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MA_775_DIABLO [31]
3 years ago
14

With only two goods, if the income effect is in the same direction as the substitution effect then the good is ____.

Business
1 answer:
Leya [2.2K]3 years ago
7 0

Answer:

Normal good

Explanation:

Income effect Is change in quantity demanded when the consumers purchasing power change as a result of a change in real income.

Substitution effect is when quantity demanded falls as a result of rise in price of a good which leads consumers to purchase cheaper alternatives.

A normal good is a good whose demand increases as income increases.

If the price of a normal good falls, the real purchasing power of the consumer increases and the consumer buys more of the good. Also, the consumer substituites from more expensive alternative goods to the more cheap normal good. The income and substitution effect both move in the same direction.

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There are several benefits for McDonald's by using FIFO methods. Here we will discuss some of them: better food hygiene, which gives more customers satisfaction; easier to reduce products near their end-date—resulting in more sales and less waste;

<h3>What is FIFO?</h3>

FIFO is a measuring tool for inventory valuation or management. In this, we have sold the goods which come first. This is called a FIFO, which is known as First In First Out.

Thus, McDonald's using the FIFO method gets such benefits as better food hygiene, which gives more customer satisfaction; easier to reduce products near their end-date – therefore more sales and less waste.

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2 years ago
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damaskus [11]

ssi can be shared with people who have the right security clearance.

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4 years ago
Costly Corporation is considering using equity financing. Currently, the firm's stock is selling for $26.00 per share. The firm'
makkiz [27]

Answer: 26.85%

Explanation:

Based on the information given in the question, the firm's cost of internal equity will be calculated as:

Cost of equity = (D1/Current price) + Growth rate

= (4.90 / 26.00) + 8.0%

=(4.9/26) + 0.08

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Therefore, the firm's cost of internal equity is 26.85%.

7 0
3 years ago
In a freehold estate what describes when the ownership includes all immovable structures attached to the land such as buildings,
Fudgin [204]

There are different kinds of estate. In a freehold estate immobility describes when the ownership includes all immovable structures attached to the land such as buildings, trees, and underground resources.

Freehold estates is known to be made up of 2 components. They are:

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  • An indefinite ending: This is known to stay or exist for a lifetime.

Freehold estates are simply known to be a type of estates that has indefinite lifetime and it can exist for a lifetime or forever.

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5 0
3 years ago
Effective teams (1) function so well they create their own magnetism, (2) are interested in others' success as well as their own
MariettaO [177]

Answer:Only statements 1 and 2 are correct

Explanation: An effective team involves people who interact with each other to accomplish certain goals or meet certain needs. Team members work intensely with each other to achieve a specific, common goal or objective. This therefore attracts other people to them, that is magnetism. In as much as they look out to achieve their goals, they are also interested in others' success.

7 0
3 years ago
Read 2 more answers
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