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Llana [10]
3 years ago
11

The price elasticity of demand for gasoline in the short run has been estimated to be 0.4. If a war in the Middle East causes th

e price of crude oil (from which gasoline is made) to increase, how will that affect total revenue from gasoline in the short run, all other things unchanged
Business
1 answer:
disa [49]3 years ago
8 0

Answer:

Total revenue would rise in the short run

Explanation:

A price elascitiy of 0.4 indicates that demand is inelastic.

Inelastic demand means that a small change in price has little or no effect on quantity demanded. The absolute value of inelastic demand is less than 1.

If the cost of the crude oil increases, the price of gasoline would increase too. Because demand is price inelastic , there would be little or no change in the quantity demanded of gasoline as a result total revenue would increase as a result of the rise in price.

I hope my answer helps you

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The board of directors Multiple Choice are hired by the CEO. are elected by shareholders. have unlimited liability since they ov
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Answer:

are elected by shareholders

Explanation:

When a company is formed it has owners who are called shareholders. These are the people that fund the companie's activities.

Share holders cannot be involved in the day to day running of the company. So they hire a board of directors that will monitor the activities of the company and ensure shareholder's interest are being satisfied.

The board of directors analyse how the management of the company are running their daily activities and make necessary adjustments when set objectives are not being met.

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3 years ago
The state government decentralizes power by assigning many functions to units of local government, especially _____.
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 <span>The state government decentralizes power by assigning many functions to units of local government, especially: Counties

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3 0
3 years ago
Block Island TV currently sells large televisions for $380. It has costs of $290. A competitor is bringing a new large televisio
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Answer:

$238.18

Explanation:

For calculation of target cost first we need to follow some steps which is shown below:-

Step 1

Operating income before = Sold television - Cost

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= $90

Step 2

Total operating income = $90 × 120,000

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Step 3

New sales in units = Target operating income ÷ Increase percentage

= 10,800,000 ÷ (120,000 × 110%)

= 10,800,000 ÷ 132,000

= $81.82

Finally

So, the Target cost = Lower price - New sales in units

= $320 - $81.82

= $238.18

7 0
3 years ago
​Nathan's budget line measures tacos on the x​-axis and side salads on the y​-axis. When the price of a taco​ rises, Nathan's bu
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Answer:

Nathan's budget line​ __rotates inward ____ and he moves to a​ ____lower__ indifference curve.

3 0
3 years ago
Which is a commodity someone might invest in?
monitta

Answer:

b) natural resources

Explanation:

Natural resources refer to valuable materials found beneath, above, and on the earth's surface. They are naturally occurring, meaning no human effort is required in producing them. Natural resources make a good source of wealth. Examples of natural resources are land, mineral, oils and gas, forests, water, sunlight, wind, and many others.

Anyone with access to natural resources can invest to make them marketable products. Extraction of oil and refining is an example of investing in natural resources. Processing of trees to wood, use of solar to generate power are other examples.

6 0
3 years ago
Read 2 more answers
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