Answer:
The correct answer is option A.
Explanation:
The monetary base can be defined as the amount of money that is in circulation in the hands of the public or held as reserves by banks.
The monetary base in an economy is equal to all currency in circulation plus reserves held by banks.
In other words, it includes highly liquid funds such as coins, notes, and bank deposits.
The money supply is a broader concept than the monetary base and includes the monetary base and other assets as well.
The difference between a business revenues ans its expenses is known as its profits
Answer:
D. a 10 percent decrease in the average price of a lift ticket.
Explanation:
When Price elasticity is greater than 1, that suggests that the demand for that particular good or service is highly responsive to price or is price-sensitive . Furthermore, If price elasticity is greater than 1 then an increase in price will cause revenue to decrease.
Applying the above-stated principle to the given scenario, it has been stated that 'The estimated price elasticity of demand is 1.5.' implying that the demand for downhill ski is highly sensitive and responsive to changes in price.
Therefore, the only logical economic strategy to improve revenues will be to decrease price so that revenue can increase.
Answer:
5.13%
Explanation:
Given:
Worth of investment today (PV) = $1,000
Investment worth after 6 years (FV) = $1,350
Time period of investment (nper) = 6 Years
It is required to compute annual return (RATE). This can be computed using spreadsheet function =RATE(nper,-PV,FV).
Substituting the values, we get =RATE(6,-1000,1350)
= 5.13%
Present value is negative as it is a cash outflow.
Therefore, annual return is computes as 5.13%.
