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valina [46]
4 years ago
13

income effects depend on the income elasticity of demand for each good that you buy. if one of the goods you buy has a negative

income elasticity, that is, it is an inferior good, what must be true of the income elasticity of the other good you buy
Business
1 answer:
zheka24 [161]4 years ago
5 0

Answer:

it would have a positive income elasticity and it is a normal good

Explanation:

Income elasticity of demand measures the responsiveness of quantity demanded to changes in income.

Normal goods are goods that are goods whose demand increases when income increases and falls when income falls

Inferior goods are goods whose demand falls when income rises and increases when income falls.

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Why are shareholders more keen on investing in high-risk projects during times of financial distress?
Phoenix [80]

Answer:

Because the shares price of that company will be reduced that gives shareholders to own more thus owning a greater percentage of the company

Explanation:

Let's say <em>Washer</em><em> </em><em>Ltd</em><em> </em>is high-risk and they have taken a stand to reduce their ordinary share price in order to attract investors, from <em>R</em><em>6,90</em> to <em>R3</em><em>,</em><em> </em><em>90</em><em> </em>per share

Instead of the shareholder paying the full price for less shares, he can buy more share for half the amount of money

6 0
2 years ago
______________ is when a resource is not fully utilized, such as when your Economics professor has to sweep the streets as a pri
AysviL [449]

Answer:

The correct answer is under-employment.

Explanation:

Under-employment is when a resource is not fully utilized, such as when your Economics professor has to sweep the streets as a primary job.

Unemployment mean no job at all. It is situation in which workers are jobless, either because of no availability of jobs or because wokers are not accepting jobs at the going low wage rate. However, under-employment is a situation in which workers get part time jobs or jobs requiring lower education, training and skills than they have. It is quite common in under developed countries.

4 0
3 years ago
Which of the following is true of packaging and labeling?a) An advantage of packaging is the low cost required for the process.b
julsineya [31]

Answer: Option B

Explanation: Packaging is the process of protecting the product so that its distribution and sales could be done easily and effectively. Apart from protection, the packaging of a product enhances its value and give it distinct feature over other product.

Labeling refers to the process of describing something using a word, phrase or sometimes even a picture.

Both packaging and labeling gives an identity to the product. It gives the idea to the customer of the company making such product, this further results in brand loyalty from the customers, thus, a stronger customer base.

From the above we can conclude that the correct option is B.

 

4 0
3 years ago
Select the incorrect statement regarding relevant costs and revenues. Group of answer choices Sunk costs are never relevant for
raketka [301]

Answer:

The incorrect statement regarding relevant costs and revenues:

To be relevant, a cost or revenue must not be future-oriented and must differ between the alternatives.

Explanation:

For a cost or revenue to be considered as relevant, it must be incurred or earned at a future time.  It must also differ between the options available for decision making.  A cost or revenue cash flow is relevant if it arises from a management decision and can be avoided.  This simply means that if the cost or revenue is not affected by management decision or does not make any difference in decisions, it is not relevant.

6 0
3 years ago
Which of the following statements is most​ correct? A. KSFs are often​ necessary, but not sufficient for competitive advantage.B
anzhelika [568]

Answer:

A.  KSFs are often necessary, but not sufficient for competitive advantage.

Explanation:

KSF

Key Success Factors (KSFs) represent business functions, practices or business activities as defined or seen by the customers or the market as being important or crucial to the development of consumer/business relationship.

KSFs represent areas organisations are to attend to based on the views of the market in order to achieve their goals. It could be in form strengths to maximize, weaknesses to address, aspects to take advantage of among others.

It becomes obvious that although important (from the view of the market or consumers who patronize the business), a business must makes its own due diligence in form of SWOT analysis among others to have the required competitive advantage.

4 0
3 years ago
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