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pychu [463]
3 years ago
12

If a $100 drop in the price of a $10,000 car resulted in an increase in the quantity of cars purchased from 100 to 110 and a $10

0 drop in the price of a $1000 vacation rental resulted in an increase in the quantity of weekly vacation homes rented from 100 to 110, the price elasticity of demand is:
Business
1 answer:
nordsb [41]3 years ago
5 0

Answer:

Price elasticity of demand is greater for the Car

Explanation:

Price elasticity of Demand = (Q2 - Q1/Q1) ÷ (P2 - P1/P1)

For the car,

PED = (110 - 100/100) ÷ (10000-9900/10000)

= 0.1 ÷ 0.01

= 10

PED = (110 - 100/100) ÷ (1000-900/1000)

= 0.1 ÷ 0.1

= 1

Since 10 > 1, hence the PED of the Car is greater than that of vacation homes.

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On May 1, 20X2, Bolt Corp. issued 11% bonds in the face amount of $1,000,000 that mature on May 1, 20X12. The bonds were issued
TiliK225 [7]

Answer:

B) 60,100

Explanation:

Since months have passed between the bond issuance and October 31. The amortization of the premium received depends on the amount of interest recognized. When the effective interest method is used, interest expense is based on the yield rate and the beginning book value.

interest expense = ($1,000,000 + $62,000) x 10% x 6/12 = $53,100

interest payable = $1,000,000 x 11% x 6/12 = $55,000

the difference (bond premium) = $55,000 - $53,100 = $1,900

unamortized bond premium = $62,000 - $1,900 = $60,100

4 0
3 years ago
Following a peso appreciation relative to the dollar, which of the following results is expected to occur?
liubo4ka [24]

Answer:

B

Explanation:

A currency appreciates when its value increases.

For example if $1 was exchanged for 50 pesos. After appreciation of the pesos, $1 would buy $25 pesos.

So more $2 would be needed to buy 50 peso after the appreciation when before the appreciation $1 was buying 50 pesos.

As a result Mexican goods would become more expensive to US consumers and the revenue earned by Mexican producers would increase

7 0
3 years ago
Suppose you deposit $2,500 at the end of year 1, nothing at the end of year 2, $750 at the end of year 3, and $1,300 at the end
Ratling [72]

Answer:

$5837 approx

Explanation:

Amount = Principal(1\ +\ r)^{n}

Amount deposited at the end of year 1 would yield = $2500 (1\ +\ .09)^{4} = $2500 × 1.41158 = $3528.95

Amount deposited at the end of year year 3 would yield = $750 (1\ +\ .09)^{2} = $891.075

Amount deposited at the end of year 4 would yield = $1300 (1\ +\ .09)^{1} = $1417

Total deposit at the end of year 5 = $3528.95 + $891.075 + $1417 = $5837 approx.  

3 0
3 years ago
Government company meaning
denis23 [38]

Answer:

A government company is a company registered under the Indian Companies Act in which not less than 51% of paid up share capital is held by the central government or any state government or partly by central government partly by one or more state governments.

Explanation:

A government company is a company registered under the Indian Companies Act in which not less than 51% of paid up share capital is held by the central government or any state government or partly by central government partly by one or more state governments.

6 0
3 years ago
Read 2 more answers
Ms. long is a first grade teacher and uses cooperative learning in her classroom. in creating groups of students she will equall
NeTakaya
It is clear that Ms. Long is using the principle of scaffolding in her classroom.
This is a term in psychology coined by a famous psychologist Vygotsky. He believed that if we provide enough support for the children, while also giving them their independence, the children will soon succeed on their own, complete a task without our help. So here, Ms. Long knows that each of these students can help each other complete the task and thus improve their knowledge.
3 0
3 years ago
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