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zhuklara [117]
4 years ago
11

Tell the substitution effect of a price change:

Business
2 answers:
Kobotan [32]4 years ago
6 0

Answer:

Will always result in the consumer buying less of a good at a higher price ( C )

Explanation:

The substitution effect of a price change is felt more when a good or service has a competent substitute that will serve similar or exactly the same purpose that the good or service serves.

The change in the price of good or service will affect the demand of such good or service and this can be in two ways. the demand will go up if the price of the good or service is at a lower price while the demand of the good or service will be decreased if the price of the good is a t higher price.

The substitution effect of a price is also seen as the reaction of  buyers/consumers towards the change in prices of goods and services which have competent substitutes in the market.

Over [174]4 years ago
5 0

Answer:

The correct option is C,will result in the consumer buying less of a good at a higher price

Explanation:

When there are close substitutes for a product,a rational consumer will switch to an alternative good or service when the price of the good rises.

This ultimately is line with the law of the demand that the higher price the lower the quantity demanded and vice versa.

Hence, the substitution effect works in such a way that the product that has a lower price compared to its rival commodities catches the attention of the consumers much more due to its lower price nature.

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The following transactions relate to the petty cash fund of Jarvis Wrecking Company: Apr. 1 19 The petty cash fund is set up wit
meriva

Answer:

The petty cash journal entry is a debit to the petty cash account and a credit to the cash account. The petty cash custodian refills the petty cash drawer or box, which should now contain the original amount of cash that was designated for the fund. The cashier creates a journal entry to record the petty cash receipts he entry must show an increase in your Petty Cash account and a decrease in your Cash account. To show this, debit your Petty Cash account and credit your Cash account. When the petty cash fund gets too low, you must refill it to its set amount Count the money remaining in your petty cash account at the end of an accounting period. For example, assume your petty cash account has $550 remaining. Subtract the amount remaining from the account's original balance to determine by how much you need to replenish the account. A cash receipts journal is used to record all cash receipts of the business. All cash received by a business should be reported in the accounting records. In a cash receipts journal, a debit is posted to cash in the amount of money received. An additional posting must be made to balancing the transaction.

Explanation:

3 0
3 years ago
if u buy a phone from wish.com and u don't have a service carrier if they give u their number can u still text them even though
VARVARA [1.3K]
So you're buying a phone with no service plan, now that does not mean you still don't have a phone number because you can still text, call and use your apps regularly from WIFI or a mobile hotspot. Keep in mind though, that even if you buy a phone with no service plan, sooner or later, you might have to get a service plan so you can access the internet from a specific region. Hope this helped!
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3 years ago
A means of displaying or graphing in two dimensions the location of products or brands in the minds of consumers to enable a man
Semmy [17]
The answer is D. Perceptual map
8 0
3 years ago
Ngai Nhung is the sales manager at Hung Technologies. At lunch with the company CEO, Ngai proudly announced that he had negotiat
beks73 [17]

Ngai Nhung is the sales manager at Hung Technologies. At lunch with the company CEO, Ngai proudly announced that he had negotiated a <u>blanket purchase order</u> with a client that represented the customer's long-term commitment to buy components from Hung.

<u>Option: D</u>

<u>Explanation:</u>

Here Ngai announcement means that the firm's consumers with their suppliers are going to enable several distribution dates across a period of time, often structured to reap the benefits of fixed prices which showcase the long-term relation between firm and consumer, thus understood as a blanket purchase order.

It is basically utilized when expendable products are recurrently needed. Blanket orders are commonly used when a consumer purchases large amounts and receives special discounts. Calculating the predicted amount planned by the recipient of the commodity is the toughest part of getting an agreement.

3 0
4 years ago
Rex became a partner with a 30% interest in the partnership profits when he invested $200,000. In 2019, the partnership generate
avanturin [10]

Answer:

The Rex’s gross income from the partnership in 2019 and 2020 is $1,20,000 and $1,80,000 respectively

Explanation:

The computation of the gross income for each year is shown below:

In 2019:

Gross income = Taxable income × percentage of interest in profits

                       = $400,000 × 30%

                       = $1,20,000

In 2020:

Gross income = Taxable income × percentage of interest in profits

                       = $600,000 × 30%

                       = $1,80,000

The withdrawn amount is not consider for computing the gross income. So, we ignored it

8 0
3 years ago
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