Answer:
The law of demand states that consumers will request more of a product if its price decreases. For supplement goods, an increase in the price of one will increase demand for the other. The demand curve for apples will react as follows.
Explanation:
<u>A). More people begin to prefer apples to oranges.</u>
Should peoples' preference change to apples, the demand for oranges will decrease while that of apples will increase. The demand curve is downward sloping. If demand increases, the demand curve will shift to the right. It is also referred to as moving outwards. In this case, the demand curve for apples will shift to the right.
B) <u>The price of peaches rises (because peaches are a substitute for apples).</u>
Substitutes imply a good can be used in place of another. If the price of a substitute increases, it demands decreases. The demand for the substitute good will go up. An increase in the price of peaches will increase the demand for apples. As a result, the demand curve will shift outwards. In other words, shift to the right.
C. People's incomes rise (and apples are a normal good).
Demand for normal goods increase as the people's income rises. More people will afford to buy apples. If people are now earning more, the demand for apples will go up. The demand curve will shift to the right to indicate a surge in demand.
D is the answer I’m sure of it
Answer:
The principle or model of voluntary exchange assumes that people will act based on self-interests. This is an important component of a healthy economy. If individuals in a market economy do not feel that they will benefit from the exchange, they would not be willing to make it.
Hope this helps!
Answer / Explanation:
To properly answer this question, we will first define some key terms which includes:
Surplus: This can be refereed to as an amount exceeding a particular requirement after it has been met.
Demand: This can be refereed to as the quantity of goods and serves a consumer or an individual is willing and pay for per time.
Now that we understand the basic concept above, we now refer back to the narrative of the question to try and answer t hem.
(a) With Provider A, the cost of an extra minute is $0. With Provider B, the cost of an extra minute is $1.
(b) With Provider A, my friend will purchase 150 minutes [= 150 – (50)(0)]. With Provider B, my friend would purchase 100 minutes [= 150 – (50)(1)].
(c) With Provider A, she would pay $120. With Provider B, he would pay $100.
(d) The figure below shows the friend’s demand. With Provider A, she buys 150 minutes and her consumer surplus is equal to (1/2)(3)(150) – 120 = 105. With Provider B, her consumer surplus is equal to (1/2)(2)(100) = 100
(e) I would recommend Provider A because she receives greater consumer surplus when buying from that provider.
Answer:
THere will be a negative loss for (7,000) dollars
Explanation:
The net income will be the result of doing revenues less expenses
The cash dividends are not considered for the calcualtions. they impact retained earnings not the income of the current period.
revenues 153,000
expenses <u> (160,000) </u>
<em>loss (7,000)</em>
