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3 years ago

If a company increases its sales price per unit for productâ€‹ a

Business

1 answer:

Effectus [21]3 years ago

7 0

Answer:

TR decreases if Demand is Elastic, TR increases if Demand is Inelastic

Explanation:

Price Elasticity of Demand is the responsive change in price, due to change in price. Elastic demand means demand responds more to price change, Inelastic demand means demand responds less to price change. Total Revenue is the total receipt value from sales = Price x Quantity

If demand is elastic : price & total revenue are inversely related - price increase, demand decrease & price decrease, demand increase.
If demand is inelastic : price & total revenue are directly related - price increase, demand increase & price decrease, demand increase

So, If a company increases its sale price per unit of a product :

Total Revenue would increase as a result of price rise, if demand is Inelastic
Total Revenue would decrease as a result of price rise, if demand is Elastic

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sergiy2304 [10]

Answer:

E. I, II, III, and IV

Explanation:

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3 years ago

Brandon wants to purchase new furniture for his home but does not want his purchases to put him into debt. brandon loves being s

m_a_m_a [10]

Creating an investment account

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3 years ago

Should any of these ratios or the change in a ratio warrant concern for the managers of Tyler Toys or the shareholders? (Selec

Murrr4er [49]

Answer:

C. The company has a very poor turnover of assets and collects its receivables quickly; thus there are some concerns from these ratios. D

Explanation:

Let's be mindful that turnover here refers to revenue, while receivables refer to amounts owed to the company. So, If the company has a very poor turnover of assets it means it isn't making much revenue, and it is collecting its receivables quickly implying there are some concerns (imbalances) from these ratios.

Therefore, the managers of Tyler Toys or the shareholders need to work out a solution.

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3 years ago

Shiva returns goods worth Rs.2000 and received cash Rs.8000 ?

Reika [66]

Answer:

When goods were sold to Shiva :

Shiva A/C Dr Rs.10,000

To Sales A/C Rs.10,000

(Being goods sold to Shiva)

When goods are being returned by Shiva :

Sales Returns A/C Rs.2000

To Shiva A/C Dr Rs.2000

(Being goods returned by Shiva)

When Cash is received from Shiva :

Cash A/C Dr Rs.8000

To Shiva A/C Rs.8000

(Being Cash received from Shiva)

HOPE THIS HELPS!!!

MARK IT AS BRAINLIEST!!!

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3 years ago

Free Spirit Industries Inc.’s marketing sales director doesn’t think that the market for the firm’s goods is big enough to sell

RSB [31]

Answer:

In the attached the fixed costs is $12,000,000

selling price is $41.50

variable cost is $12.80

The price for the target EBIT of $15 million is $167.09

Explanation:

target units=fixed costs+target EBIT/selling price-variable cost

target units is 175,000

fixed costs of $12,000,000

target EBIT of $15,000,000

variable cost is $12.80

selling price is unknown,let assume is X

175,000=($12,000,000+$15,000,000)/X-12.80

175,000=27,000,000/X-12.80

175,000*(X-12.80)=27,000,000

X-12.80=27,000,000/175,000

X-12.80=154.29

X=154.29+12.80

X=$167.09

EBIT=Sales units*(selling price-variable cost)-fixed costs

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3 years ago