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riadik2000 [5.3K]
3 years ago
10

16. According to data from the U.S. Department of Energy, sales of the fuel-efficient Toyota Prius hybrid fell from 194,108 vehi

cles sold in 2014 to 180,603 in 2015. Over the same period, according to data from the U.S. Energy Information Administration, the average price of regular gasoline fell from $3.36 to $2.43 per gallon. Using the midpoint method, calculate the cross-price elasticity of demand between Toyota Prii (the official plural of "Prius" is "Prii") and regular gasoline. According to your estimate of the cross-price elasticity, are the two goods complements or substitutes? Does your answer make sense?
Business
1 answer:
Westkost [7]3 years ago
4 0

Answer:

0.22 and substitutes goods

Explanation:

The computation of the cross-price elasticity of demand using mid point formula is shown below:

= (change in quantity demanded ÷ average of quantity demanded) ÷ (percentage change in price ÷ average of price)  

where,  

Change in quantity demanded is

= Q2 - Q1

= 180,603 - 194,108

= -13,505

And, the average of quantity demanded is

= (180,603 + 194,108) ÷ 2

= 187,356

Change in price is

= P2 - P1

= $2.43 - $3.36

= -$0.93

And, the average of price is

= ($2.43 + $3.36) ÷ 2

= 2.895

So, after solving this, the cross - price elasticity is 0.22

Since the cross - price elasticity is positive that reflect the goods are substitutes to each other

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The management at ABC Computers believes that high sales will result in high profit. Together with the company sales force, mana
dimaraw [331]

Answer:

<u><em>Sales</em></u>-Oriented

Explanation:

A Sales-Oriented Company's main focus is on <em>producing a sales team to advertise and market their products or  services.</em>

Generally, such strategies are made through door-to-door sales, telephone conversations,  and other encounters with prospective customers or opportunities.

The sales team is typically the business's greatest resource and the <em>primary driver of its growth and  productivity.</em>

7 0
2 years ago
peanut butter and jelly are complements. if there is a decrease in the price of jelly, producer surplus in the peanut butter mar
ololo11 [35]

If the price of jelly decreases, the demand for peanut butter, a complementary good to jelly, will increase. The increase in the demand for peanut butter will cause the price of peanut butter to rise.

Peanut butter is a food paste or spread crafted from ground, dry-roasted peanuts. It typically consists of extra components that alter the flavor or texture, which include salt, sweeteners, or emulsifiers. Peanut butter is fed on in many countries. The USA is the main exporter of peanut butter and one of the most important clients of peanut butter annually in step per capita. January 24 is National Peanut Butter Day inside the u.S.. Peanut butter is a nutrient-rich food containing high levels of protein, numerous vitamins, and nutritional minerals. Its miles typically served as diffusion on bread, toast, or crackers, and used to make sandwiches (extensively the peanut butter and jelly sandwich). It's also used in some breakfast dishes and desserts, inclusive of granola, smoothies, crepes, cookies, brownies, or croissants. It's far much like other nut butter such as cashew butter and almond butter.

Learn more about peanut butter here

brainly.com/question/23636252

#SPJ4

8 0
1 year ago
Branch Corporation issued $5 million of commercial paper on March 1 on a nine-month note. Interest was discounted at issuance at
defon

Answer:

Journal Entry

March 1

Dr. Cash                                     $4,550,000

Dr. Discount on Note Payable $450,000  

Cr. Note payable                      $5,000,000

December 1

Dr. Interest Expense                 $450,000

Cr. Discount on Note Payable $450,000  

Dr. Note payable                      $5,000,000

Cr. Cash                                     $5,000,000

Explanation:

Note payable is document which is payable after a specific period of time.

Note Payable is recorded at the present value of the note face value. We need to discount the face value of the note first.

Interest on the bond = $5,000,000 x 12% x 9/12 = $450,000

On December 31  Interest expense will be recorded and Payment of Note is made.

8 0
3 years ago
Assuming purchase costs are rising, determine which of the statements below are correct regarding the cost of goods sold under F
anzhelika [568]

Answer:

A

B

C

D

Explanation:

LIFO means last in first out. It means that it is the last purchased inventory that is the first to be sold.

FIFO means first in, first out. It means that it is the first purchased inventory that is the first to be sold

Weighted average cost method calculates the cost of goods sold as the weighted average of cost of inventory

In periods of rising prices, later purchased goods would have a higher price. As a result, LIFO would report a lower net income while companies using FIFO would report the highest gross profit and net income.

Because of the high net income reported under FIFO, tax paid would be the highest too

6 0
3 years ago
A graduated payment mortgage allows the buyer to ___.
Tamiku [17]
D. Not have a downpayment.

Due to the nature of the mortgage.
5 0
3 years ago
Read 2 more answers
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