Omg this is so good! What do u mean u failed at it? Ur drawing is 100000 times better than me!
Answer:
Cross Price Elasticity of Demand is a measure of the complimentary or substitutional nature of two goods. It enables one to know if goods go together or are replacements for each other.
When the Cross Price Elasticity is Positive then both of the goods are Substitutes.
This is because when the price of one increased, some people abandoned it and went to the other one which then increased the demand of the latter.
If the Cross Price Elasticity is negative then both the goods are compliments because when the price of one increased, people decided to stop buying it and because the other good is a compliment (goes together) people didn't buy the latter either thereby reducing its demand.
The formula for Cross Price Elasticity is,
= % Change in Quantity Demanded of Good A / % Change in price of Good B
<u>Guppy Gummies and Frizzles. </u>
= -4%/ 5%
= - 0.8%
Cross Price Elasticity is Negative so they are Compliments.
It IS RECOMMENDED to market Frizzles with Guppy Gummies.
<u>Guppy gummies and Mookies</u>
= 5% / 5%
= 1
Cross Price Elasticity is positive so these are Substitutes.
It is therefore NOT recommended to market Mookies with Guppy Gummies.
Answer:
See explanation section
Explanation:
Sheridan Company
Statement of Financial Position (Balance Sheet)
As at December 31, 2018
Particulars Amount ($)
Cash $91,900
Accounts receivable xxx,xxx
Less: Bad debt <u> xx,xxx</u>
xxx,xxx
Inventory 136,500
Prepaid Insurance <u> 9,300</u>
Total Current Assets $237,700
Note: If we have accounts receivables and bad debt expense, we can easily get the accurate answer.
Answer:
0.31
Explanation:
current stock price $70
risk free rate = 6%
standard deviation = 40$
30 day call option $75
the simplest way to calculate delta (or stock position) is to use a scientific calculator, but if you want you can also do it manually:
delta = N(d₁) ⇒ cumulative normal distribution probability at d₁
with d₁ = [ln (S/K) + (r2 + σ
²/2)T] / σ√T
Answer:
The correct answer is option b.
Explanation:
A firm is able to maximize it's profit by producing output at the level where the marginal revenue earned from the last unit of output is equal to marginal cost incurred on it.
If a firm is operating at the point where the marginal revenue is lower than the marginal cost then the firm can maximize profit by reducing its output till the point where the marginal revenue and marginal cost are equal.
