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Aleonysh [2.5K]
3 years ago
5

A fall in the price of a product might cause a household to shift its purchasing pattern away from substitutes toward that produ

ct.
This shift is​ called _____________.
Business
1 answer:
ad-work [718]3 years ago
4 0

Answer:

The correct answer is: substitution effect.

Explanation:

The price of a product is inversely related to the quantity demanded. This implies that an increase in the price will cause the quantity demanded to decrease and vice versa.  

The consumers always prefer a cheaper substitute. So in case of a price rise of a product, the consumers will move to a  substitute at lower price.  

If there is a fall in the price of the product, the consumers will move away from the substitute to the product.  

This is known as the substitution effect.

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An important basic characteristic of common stocks that makes them a suitable type of investment for the separate account of var
ziro4ka [17]

Complete Question:

An important basic characteristic of common stocks that makes them a suitable type of investment for the separate account of variable annuities is:

Group of answer choices

A) the safety of the principal invested.

B) changes in common stock prices tend to be more closely related to changes in the cost of living than changes in bond prices.

C) the yield is always higher than mortgage yields.

D) the yield is always higher than bond yields.

Answer:

B) changes in common stock prices tend to be more closely related to changes in the cost of living than changes in bond prices.

Explanation:

An important basic characteristic of common stocks that makes them a suitable type of investment for the separate account of variable annuities is changes in common stock prices tend to be more closely related to changes in the cost of living than changes in bond prices.

Generally, common stocks are considered by financial experts or broker-dealers to be a suitable type of investment of variable annuities because the prices of common stocks in the market are not fixed and as such they are affected by economical changes such as inflation or recession.

5 0
3 years ago
On june​ 1, nicholson company purchased inventory on account with a cost of. Credit terms were​ 2/10, net 30. On june​ 2, nichol
alex41 [277]

The Journal entry which Nicholson company will prepare on June​ 2 will be like when goods are returned the reverse entry is made which is

Accounts Payable A/c                                      Dr.       $480

Purchase Return / Inventory  A/c                     Cr.       $480

A journal entry is an act of recording any transaction, whether it is economic or not. Multiple recordings, each of which is either a debit or a credit, may be included in the journal entry.

Accounting journal entries are transferred from the journals and posted to the general ledger in order to record financial transactions in the accounting system. Modern accounting software handles the majority of this process automatically, but it's crucial to understand what's going on since there are instances when manual entries will need to be made to adjust or correct account balances at the conclusion of an accounting month.

To learn more about Journal entry visit:  brainly.com/question/20421012

#SPJ4

8 0
1 year ago
You own an e-commerce site that sells skis and related winter sports gear. You gather your team of six employees and ask them to
serious [3.7K]

The great ideas for improving engagement on the website can be tried, EXCEPT Sponsoring a giveaway for a free pair of skis.

Instead of sponsoring a giveaway for a free pair of skis, your e-commerce site should employ integrated marketing.

<h3>What is integrated marketing?</h3>

Integrated marketing involves aligning all marketing tactics with a unified, customer-focused promotional messaging, enabling a consistent customer experience with your sports gear brand.

The advantages of integrated marketing include increasing:

  • Brand awareness
  • Brand loyalty
  • Sales volume and revenue.

Thus, the great ideas for improving engagement on the website can be tried, EXCEPT Sponsoring a giveaway for a free pair of skis.

Learn more about integrated marketing at brainly.com/question/9696745

3 0
2 years ago
The Securities and Exchange Commission was a New Deal program designed to regulate __________. importing quotas farming practice
Softa [21]

The Securities and Exchange Commission was a New Deal program designed to regulate stock market.

<h3><u>Explanation:</u></h3>

The place where the trading of the public listed companies takes place refers to the stock market. This is a method that is used by the companies to raise the capital. Those companies that wishes to raise capital would be offering the shares to the public in general as an initial public offering. This is the place of meeting of the stock sellers and buyers.

The buyers of the stock market will try to get stocks at a reduced rate so that they can sell that for profits at later stages. The stocks can be considered as a smaller portion of ownership that a buyer can enjoy in a public company. A new deal program that is being designed for the regulation of the stock market is the Securities and Exchange Commission.

8 0
3 years ago
Read 2 more answers
How supply and demand work together to reach the equilibrium price in the marketplace? Please give at least a paragraph. Thank y
grandymaker [24]

Answer

Before I answer this question, you must note that the equilibrium price is created by both the amount supplied of a certain product as well as how much "customers" there are (or the amount that is bought in all).  This however, is usually not taking account any potential competitors.

For example, let say that the price in creating the product (or buying) is $15. This means that right now, the company loses $15 for one of the products. To make a profit, the selling price must be >$15. However, (unless they are a monopoly, such as, for example, electrical companies) there are competitors that they must fight with to get customers. Of course, there are other things that can affect the price, depending on the demographic and area.

So how does supply and demand affect the equilibrium price? The limits of the supply & the amount of demand would help determine the price by the amount of people buying and the supply of the product.

~

6 0
3 years ago
Read 2 more answers
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