Answer:
The elasticy of demand is 0.54 so it is inelastic
Explanation:
The midpoint method use the average percentage change in both quantity and price.
The fromula is ((Q2-Q1)/((Q2+Q1)/2))/((P2-P1)/((P2+P1)/2))
Q is quantity and P is price
((300-250)/((300+250)/2))/((1.25-1.75)/((1.25+1.75)/2))=0.54
The demand is inelastic, that means that the porcentage in the increase in quantity is minor than the percentage in the reduction of the price. So total revenues decrease.
Answer:
$585,120
Explanation:
The computation of Budgeted direct labor costs is shown below:-
Direct labor cost per pod = Direct labor required per pod x Direct labor rate
= 2.4 × $10.60
= $25.44
Budgeted direct labor costs incurred in June = Direct labor cost per pod × Produced pods
= $25.44 × 23,000
= $585,120
Therefore for computing the budgeted direct labor costs we simply applied the above formula.
Answer:
the statement is not valid. A company can reject the 16% IRR project if it is less than its discount rate. the discount rate is the minimum acceptable rate at which a project can be accepted. so, if 16% is less than than the discount rate, the project would be rejected.
on the other hand, if the discount rate is less than 16%, the project should be accepted because the return of the project would be greater than the discount rate.
Explanation:
Internal rate of return is the discount rate that equates the after tax cash flows from an investment to the amount invested.
<h3>answer:</h3>
not a.
not b.
not c.
it's d.
<h3>explanation:</h3>
Lower tax rates enable firms to invest more – this leads to higher growth and therefore, higher tax revenues
Answer: possible options:
A.growth market is to a differentiation-based strategy
B. broadly-defined target market is to a cost leadership strategy
C. growth market is to a cost-based strategy
D. technological innovation is to cost-based strategy
Answer is B
Explanation:
Companies that use a cost leadership strategy and those that use a differentiation strategy share one important characteristic: both groups try to be attractive to customers in general. These efforts to appeal to a broad range of consumers can be contrasted with strategies that involve targeting a relatively narrow niche of potential customers. These latter strategies are known as focus strategies (Porter, 1980).
Focused cost leadership is the first of two focus strategies. A focused cost leadership strategy requires competing based on price to target a NARROW MARKET. A firm that follows this strategy does not necessarily charge the lowest prices in the industry. Instead, it charges low prices relative to other firms that compete within the target market. For example, you might be able to buy milk cheaper by driving to a big-box grocery store in your local community or town, but the local corner store is the cheapest within walking distance. Redbox, a major DVD rental company, uses vending machines placed outside grocery stores and other retail outlets to rent DVDs of movies for $1. There are ways to view movies even cheaper, such as through the flat-fee streaming video subscriptions offered by Netflix. But among firms that rent actual DVDs, Redbox offers unparalleled levels of low price and high convenience.
