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Zina [86]
3 years ago
11

When the price of milk goes up, demand does not fall significantly, because people still need to buy milk. However, if the price

of T-bone steaks rises beyond a certain point, people will buy fewer of them because they can turn to the many substitutes for this cut of meat. This refers to price elasticity of demand.
A. True
B. False
Business
1 answer:
Hunter-Best [27]3 years ago
3 0

Answer:

A. True

Explanation:

Price elasticity of demand indicates how the changes in the price of a commodity affect its demand. Price elasticity is a measure of how the demand for a good or responds to changes in prices. Goods or service is said to be price elastic if a small change in price has a substantial effect on the quantities demanded.

A product is price-inelastic when a  change in prices does not have a big impact on its demand. in other words, the demand for that product is not affected by changes in price. Milk is price inelastic as people changes in its price has little effect on demand. People still need milk; a small change in price will not stop them from consuming it.

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Distinguish between corporate image and reputation​
My name is Ann [436]
Corporate image is more about how a brand makes people feel, while reputation includes people’s perceptions of a company’s products, leadership, finances, social responsibility, and interactions with its costumers, employees, and community. Both corporate image and reputation can impact a company’s revenue and success.
7 0
2 years ago
You invest $3,000. You have speculated that you will earn an average of 7% on your initial investment each year. What do you exp
Paraphin [41]

Answer:

$5,100 Dollars

Explanation:

3,000 x .07 = 210

210 x 10 = 2100

3,000 + 2100 = 5100

You will have $5,100 dollars total value in 10 years!

8 0
2 years ago
1. What are some considerations in choosing a financial institution? Which one do you think would be the most important consider
Greeley [361]
1. In choosing a financial institution you must consider how frequently the bank responds, how long they operate on the weekends, the notary services they are offering, the loans you can get and their financial strength among others. The most important factor to consider would be the institution's financial strength since you must only put your trust in institutions with high strength.

2. One good thing about the U.S. savings bonds is their security and the fact that the investments that you will make in these bonds will not cost you any form of state or local taxes. Cons would include its complexity though as it can get hard for you to identify when the bonds will mature, their interest rates, when to know how to cash them, and their current value.

3. If you put your trust in the so-called "problematic" financial institutions, you are basically gambling your money away. First of all, as mentioned earlier, you must only put your trust in banks with a healthy financial strength since problematic ones will be unreliable and unsafe. Trusting them can lead to your money being stolen or you can also be bombarded with additional fees.

4. The state and local government have laws that will protect the consumer from unfair practices or frauds. As an individual, you can add more security to protect yourself and your money. This protection includes setting up alerts on your bank account, adding a two-step verification on your emails so no one can access it easily, as well as avoiding calling lists.

5. One major advantage is that the Federal Deposit Insurance Corporation has a $100,000 guarantee per institution so your investment won't be totally gone during unfortunate circumstances. The disadvantage, on the other hand, is that the interest rates on federally-insured accounts are below the inflation rate so you can expect a decrease in the value of your money over time.
3 0
2 years ago
Preferred stock has a par (face) value of $80. The annual dividend is $6.00 per share. Investors in this preferred stock have a
umka2103 [35]

Answer: $75

Explanation:

Using the Gordon Growth Model:

Price of stock = Next year dividend / (Required return - growth rate)

Growth rate is 0% as dividend does not change per year.

Price of stock = 6 / 8%

= $75

7 0
2 years ago
__________ consists of information systems that enhance competitiveness at the industry level by promoting the use of standards
Sladkaya [172]
<span>Value web model consists of information systems that enhance competitiveness at the industry level by promoting the use of standards and industry-wide consortia, and by enabling businesses to work more efficiently with their value partners.</span>
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3 years ago
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