Answer:
1. fall
2. Larger
3. more
Explanation:
The price elasticity is relative measure of change in demand. When the demand of heating oil decreases due to increase in price then the heating oil is considered as price elastic. The elasticity of heating oil is 0.2 in the short run and 0.7 in the long run which means customers respond less in change of demand in short run due to change in price. When the price of heating oil increases, the demand will fall in the short run.
In the short run customers may not find time to respond to the change in price. The change in demand in short run is smaller and change in demand in Long run will be larger.
The price elasticity of heating oil is more in long run because customer may find alternate sources at a cheaper rate and may switch to it causing a greater fall in demand of heating oil.
Answer:
B
Explanation:
- The Semiannually total interest Payable will be calculate as
30*2 = 60 Semiannual Times Payments
- Interest Payments
$9,000,000*8%/2=$360,000
- So the Total payments will be paid semiannually 60 times $360,000 with the principle amount $9,000,000
Answer:
B. $4,520.64
Explanation:
The computation of the down payment is shown below:
= {Monthly payment × (1 - 1 + interest rate)^-number of periods} ÷ {Interest Rate}
where,
Interest Rate = 8% ÷ 12 months = 0.66667
= {500 × (1 - 1 + 0.67)^-48} ÷ {0.67}
After solving this, the amount is $20,480.956
Now the down payment is
= $25,000 - $20,480.956
= $4,519.04 approx
Answer:
The correct answer is $56,000.
Explanation:
According to the scenario, the given data are as follows:
Average checks per day = $14,000
Days in clearing = 4 days
Interest rate = 0.018% per day
So, we can calculate the company's float by using following formula:
Company's Float = Average checks per day × Days in clearing
By putting the value in the formula, we get
Company's Float = $14,000 × 4
= $56,000
