Answer:
Option (b) is correct.
Explanation:
At selling price = $1 and No. of units sold = 75 cookies,
Total revenue = selling price × No. of units sold
= $1 × 75 cookies
= $75
At selling price = $0.50 and No. of units sold = 200 cookies,
Total revenue = selling price × No. of units sold
= $0.50 × 200 cookies
= $100
Therefore, there is a rise in the total revenue from $75 to $100 and hence, price elasticity of demand for sugar cookies is elastic.
Answer:
d. willingness to pay of all buyers in the market.
Explanation:
The demand curve shows the relationship between the price of a good or service and the quantity demanded at a particular time.
Therefore, a demand curve reflects:
a. highest price buyers are willing to pay for each quantity.
b.quantity that each buyer will ultimately purchase.
c. value each buyer in the market places on the good.
With this in mind, what the demand curve does not reflect, with these in mind is a willingness to pay of all buyers in the market.
Answer:
C. The present value of cash flows in Investment A is higher than the present value of cash flows in Investment B.
Explanation:
Typically, discount rate represents cost of capital or funds used to finance the investment. This implies that the higher the cost of capital , the lower the present value of cash inflow on the investment and vice-versa.
Hence, the present value of cash flows in Investment A is higher than the present value of cash flows in Investment B, because A has a lower discount rate.
Answer:
b labor of the maintenance employees
c labor of the clerical staff
Explanation:
During the production or composition of finished goods, some form of labors are directly or indirectly involved in the manufacturing of such finished product. Where labor is not readily traced to the manufacturing of finished product, such is known as indirect labor.
On the other hand, labor that is directly involved in the composition of finished product is known as direct labor. Examples of indirect labor are ; wages of supervisors , clerical staff, general helpers , material handlers and maintenance workers.
Answer:
- The richest quintile has the ability to save a larger percentage of its income.
- Individuals experiencing temporary fluctuations in their incomes are more likely to maintain moderate spending habits.
Explanation:
First part of this question reads:
In the United States, the richest quintile of the population receives 13 times as much income as the poorest quintile. However, the richest quintile only spends 4 times as much as the poorest quintile.
The richest quantile can afford to save more than the poorest quantile because they get enough income to manage their daily needs and then save. The poorest quantile on the other hand face a daily struggle and so have to spend all or most of their income to survive.
When the richer quantile goes through temporary fluctuations, they maintain moderate spending because they know it is temporary and so they keep saving. This is not the case for the poorer quantiles who have to spend according to their income - regardless of its fluctuating - to survive.
