1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Likurg_2 [28]
3 years ago
15

At the beginning of this year, daily consumption of gasoline in the US amounted to 344 million gallons. It is estimated that for

every 10% increase in the price of gasoline, quantity demanded falls by 1.9%. By the end of this year, the price of gasoline is expected to increase by 40 cents from $ 3.05 per gallon. Based on this information, what is the expected quantity demanded (QD) for gasoline at the end of this year
Business
1 answer:
Shkiper50 [21]3 years ago
8 0

Answer:

335.43 million gallons

Explanation:

price elasticity of demand (PED) = % change in quantity demanded / % change in price

PED = -1.9% / 10% = -0.19, very inelastic

expected price increase $0.40

% change in price = ($3.45 - $3.05) / $3.05 = 13.11%

% change in quantity demanded:

-0.19 = D / 13.11%

D = 2.49%

quantity demanded will decrease by 2.49%, from 344 million gallons to 335.43 million gallons

You might be interested in
Management Theories, Inc. at a cash price of $1.5 million. Management Theories, Inc. has short-term liabilities of $500,000. As
Pavlova-9 [17]

Answer:

$1,102,820

Explanation:

 The computation of the net present value is shown below:

= Present value of yearly cash inflows - initial investment

where,

Present value of yearly cash inflows is

= Annual year cash inflows × PVIFA factor

= $300,000 × 2.9906

= $897,180

And, the initial investment is

= $1,500,000 + $500,000

= $2,000,000

So the net present value is

= $897,180 - $2,000,000

= $1,102,820

4 0
3 years ago
Why can’t businesses afford all of the factors of production all of the time?
gtnhenbr [62]

Answer:

ptaa ni...xdxdxdxdxd

6 0
2 years ago
Read 2 more answers
The financial statements include an introduction known as the management discussion and analysis. This preface must contain info
Elis [28]

Answer: Analysis of company's performance by the management.

Explanation: In the management discussion and analysis, the upper management of the company analyze and comment on the qualitative and quantitative characteristic of a company. This is seen as a secondary information in the company's yearly financial statement.

The MD and A, is considered valuable by investors as sometimes the management also comments about the upcoming projects of the company in such statements.

3 0
3 years ago
matt, a shareholder, can run for director by simply placing his name on the company's proxy statement. True or False?​
IgorLugansk [536]
False

Reason: A Shareholder cannot go for the director's by writing his name on the proxy Statement. Instead he has to place his name on the AGM or Annual General Meeting, where Shareholders meet, propose for their plans and Vote for The Company's Director.
6 0
3 years ago
Chance Company had two operating divisions, one manufacturing farm equipment and the other office supplies. Both divisions are c
S_A_V [24]

Answer:

Net income = $76,000

Earning per share (EPS):

Income from continuing operations per share = $4.40 per share

Loss from discontinued operations per share = -$3.64 per share

Net Income per share = $0.76 per share

Explanation:

Note: See the attached excel file for the income statement.

Also Note: Two years (2016 and 2018) were mistakenly mentioned in the question instead of just one of them. I therefore picked 2016 to prepare the income statement.

In the attached excel file, the earning per share (EPS) is calculated as follows:

Number of shares outstanding = 100,000 shares

Income from continuing operations per share  = Income from continuing operations / Number of shares outstanding = $440,000 / 100,000 = $4.40 per share

Loss from discontinued operations per share = Loss from discontinued operations / Number of shares outstanding = -$364,000 / 100,000 = -$3.64 per share

Net Income per share = Net Income / Number of shares outstanding = $76,000 / 100,000 = $0.76 per share

Download xlsx
5 0
3 years ago
Other questions:
  • You are 50 years old and proud of having $75,000 invested in a mutual fund earning an impressive 17% per year. you want to retir
    13·1 answer
  • explain how companies engage in price competition in nonprice competition and give an example of each kind of competition
    9·1 answer
  • Diamond's Corporation has an investment in 5,000 shares of Sigmoid Company common stock with a cost of $218,000. These shares ar
    15·1 answer
  • In order to comply with DAVID Memorandum of Understanding requirements, a user must acknowledge understanding of:
    8·1 answer
  • Venus Creations sells window treatments (shades, blinds, and awnings) to both commercial and residential customers. The followin
    12·1 answer
  • Express Delivery is a rapidly growing delivery service. Last year, 80% of its revenue came from the delivery of mailing "pouches
    12·1 answer
  • Depreciation calculation methods—partial year Freedom Co. purchased a new machine on July 2, 2013, at a total installed cost of
    9·1 answer
  • The information listed below refers to the employees of Lemonica Company for the year ended December 31, 2016. The wages are sep
    15·1 answer
  • A company purchased factory equipment for $590,000. It is estimated that the equipment will have a $59,000 salvage value at the
    12·1 answer
  • Type the correct answer In the box. Spell all words correctly.
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!