B is the answer 98 percent sure hope it helps
Answer:
PED = -0.176 or 0.176 in absolute terms. It is price inelastic, since PED < 1.
Explanation:
the quantity demanded for a price of $10 is 900 barrels.
the quantity demanded for a price of $20 is 800 barrels.
Using the midpoint method for calculating PED:
PED = {(Q2 - Q1) / [(Q2 + Q1) / 2]} / {(P2 - P1) / [(P2 + P1) / 2]}
PED = {(800 - 900) / [(800 + 900) / 2]} / {($20 - $10) / [($20 + $10) / 2]}
PED = (-100 / 850) / ($10 / $15) = -0.1176 / 0.6667 = -0.176
Price elasticity of demand measures how much does the quantity demanded of a good or service vary as a result form a 1% change in its price.
- PED < 1, price inelastic. A 1% change in price will result in a proportionally smaller change in quantity demanded.
- PED > 1, price elastic. A 1% change in price will result in a proportionally larger change in quantity demanded.
- PED = 1, price unitary. A 1% change in price will result in a proportionally equal change in quantity demanded.
Answer:
The total cost of the department’s ending work in process inventory is $684,000
Explanation:
The computation of the total cost is shown below:
= Material cost + conversion cost
where,
Material cost = (Transferred units + ending work in progress) × material cost per unit
= (68,000 units + 12,000 units) × $4
= $320,000
Conversion cost = (Transferred units + ending work in progress × percentage of completion) × material cost per unit
= (68,000 units + 12,000 units × 40%) × $5
= $364,000
Now put these values to the above formula
So, the value would equal to
= $32,000 + $364,000
= $684,000
Answer:
C. ticket sales for the new coaster.
Explanation:
In the case when the sales is reduced for the boat rise so the new rise would decrease the sales of the boat ride.
in the case when the food cost would be increase so if the sales of the food rises so automatically the food cost would rise
In the case when there is an extra sales for existing coaster, the same is mentioned in the given case
Therefore the option c is correct
Answer:
Option (c) is correct.
Explanation:
Given that,
Sales (6,000 units) = $ 300,000
Variable expenses = $240,000
Contribution margin = $60,000
Fixed expenses = $59,000
Net operating income = $1,000
Contribution margin per unit:
= Contribution margin ÷ Number of units sold
= $60,000 ÷ 6,000 units
= $10 per unit
If sales increase to 6,020 units,
Contribution margin:
= Contribution margin per unit × Number of units sold
= $10 × 6,020 units
= $60,200
Net operating income:
= Contribution margin - Fixed cost
= $60,200 - $59,000
= $1,200
Increase in net operating income:
= $1,200 - $1,000
= $200
