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Fed [463]
3 years ago
12

Assume an analyst has been hired to estimate the price elasticity of demand for hamburger (which sells for about $2.30 per pound

) and filet mignon (which sells for about $20 per pound), respectively. Considering the different determinants of the price elasticity of demand, we would expect the coefficient of price elasticity of demand to be:(A) larger for hamburger than for filet mignon.(B) larger for filet mignon than for hamburger.(C) approximately the same for both hamburger and filet mignon.(D) none of the above because different determinants would have opposing effects on the two estimates.
Business
1 answer:
Pepsi [2]3 years ago
6 0

Answer:

The correct answer is B

Explanation:

Price elasticity of the demand evaluates the demand responsiveness after the change or variation in the product own price.

The formula for computing the coefficient of price elasticity, is the factors which affect the elasticity and also elasticity is vital for business when deciding the prices.

So, Filet mignon(F) sells for $20 per pound when compared to that of hamburger (H) which sells the product for $2.30 per pound. F have the higher price as compare to the H, therefore, the coefficient of the price elasticity of demand in absolute value will be high or larger for F than that of H.

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For-profit businesses and nonprofit organizations are similar in that they both: a. contribute to the welfare of society. b. hav
liraira [26]

Answer:

c

Explanation:

they all look forward to gain profit

7 0
3 years ago
You are considering purchasing a new truck that will cost you $34,000. The dealer offers you 1.9% APR within monthly compounding
dmitriy555 [2]

Answer: $31,513.65

my monthly payment (principal) would be closest to $31,514

Explanation:

Using compound interest formula below to find the principal

A = p (1 + r/n)^nt

A= amount = $34,000

r = annual nominal rate = 1.9% = 0.019

n = number of compounding ; monthly compounding means 12 interest payments in a year

P= principal

t= time in years 48months = 48/12years = 4years

34,000 = p (1 + 0.019/12)^12(4)

34,000 = p (1 + 0.00158333333)^48

34,000 = p ( 1.00158333333)^48

34,000 = 1.07889755p

Divide both sides by 1.07889755

P = $31,513.6502

≈$31,514 to nearest whole number.

5 0
3 years ago
A company had beginning inventory of 8 units at a cost of $11 each on March 1. On March 2, it purchased 11 units at $10 each. On
MrRissso [65]

Answer:

$237

Explanation:

From the information given

Using FIFO perpetual inventory method, we have

(8 × 11) + (11 × 10) + (3 × 13)

= 88 + 110 + 39

= 237

Therefore, cost of 22 units sold is $237

Note: FIFO perpetual inventory method is a cost flow tracking system where the first unit of inventory acquired is the first unit of inventory sold. So in this case, we calculated the cost of the first 22 unit acquired.

6 0
3 years ago
Assume that Waterland and Aquataste make a nonbinding, informal agreement that each will produce 250 gallons of water, charge $1
Katen [24]

Answer:

If Aquataste sticks to the agreement, Waterland has an incentive to renege on the agreement by producing 350 gallons because Waterland’s profits would then increase from $375 to $525.

Explanation:

If Waterland and Aquataste both produce 250 gallons each and charge $1.50 per gallon.

There would be 500 gallons in total, and the total revenue would be

$1.50 × 500 = $750

which when shared equally between Waterland and Aquataste would result in each of them getting $375 each.

But if Aquataste sticks to the agreement, Waterland has an incentive to renege on the agreement by producing 350 gallons, still charging $1.50 and Waterland’s profits would then be

$1.50 × 350 = $525

Hope this Helps!!!

5 0
3 years ago
George Weston Limited, a Canadian food processing and distribution company, is one of the world's largest producers of breads. R
babunello [35]

Answer:

<u> c. Mix width</u>

Explanation:

Product mix width can be defined as the total number of product lines that a company has to sell.

As an example, we can mention a cosmetics company that manufactures four different types of products, such as jewelry, perfumes, clothes and makeup.

Companies use the strategy of having different product lines because they add benefits such as attracting more consumers and gaining a larger share of the market.

4 0
3 years ago
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