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Sergio039 [100]
3 years ago
14

Which of the following statements about price stickiness or flexibility is true? Multiple Choice Prices of many raw materials ar

e only slightly more flexible than the prices of final goods and services. Prices of many raw materials are much more flexible than the prices of final goods and services. Prices of many raw materials are less flexible than the prices of final goods and services.
Business
1 answer:
vodomira [7]3 years ago
8 0

Answer:

The correct answer is: Prices of many raw materials are much more flexible than the prices of final goods and services.

Explanation:

Price stickiness implies that the price of products does not change with changes in demand or supply. There are several reasons for the price rigidity of goods. It is the resistance to the price of products to change when there is a change in the cost of production.

The price of inputs or raw materials is generally more flexible than the price of products. This is because of several reasons. There are menu costs involved in the changing price of products. The wages are generally rigid and do not change in the short term. This makes the price of the product rigid as it must cover all costs of production including wages.

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ransfers real estate worth $180,000 (basis of $40,000) andservices (worth $20,000) rendered in organizing the corporation. Each
MrRissso [65]

Answer:

Emily has a basis of $60,000 in the shares of Red Corporation.

Explanation:

Emily's basis for Red Corporation's stock = real estate ($40,000)  + service ($20,000) = $60,000

Sarah's basis for Red Corporation's stock = computers ($80,000) = $80,000

Even though both Emily and Sarah received 600 shares each, the basis for her tax calculations are different.

3 0
3 years ago
Ordinary and necessary business expenses are deductible only to the extent they are also reasonable in amount.
marysya [2.9K]

Answer:

True

Explanation:

According to the IRS:

  • ordinary expenses are expenses that are common and accepted in a company's trade or industry.
  • necessary expenses are expenses that help your company carry on its normal business.

Tax deductible expenses must be ordinary, necessary, and reasonable.

8 0
4 years ago
If the MPC in an economy is 0.8, government could close a recessionary expenditure gap of $100 billion by cutting taxes by
QveST [7]

Answer:

cutting taxes by $125 billion

Explanation:

given data

economy = 0.8

expenditure gap = $100 billion

to find out  

cutting taxes

solution

we get here cutting or reduce taxes that is express as

cutting taxes = \frac{expenditure\ gap}{MPN\ economy} ......................... 1

cutting taxes = \frac{100}{0.8}    

solve we get cutting taxes

cutting taxes = $125 billion

so cutting taxes by $125 billion

8 0
3 years ago
20 POINTS FOR THE ANSWER
Furkat [3]

Digital printing is best used for items that require high amounts of detail and smaller quantity orders. Unlike conventional printing, there are no pre-press stages between the digital document files and the final product; there is also no need for messy formatting equipment like film plates or photo chemicals.

<h3>What is the evolution of printing?</h3>

The printing is credited as the earliest form and was first developed in China around 200AD. As the name suggests, it involves carving a design into a block of wood. Once the wood is carved, the raised part is then inked and paper is placed on top.

It's been 20 years since Israeli Benny Landa revolutionized the printing industry with the advent of digital printing, and industry watchers say the inventor may have repeated the feat with a new product unveiled.

Learn more about digital printing here,

brainly.com/question/12472029

#SPJ1

6 0
2 years ago
Mary expects the inflation rate to be 5 percent, and she is willing to pay a real interest rate of 3 percent. Joe expects the in
OleMash [197]

Answer:

55

Explanation:

correct

8 0
3 years ago
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