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2 years ago

What is a demand relationship?

Business

1 answer:

NeX [460]2 years ago

8 0

Answer:

Demand relationship is the relationship between the dominant prices of a good and the quantity that will be bought at that price.

Explanation:

Demand can be defined as the quantity of a good that consumers are ready to purchase at different prices at a given period of time.

The basic demand relationship is between potential prices of a good and the quantities that would be bought at those prices. The relationship is always a negative one, this implies that an increase in price will lead to a decrease in the quantity demanded. This negative relationship is represented in the downward slope of the consumer demand curve. Take for instance, if the price of a bag of rice rises from $10 to a price of $20, this is a huge price increase. This increase forces the consumer to demand less of that product at the price of $20 because the new price is more expensive and also very unreasonable for a bag of rice.

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Carlos is the manager of an American company. He expects the value of the British pound to appreciate in the near future and so

Inga [223]

<u>Answer:</u> Speculation.

<u>Explanation:</u>

Carlos tries to make a profit through exchange rates. Carlos is a speculator who tries to make profit through market fluctuations. The strategy is a risky strategy as the speculators based on their knowledge about the market make decisions accordingly.

Carlos is planning to receive the appreciated value of British Pounds so that he receives the same amount as mentioned in the contract but makes profit out of exchange rates and books FX profits in his books of accounts.

3 0

3 years ago

WACC. Eric has another get-rich-quick idea, but needs funding to support it. He chooses an all-debt funding scenario. He will

maks197457 [2]

Answer:

274.7%

Explanation:

The total amount that Eric will borrow will be = 43114311+33503350+13391339 = 90009000.

Now to calculate WACC, we will apply the WACC formula:

WACC = (43114311/90009000)*0.66 + (33503350/90009000)*0.88 + (13391339/90009000)*14.14

Hence,

WACC = 274.74%

The solution was very simple, we just applied the WACC formula by taking the total amount of debt in the denominator of each of the loans taken and multiplied it by the interest rate on which it is taken.

Hope this helps, although I think the values in the question are not correct, but nonetheless I have provide the correct solution according to the given values.

Thanks.

5 0

2 years ago

Suppose there is a product that is being sold in a perfectly competitive market. If the market price of the product falls, prod

yuradex [85]

Answer:

Decrease; Less

Explanation:

The producer surplus is the difference between the minimum price that a producer is willing to accept for a product and the price he actually receives.

When the market price of a product falls, the producer surplus will decrease as well.

The lower market price implies that there will be less area between the supply curve and the market price of the product.

3 0

2 years ago

Flannery Company, a manufacturer of small appliances, had the following activities, allocated costs, and allocation bases:

VashaNatasha [74]

Answer:

Cost per letter for the correspondence activity= $ 8.75

Explanation:

Flannery Company

Given

Activities Allocated Costs Allocation Base

Account inquiry (hours)$ 77, 000 2,600 hours

Account billing (lines) $ 38, 000 19,000 lines

Account verification (accounts) $ 20,000 30,000 accounts

Correspondence (letters) $ 14,000 1, 600 letters

Activities Northeast Office Midwest Office

Account inquiry (hours) 100 hours 200 hours

Account billing (lines) 10,000 lines 9,000 lines

Account verification (accounts) 1 ,000 accounts 650 accounts

Correspondence (letters) 50 letters 110 letters

Calculations

Cost per letter for the correspondence activity= Total Correspondence/ Total No of letters

Cost per letter for the correspondence activity= 14000/1600= 8.75

Cost per letter for the correspondence activity= $ 8.75

We divide the activity cost with the corresponding cost driver to get the cost per unit of activity.

4 0

3 years ago

Given that news organizations frequently call for more transparency from the government and organizations they cover, critics fi

charle [14.2K]

Answer:

Revenues

Explanation:

The role of news organisations in political campaigns in recent times has been very significant.

Critics find it hypocritical because when paid to run political campaigns, news organisations do not reject lies by public officials, because they were paid for the air time.

For example, according to information from statistica, it estimates that more than 6 billion dollars were spent in the US Presidential elections campaign on broadcast TV in 2016.

Scrutiny would involve critical examination of the activities of this news organisations.

7 0

3 years ago