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
Kipish [7]
3 years ago
12

Which statement is the best definition of the price elasticity of demand?The ratio of the percent change in demand to the percen

t change in income.The ratio of the percent change in price to the percent change in quantity demanded.The absolute value of the slope of the demand curve.The ratio of the percent change in quantity demanded to the percent change in price.
Business
2 answers:
Yakvenalex [24]3 years ago
8 0

Answer:

The correct answer is letter "D": The ratio of the percent change in quantity demanded to the percent change in price.

Explanation:

Price Elasticity of Demand is a measure of the response of one factor to a change in another variable. It can explain the degree to which supply and demand change with the price of goods or consumer income for a good or service. <em>We calculate elasticity by dividing the change in quantity demanded with the change in price</em>. A result <em>greater than or equal to 1 means a good or service is elastic</em>; <em>less than 1 means an inelastic</em> good or service.

Vikki [24]3 years ago
7 0

Answer:

The ratio of the percent change in quantity demanded to the percent change in price.

Explanation:

Price elasticity of demand measures how responsive quantity demand is to changes in price.

The formula is given by

Price elasticity of demand= Percetage change in demand/ Percentage change in price

Usually the price elasticity bis negative. Goods that don't obey the law of demand have positive elasticity.

You might be interested in
Holly owns a dance studio. To improve sales of dance classes, she is reviewing how her marketing team could update the company's
ASHA 777 [7]

Answer:

b. website layout

c. email marketing

Explanation:

The website layout is the layout i.e created for a website. It should be attractive to the owners and users. Moreover it should be easy to navigate it so that if anyone could access to the website he or she could easily access it without any hurdle.

The email marketing is a technique in which we can send one message to large audience in the same time. It helps in saving cost and time

According to the given situation, the online customers struggled with website navigate and to find out the contact information related to the business

So to modify and help address her customer feedback the website layout and the email marketing plays a vital role and the same is to be considered

6 0
3 years ago
A credit sale is made on July 10 for $900, terms 1/15, n/30. On July 12, the purchaser returns $100 of goods for credit. Give th
balu736 [363]

Answer:

                                      Dr.      Cr.

July 19

Cash                            $792

Discount expense      $8

Account Receivable              $800

Explanation:

The term 1/15, n/30 mean there is a discount of 1% is available on the sales value, if payment is made within 15 days of sale with credit term of 30 days.

The sale of $900 was made on July 10 and discount period is until July 25.

On July 12 goods amounting $100 was returned and now the amount due from the customer is $800 ( $900 - $100 ).

The payment made on July 19 is actually in the discount period and it is eligible for the discount as it is made before July 25.

Discount = Amount due x Discount rate

Discount = $800 x 1% = $8

$792 Cash received against the sale made on July 10 and discount $8 is expensed. Total of $800 is credited from the account receivable account to eliminate it.

5 0
3 years ago
You open a savings account with a 0.5% per year nominal interest rate, and the economy experiences 3% per year inflation. a. Wha
Firlakuza [10]

Answer:

a. The nominal interest rate is 0.5%, and the real interest rate is -2.5%.

b. The purchasing power of money in the account will reduce.

Explanation:

a. What is the nominal and real annual interest rate on the account? The nominal interest rate is %, and the real interest rate is %.

From the question, we have:

Nominal interest rate = 0.5%

Inflation rate = 3%

In economics, the real is interest rate is calculated as follows:

Real interest rate = Nominal interest rate - Inflation rate = 0.5% - 3% = -2.5%

Therefore, the nominal interest rate is 0.5%, and the real interest rate is -2.5%.

b. What will happen to the purchasing power of the money you place in the account over time? The purchasing power of money in the account will

From the question, the interest rate attached to the savings account is a nominal interest rate. Since the nominal interest rate, unlike the real interest rate, is an interest rate that is not adjusted for inflation, the purchasing power of money in the account will reduce.

3 0
3 years ago
A written agreement setting forth issues between labor and management is called a?
marishachu [46]

Labor contract.

A labor contract sets for the rights and responsibilities of labor and management for unions and other labor groups.

3 0
3 years ago
During 2004, ABC Company had $750,000 of net credit sales. Accounts Receivable had a December 31, 2004, balance of $250,000.
eimsori [14]

Answer:

c. $24,500

Explanation:

The allowance for doubtful accounts is a contra-asset account that records the amount of receivables expected to be uncollectiblea, makes a reduction of the total amount of accounts receivable appearing on a company’s balance sheet. There are two way to estimate uncollectible accounts: the percentage of sales method and the accounts receivable aging method.

ABC Company uses the percentage of sales method - application a flat percentage to the total amount of net credit sales for the period.

Estimated uncollectible = 3% x $750,000 = $22,500

The company establishes an allowance for doubtful accounts for $22,500 while simultaneously reporting $22,500 in bad debt expense.

Before adjusting on December 31, 2004, the Allowance for Doubtful Accounts had a credit balance of $2,000.

The balance in the allowance for doubtful accounts after adjustment is $22,500 + $2,000 = $24,500

8 0
3 years ago
Other questions:
  • On October 5, Loomis Company buys merchandise on account from Brooke Company. The selling price of the goods is $5,000, and the
    7·1 answer
  • Select the correct text in the passage given below. Which sentence identifies a factor that affects demand for a car manufacture
    7·1 answer
  • Ravonette Corporation issued 300 shares of $10 par value common stock and 100 shares of $50 par value preferred stock for a lump
    12·1 answer
  • The right to appeal is granted in _________.
    7·2 answers
  • Gulf Coast Tours currently has a weighted average cost of capital of 12.4 percent based on a combination of debt and equity fina
    7·1 answer
  • A stock has an HPR of 9%. The expected dividend yield is 3%.
    12·1 answer
  • Which punctuation mark best matches the image?
    7·1 answer
  • Suppose Mr . Jacobs is a successful candidate.draw up his employment contracts and include five espect of the employment contrac
    9·1 answer
  • Yahoo! recently eliminated _________ despite its many advantages because it was perceived as undermining corporate culture.
    5·1 answer
  • sheridan company had beginning inventory of $12600 at March 1, 2022. During the month, the company made purchases of $54600. The
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!