conservation of value: When a good is acquired with the objective of preserving commercial value for future exchange, then it is said to be used as a store of value. Money is a store of value but not the only one, any asset that maintains its purchasing power over time will serve as a store of value.
4 0
3 years ago
Why my questions never get answer. I feel unappreciated. Going to brainly x'd x'd
zysi [14]
Aww im truly sorry about that let me know if i can help 
4 0
4 years ago
Which of the following is a disadvantage of establishing a wholly owned subsidiary?
Fiesta28 [93]

Answer:

The answer is letter A

Explanation:

Establishing a wholly owned subsidiary is generally the most costly method.

5 0
3 years ago
A lottery game requires that you pick 6 different numbers from 1 to 84 . If you pick all 6 winning​ numbers, you win the jackpot
larisa [96]

Answer:

There is 2,348,889,264 way to pick exactly 5 out of the 6 winning numbers.

Explanation:

hi, we need to use a combination in order to get 5 out of the 6 winning numbers of a ticket without regard to order. The formula is as follows.

C(n,r)=\frac{n!}{r!(n-r)!}

Where:

n = total numbers in the lottery (in our case, 84)

r = winning numbers (in our case, 5)

everything should look like this:

C(n,r)=\frac{84!}{5!(84-5)!}

C(n,r)=\frac{84!}{5!(79)!}

C(n,r)=\frac{84*83*82*81*80}{5*4*3*2}=2,348,889,264

Best of luck.

3 0
3 years ago
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