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
son4ous [18]
3 years ago
9

If income decreases and, at the same time, a new technology is discovered that lowers the cost of producing the good, which of t

he following will happen?a. The equilibrium quantity will increase. The equilibrium price will increase.b. Cannot tell the change in equilibrium quantity. The equilibrium price will decreasec. The equilibrium quantity will decrease. The equilibrium price will increased. Cannot tell change in equilibrium quantity. Cannot tell the change in equilibrium price

Business
1 answer:
Fiesta28 [93]3 years ago
4 0

Answer:

b. Cannot tell the change in equilibrium quantity. The equilibrium price will decrease

Explanation:

Two things are going on here

1. Income decreases, that will shift demand inwards. People can buy fewer goods at any given price

2. New technology is discovered, that shifts supply outwards. Costs are reduced so producers can produce more at a given price

The resulting effects are that price will decrease but the result in quantity is undetermined. This can be seen with the two examples attached. In both cases, the shifting of the curves from D0->D1 and S0->S1 results in lower prices. However, in one case the equilibrium quantity goes up and in the other goes up.

You might be interested in
As it relates to inventory, a buyer's time expended to prepare the purchase order for more material is considered a(n) ____ cost
OLga [1]

Answer:

"Ordering" is the correct solution.

Explanation:

  • Ordering expenses are incurred in purchasing a new shipment of manufactured goods. This would include expenditures for the attempting to place of a purchase agreement, cost savings for the evaluation including its batches expected to receive, ends up costing for documentary evidence, etc.
  • The cost of ordering correlated negatively with either the cost of transport. This appears to mean because the much more purchases a business location including its providers, the significantly higher the ordering costs will indeed be.
3 0
2 years ago
When people have more money and eagerly spend it, this increases
Leya [2.2K]

Answer:

More money and enganment to whoever they're purchasing from.

Explanation:

3 0
3 years ago
After the accounts are adjusted and closed at the end of the fiscal year, accounts receivable has a balance of $340,000 and allo
bija089 [108]
340,000-51,000=$289,000
3 0
3 years ago
Another bank is also offering favorable terms, so Rahul decides to take a loan of $22,000 from this bank. He signs the loan cont
Wittaler [7]

Answer:

$22,897.74

Explanation:

Given:

Loan amount (P) = $22,000

rate (R) = 8% = 8/100=0.08/365 = 0.000219178082

Number of days(n) = 6 month = (6 x 365)/12 = 182.5

Total Amount = ?

A = P(1+ I)^n\\A = 22,000(1+0.000219178082)^{182.5}\\=22,000(1.000219178082)^{182.5}\\=22,000(1.04080658)\\= 22,897.744

Therefore, he have to pay $22,897.74 to the bank.

5 0
3 years ago
Gardial & Son has an ROA of 11%, a 2% profit margin, and a return on equity equal to 17%. What is the company's total assets
bezimeni [28]

Answer:

Total assets turnover = 5.5

Equity multiplier = 1.55

Explanation:

The return on assets (ROA = 11%) is defined as the profit margin (2%) multiplied by the total assets turnover (TAT):

0.11=0.02*TAT\\TAT = 5.5

The return on equity (ROE = 17%) is defined as the product of the return on assets (ROA = 11%) by the equity multiplier (EM):

0.17=0.11*EM\\EM=1.55

The company's total assets turnover is 5.5

The firm's equity multiplier is 1.55

4 0
3 years ago
Other questions:
  • According to the Prebisch-Singer hypothesis, this fate has befallen many developing countries given the general decline in commo
    14·1 answer
  • Joy is taking out a car loan which she’ll pay back with interest. Which option will require her to pay the lowest amount in inte
    11·1 answer
  • Read the sentence.
    11·1 answer
  • Eager, a tipped employee, reported to his employer that he had received $320 in tips during March. On the next payday, April 4,
    15·1 answer
  • Blossom Company had the following transactions involving notes payable. July 1, 2020 Borrows $61,000 from First National Bank by
    8·1 answer
  • The increase in unemployment that occurs during recessions and depressions is called Group of answer choices normal unemployment
    9·1 answer
  • How can technological innovation help a company become globalised​
    15·1 answer
  • Which of the following is NOT counted in the unemployment rate?
    9·2 answers
  • When Ian experiences diminishing marginal utility when buying shirts,
    9·1 answer
  • Sudoku Company issues 26,000 shares of $8 par value common stock in exchange for land and a building. The land is valued at $235
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!