Answer: Most economist believe that prices are flexible in the long run but many are sticky in the short run.
Explanation:
Prices are sticky in the short run because producers and buyers take time to adapt to new situations. If there is a shortage of butter, lets say, the economic theory says that the prices will rise because there is less butter ( ceteris paribus = all the other factors remain constant). Actually, buyers and suppliers need time to adapt to the new situation. However, in the long run buyers and suppliers have time to adapt to new situations so prices become more flexible.
Answer:
Current stock price will be $14.50
So option (a) will be correct answer
Explanation:
We have given dividend paid 
Growth rate g = 6.5 %
Required return on market = 10.50 %
Risk free return = 4.50 %
So next dividend 
We have to find thcompany current stock price 
Required rate of return is given by
Required rate of return = Risk Free Return + 
= 4.5+1.25×(10.5-4.5) = 12 %
Now current stock price 
So option (a) will be correct option
Answer:
c. When ordering or setup costs increase, Economic Order Quantity increases
Explanation:
In inventory there are two types of review systems used to replenish stock, the periodic inventory and continuous inventory.
Continuous inventory involves ordering the same quantity of a good in each order. However the rate at which goods are replenished varies based on monitoring of level of goods. Orders are made when inventory gets to a certain level.
In this instance when there is an increase in ordering or setup there needs to be allocation of a higher amount for orders. The additional cost is added to the economic order quantity
Team Dynamic Theories analyze how each team members could positively affect each other.
By knowing this information, you could know what cause the positive team dynamic within your team members so that you could utilize it or enchance it even more
Answer:
$26,000
Explanation:
Revenue for Charlie's chocolate is $97,000
Expenses is $71,000
Therefore the net income can be calculated as follows
= revenue - expenses
= $97,000-$71,000
= $26,000
Hence the net income is $26,000
