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Leto [7]
3 years ago
6

During last year the price of regular unleaded gasoline in Oakland, California increased 10 percent. If the price elasticity of

demand for gasoline was 2, the price hike means that the quantity demanded decreased by A. 2 percent. B. 10 percent. C. 1 percent. D. 20 percent.
Business
1 answer:
viktelen [127]3 years ago
5 0

Answer:

D. 20 percent.

Explanation:

Price elasticity of demand measures the responsiveness of quantity demanded to changes in price.

Price elasticity of demand = percentage change in quantity demanded / percentage change in price

2 = percentage change in quantity demanded / 10%

Percentage change in quantity demanded = 20%

I hope my answer helps you

You might be interested in
According to the PMQ Pizza Magazine, an estimate of pizza sales in the United States for the top 100 pizza companies was $44.3 b
shusha [124]

Answer:

PMQ Pizza Magazine

Estimate of Pizza Sales in the United States for top 100 pizza companies

a. Computation of the sales per franchise unit:

Name of company              Units          Sales      Sales per Franchise unit

Domino's                           14,490       12,252           $0.845

Pizza Hut                           16,336       12,034              0.737

Little Caesars Pizza            5365        4,000              0.746

Papa John's International   5071        3,695              0.729

California Pizza Kitchen       260           840              3.231

b. Frequency distribution based on total sales:

Frequency               Sales ($ millions)

O up to 1750                      840

1750 up to 3500                    0

3500 up to 5250           7,695

5250 up to 7000                  0

7000 up to 8750                  0

8750 up to 10500                0

10500 up to 12250     12,034

12250 up to 14000     12,252

Total sales                 32,821

c. Frequency distribution of companies based on per unit sales:

Frequency Per unit sales ($ millions)

0.0 up to 0.5               0

0.5 up to 1                    4

1 up to 1.5                     0

1.5 up to 2                     0

2 up to 2.5                   0

2.5 up to 3                    0

3 up to 3.5                    1

3.5 up to 4                   0

Total                          5

Explanation:

a) Data and Calculations:

Total estimated sales in 2018 = $44.3 billion

Top 5 Companies Total gross sales in $ millions.

Name of company              Units          Sales      Sales per Franchise unit

Domino's                           14,490       12,252           $0.845 (12,252/14,590)

Pizza Hut                           16,336       12,034              0.737 (12,034/16,336)

Little Caesars Pizza           5,365        4,000              0.746 (4,000/5,365)

Papa John's International  5,071        3,695              0.729 (3,695/5,071)

California Pizza Kitchen       260           840              3.231 (840/260)

b. Frequency distribution based on total sales:

Frequency               Sales ($ millions)

O up to 1750                      840

1750 up to 3500                    0

3500 up to 5250           7,695

5250 up to 7000                  0

7000 up to 8750                  0

8750 up to 10500                0

10500 up to 12250     12,034

12250 up to 14000     12,252

Total sales                 32,821

c. Frequency distribution of companies based on per unit sales:

Frequency Per unit sales ($ millions)

0.0 up to 0.5               0

0.5 up to 1                    4

1 up to 1.5                     0

1.5 up to 2                     0

2 up to 2.5                   0

2.5 up to 3                    0

3 up to 3.5                    1

3.5 up to 4                   0

Total                          5

7 0
3 years ago
The master budgeting process typically begins with the sales budget and ends with a cash budget and:
Serhud [2]

Answer:

Budgeted financial statements

Explanation:

4 0
3 years ago
Rauch Incorporated leases a piece of equipment to Donahue Corporation on January 1, 2017. The lease agreement called for annual
Likurg_2 [28]

Answer:

PART-1)

Fair value of leased asset to lessor  = 25,000

Minus: PV of un-guaranteed residual value $8,250 X 0.82270  = 6,787

Amount to be recovered through lease payments  = 18,213

Four periodic lease payments ($18,213 /3.72325)  = 4,892

PART-2)

<u>01/01/2017 </u>

Debit: Cash  = 4,892

Credit: Unearned Lease Revenue  = 4,892

<u>12/31/2017</u>

Debit: Unearned Lease Revenue  = 4,892

 Credit: Lease Revenue  = 4,892

<u>12/31/2017</u>

Debit: Depreciation Expense  = 3,333

 Credit: Accumulated Depreciation – Equipment  = 3,333

6 0
3 years ago
If the price of a good increases by 5% and the quantity demanded decreases by 5%, then at that price, the good is _____.
anastassius [24]

Answer: unitary price elastic

Explanation:

A good is unitary price elastic if a change in price leads to the same proportional change in quantity demanded.

The coefficient of a good with unitary elasticity is 1 .

Coefficient of elasticity = percentage change in quantity demanded / percentage change in price

= 5% / 5% = 1

I hope my answer helps you

7 0
3 years ago
There are three parts to an osha inspection what are they?
azamat

The three parts to an OSHA inspection includes below:

<span>1.      </span>The Opening conference

An opening conference is a short discussion wherein the inspector of OSHA will describe the inspection purpose.

<span>2.      </span>Walkaround

The walkaround is defined as the real-time inspection. The official from OSHA, accompanied by the applicable affiliate of the worksite, will visit the premises to check the working conditions if the employer is compliant with the requirement of OSHA and detect any violations if there’s any

<span>3.      </span>The Closing conference.

<span>During this conference, the inspector will have their conclusion in their walkaround. They will release any violations and hazards noted during their inspection.</span>

5 0
3 years ago
Read 2 more answers
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