Answer:
b.The good is a necessity
Explanation:
The price elasticity of demand = percentage change in quantity demanded/ percentage change in price
3% / 12% = 0.25
When the coefficient of elasticity is less than one, demand is inelastic.
Inelastic demand means that when price increases, there is little or no change in quantity demanded.
Necessity goods are goods that are very important to consumers and thus they tend to have an inelastic demand. For example, medications.
Substitute goods are goods that can be used in place of another good because of their similarity. E.g. butter and margarine
Goods with many substitutes have an elastic demand. If price of a good increases, consumers can easily shift consumption to substitute goods.
Narrowly defined goods have an elastic demand because it is easier to find subsituites for such goods.
Demand is more elastic in the long run because consumers have more time to search for substitutes.
I hope my answer helps you
Answer:
The cash flow to stockholders amounts to $45
Explanation:
Cash flow to stockholders is the term which is defined as the cash amount which the company pays out to the shareholders.
The cash flow to stockholders is computed as:
Cash flow to stockholders = Dividend paid - New equity raised
where
Dividend paid is computed as:
Dividend paid = Net Income × %
= $360 × 35%
= $126
New equity raised is $81
So, putting the values above:
Cash flow to stockholders = $126 - $81
Cash flow to stockholders = $45
Answer:
c. a patent should be amortized over the shorter of the inventor's life or its economic life
Explanation:
Which of the following statements concerning intangibles is true?
a. a copyright should be considered an intangible with an indefinite life
b. organization costs must be expensed as incurred
c. a patent should be amortized over the shorter of the inventor's life or its economic life
d. the registration of a trademark or tradename lasts for 20 years and is non-renewable
Patents are a right granted to an inventor to exclusively sell a product for a specific period of time usually for 20 years. During this period, others are prevented from making, using, or selling the invention. A patent should be amortized over the shorter of the inventor's life or its economic life.
Types of patents include:
1. utility patents
2. design patents
3. plant patent
Copyright gives the inventor of a product and anyone they give the permission to the right to reproduce the product. Copyrights have limited lives
Answer:
Kindly check explanation
Explanation:
Implementing plans where functional managers will be held responsible for cost overruns against their original estimate possess both advantages and disadvantages :
The advantages include:
1) Efficient use of Resources : A functional manager could be explained as the head or a person who has managerial authority over a department within a business organization. As such the functional manager will be able to monitor more effectively and take control of his unit. Holding them responsible for cost overruns will ensure that they are more cautious when it comes to resource and cost management as they will not want to be sanctioned.
11) ACCOUNTABILITY: It increases the sense of responsibility of the functional managers as they are being held fully responsible for the decisions made within their unit. This places a higher burden of showing sincerity on the managers.
The disadvantage associated with the plan is the possibility of producing low quality products resulting from the economical and cautious approach embarked upon in other to prevent cost overrun, materials used may be lesser quality than expected.
As Managers
In order to maintain the productivity and efficiency , the company need Managers supervise all company's resources from the product resources to human resources.
These managers will report directly to the executive directors