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juin [17]
3 years ago
6

The only producer of chocolate bunnies in the world, Choco's Bunny Company, recently expanded its production capacity from 1,000

to 2,000 bunnies per day. If the price elasticity of demand for bunnies is 3.33, by how much will the company have to reduce its price to sell the additional 1,000 bunnies (by the midpoint method)
Business
1 answer:
Sophie [7]3 years ago
5 0

Answer:

19.82%

Explanation:

Midpoint method = Q2 - Q1 / [(Q2 + Q1) / 2] / P2 - P1 / [(P2+P1) / 2]

3.33 = 2000 - 1000 / [(2000 + 1000) / 2] / P2 - P1 / [(P2+P1)/2]

3.33 = 0.66 / (P2 - P1) / [(P2+P1)/2]

By cross multiplying we have

0.66 = 3.33 [ (P2 - P1) / [(P2+P1)/2]

divide both sides by 3.33

19.82% = The mid point change in price.

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TravelLite and FareLine compete as online travel agencies. Historically, TravelLite has focused more on flights, whereas FareLin
DENIUS [597]

Answer:

16.80% and 39.43%

Explanation:

The formula to compute the net profit margin is shown below:

Net profit margin = Net income ÷ Total revenues × 100

For Travel lite, the net profit margin is

= $1,080 ÷ $6,430 × 100

= 16.80%

And, for fare line, the net profit margin is

= $3,020 ÷ $7,660 × 100

= 39.43%

By dividing the net income or net profit by the total revenues we can get the net profit margin or we can say it is profit percentage that is earned by the company

It is always expressed in percentage

6 0
3 years ago
Explain how a stream sorts rocks?
topjm [15]

Answer:

Rocks are classified according to their mode of

formation or origin in three groups: Igneous,

Sedimentary and Metamorphic; and each group

contains in turn a wide variety of types of rock

which differ from each other by their composition and texture.

6 0
2 years ago
A clothing store chain tracks the sale of each product at each location. Managers use this information to calculate the organiza
Ksivusya [100]

Answer:Flexible

Explanation:

According to the question, clothing store tracks the sale at each location so, they are taking a very large base of consumers and they are considering each consumer that is why the quality information is flexible.

Demands of each consumer may vary such that one wants cotton fabric, another wants polyester so this makes the information more flexible as it may vary largely.

3 0
3 years ago
Employees who record and are paid for the exact amount of time spent working are paid on a(n) _____ basis.
Svetllana [295]
I got hourly basis for my answer
8 0
2 years ago
Read 2 more answers
Elsa, the owner of Fertile Farm, sells Gina a right to camp on Fertile land overnight. Gina's right is _________.a. a leasehold
Sonja [21]

Answer:

B, a license

Explanation:

A license is an official permit issued by a person or body in authority to do, own or use a thing. A license could be granted as a sign of agreement between parties  on a particular thing.

From the question, Elsa gave Gina license to use her farm land as a camp for one night. After one night, the license expires.

I hope this helps.

6 0
3 years ago
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