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elixir [45]
3 years ago
11

On October 1, 2009, the Nintendo Wii's Japanese price dropped from ¥25,000 to ¥20,000. In the three months after the price drop,

Japanese sales of the Wii were approximately 1,040,000. Twelve months earlier, over the same interval at the high price, sales totaled 890,000. Using the midpoint method, what is the absolute value of the price elasticity of demand of a Wii console? Is it an elastic or inelastic good?
Business
1 answer:
kykrilka [37]3 years ago
4 0

Answer:

B) 0.7; inelastic

Explanation:

The computation of the absolute value of the price elasticity of demand is shown below:

Elasticity is

= [(Sales - prior sales) ÷ ( Sales + prior sales) ÷ 2] ÷ [(price - dropped price) ÷ (price - dropped price) ÷ 2

= [(1,040,000 - 890,000) ÷ (1,040,000 + 890,000) ÷ 2] ÷ [(25,000 - 20,000) ÷ (25,000 + 20,000) ÷ 2]

= (150,000 ÷ 965,000) ÷ (5,000 ÷ 22,500)

= 0.15 ÷ 0.22

= 0.7

It is less than one so the demand is inelastic

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Answer:

Option 3

Explanation:

Earnings & profits (E&P) is the measure of a corporation’s economic ability to pay dividends to its shareholders. An up-to-date E&P calculation is important for many corporate transactions, including determining whether a distribution to shareholders is a taxable dividend.

The E&P allocated to Andrew's distribution

= 160,000 * 150,000/(350,000+150,000)

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More Parts Liquidators specializes in buying excess parts inventories for resale or to incorporate into other products. They rec
Alla [95]

Answer:

Sell the parts without any processing because the profit is higher ($20,000 vs $15,000)

Explanation:

they have two options:

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Anderson Manufacturing​ Co., a small fabricator of​ plastics, needs to purchase an extrusion molding machine for ​$180 comma 000
vlabodo [156]

Answer:

1st     46,398.83

2nd    49,646.74

3rd      53,122.02

4th      56,840.56

5th       60,819.40

Explanation:

given a growing annuity we have to solve for the installement

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grow rate 0.07

interest rate 0.14

n = time     5

346,574.62 = C  \times \frac{1-(1+0.07)^{5}\times (1+0.14)^{-5} }{0.14 - 0.07}

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Now, to determiante the subsequent payment we multiply by the grow rate of 1.07

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The correct answer that fills in the blank is the real time data processing for it describes the statement above. The real time data processing includes of ongoing processes which is done in a short period of time that is why transactions that are collected are immediately and processed at once.
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