Answer:
It will lose revenue
Explanation:
An elastic demand (which are found in goods or services that have substitutes) moves proportionally to price changes.
It means that, if the price of the good rise, then the demand will diminish. The opposite works the same, if the price reduces, then the demand will grow.
On the other hand, elasticity refers to the impact of the prices on the demand of the goods and there are key factors that influence this relation:
- Necessity of the good (or product)
- The existence of substitutes goods or alternatives to those goods
- Time
Answer:
Debt-equity ratio = 0.34 or 34%
Explanation:
Weighted average cost of capital (WACC) = 12.7%
Cost of debt = 4.8%
Cost of equity = 15.4%
Let 'We' and 'Wd' be the fraction of capital corresponding to equities and costs, respectively, and that We + Wd =1.
The weighted average cost of capital is given by
The debt-equity ratio is:
Answer:1 B. Cost Center
2.A. Revenue Centre
3D. Investment Center
4 C. Profit Centre
Explanation:
The duty and power of a centre determined is responsibility centre a unit that is basically involved in production will be responsible for cost, a unit that is involved in sales will be a revenue centre, a unit that combines sales, production and asset will be an investment center and a unit that combines revenue and cost is a profit center.
You will not hurt your credit rating if you pay off bills before they are due, D.
