All categories

3 years ago

(Economics)How is the equilibrium price found using a supply and demand graph

1 answer:

7 0

On a graph, the point where the supply curve (S) and the demand curve (D) intersect is the equilibrium. ... At any other price, the quantity demanded does not equal the quantity supplied, so the market is not in equilibrium at that price.

You might be interested in

The stockholders' equity of Gorsky Company at the beginning and end of 2018 totaled $ 125,000 and $ 131,000, respectively. Ass

Debora [2.8K]

Answer:

The assets at the end of 2018 will be for 222,000

Explanation:

We solve using the accounting equation:

Assets = Liabilities + Equity

2017

Equity 125,000

Assets 145,000

Assets = Liabilities + Equity

145,000 = Liabilities + 125,000

145,000 - 125,000 = Liabilities

Liaiblities = 20,000

2018

Equity 131,000

"Liabilities increase by 71,000"

Liabilities = 2017 + increase = 20,000 + 71,000 = 91,000

Assets = Liabilities + Equity

Assets = 91,000 + 131,000 = 222,000

5 0

3 years ago

Common-Sized Income Statement Revenue and expense data for the current calendar year for Lyons Electronics Company and for the e

alexandr402 [8]

Answer:

Explanation:

In common sized income statement , each line item is expressed as a percentage of sales turnover and compared to the percentage industry standard for analysis purpose.

Lyon % Industry %

Revenue 7,500,000 100 100

Cost of goods (4,125,000) 55 61

Gross profit 3,375,000 45 39

Selling expenses (2,250,000) 30 23

Admin Expenses (525,000) 7 10

Total Operating Exp (2,775,000) 37 33

Operating income 600,000 8 6

Other revenue 30,000 0.4 3

Other expenses (7500) 0.1 1

Income before tax 622,500 8.3 8

Income Tax 187,500 2.5 2.5

Net Income 435,000 5.8 5.5

4 0

4 years ago

Six months ago, the price of gasoline was $2.20 per gallon. Now, the price is $2.40 per gallon. In response to this price i

k0ka [10]

Answer:

4.545

Explanation:

Given:

Six months ago, the price of gasoline was $2.20 per gallon.

Now, the price is $2.40 per gallon.

In response to this price increase, the number of gallons of gasoline purchased has declined by 2 percent.

Question asked:

Based on this information, what is the absolute price elasticity of demand for gasoline?

Solution:

As we know:

Price elasticity of demand = $\frac{\% change\ in\ quantity\ demanded}{\% change\ in\ price}$

$\% change\ in\ quantity\ demanded =$ $\frac{new\ value-old \ value}{old\ value} \times100\\$

$=\frac{2.40-2.20}{2.20} \times100\\\\ =\frac{0.2}{2.20} \times100\\ \\ =\frac{20}{2.20} \\ \\ =9.09$

$\% change\ in\ price=2$ ( given)

Price elasticity of demand = $\frac{\% change\ in\ quantity\ demanded}{\% change\ in\ price}$

$=\frac{9.09}{2} \\ \\ =4.545$

Thus, the absolute price elasticity of demand for gasoline is 4.545

4 0

3 years ago

Popularity increases a product’s

miskamm [114]

Answer:

life cycle

Explanation:

When a product has been popularized with adverts, people will know d product and will wanna try it out.Once this happens,the product will still be in existence prolonging the life cycle

6 0

3 years ago

List down the name of international employment providing organisation and explain any one of them

cestrela7 [59]

Answer:

UN agencies in Nepal:

Food and Agriculture Organization (FAO) International Fund for Agricultural Development (IFAD) International Labour Organization (ILO) International Organization for Migration (IOM)

Explanation:

4 0

2 years ago