Answer:
should exceed the rising price level.
Explanation:
Inflation occurs when there is a general increase in prices of goods and services in an economy. The price of a basket of goods increases so the purchasing power of money is reduced.
For example when a gallon of petrol sells for $50 under inflation it can rise to $100. More money will be needed to buy the same amount of goods.
In this situation the rate of return of an investment will need to be above the rising price level to maintain a positive cash flow.
This is because value of money has reduced so returns needs to be higher to make positive cash flow.
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Answer:
c. shows forecasts for the industry and for the firm.
Explanation:
Sales Forecasting is an estimation of a business's sales for the future, this can be calculated monthly, annually, etc. T<em>his forecasting's objective is to help the business to make informed decisions to improve their performance in managing their resources, workforce and cash flow. </em>
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Solution:
Given,
The equilibrium price is $5.50 (P)
The equilibrium quantity is 37.0 (Q)
The price is $ 8.75
(percentage change in quantity)/(percentage change in price)
So Motorcycles would be the following:
[(63 - 29)/29]/[($12.75 - $0.50)/$0.50]
=62 / 11.75
= 5.27
Evaluate, then do the same for pancakes.
