Answer:
-0.34
Explanation:
Given that,
Percentage increase in prices = 5%
Initial quantity demanded = 30,000
New quantity demanded = 2,500
By midpoint method,
Average quantity :
= (Initial quantity + New quantity) ÷ 2
= (30,000 + 2,500) ÷ 2
= 16,250
Change in quantity = (2,500 - 30,000)
= -27,500
Therefore, the price elasticity of demand is as follows:
= (Change in demand ÷ Average quantity demanded) ÷ Percentage increase in prices
= (-27,500 ÷ 16,250) ÷ 5
= -1.69 ÷ 5
= -0.34
<u>Answer:</u>
A. San Francisco-based Airbnb used #OneLessStranger to spark an international social media campaign in which it asked its community of customers to perform random acts of hospitality for strangers, then share a video or photo of themselves with the person they helped.
B. Dunkin' Donuts serves dry pork and seaweed donuts in China and grapefruit donuts in Korea.
C. Austria's Red Bull sponsors extreme sports events across Europe, North and South America, and Asia, making its drinks feel like a local presence while the company maintains a European look to its packaging.
<u>Explanation:</u>
Globalization is the distribution throughout national boundaries and traditions of goods, technology, knowledge and employment. This defines in terms of economics an inter-connectivity of countries across the globe that is promoted by free trade.
This seeks to support consumer economies worldwide by rendering markets more effective, increasing competition, reducing military conflicts, and more evenly distributing wealth. While the impoverished and the rich benefit from globalism in the median developing economy, it often has little impact on the incomes of the needy in many developed economies. Yet government actions are important in making globalization's advantages more comprehensive.
The answer is A
Security dealers.
Answer:
a. Accounting profit for the business = $3,500
b. Economic loss = $1,000
c. The two friends can open the business and incur economic loss of $1,000 in the first year of operation. In subsequent years, the revenue may increase to generate better economic profit. This is the labor, risk, and reward of entrepreneurship.
d. If the two friends do not go ahead with the business because of the economic loss they suffer in the first year of operation, then they cannot be regarded as entrepreneurs. They are merely laborers who cannot assume any risk for greater rewards tomorrow.
Explanation:
Cost of business per month:
Operating expenses = $4,000
Lease of building = 2,000
Total expenses = $6,000
Revenue = $10,000
Accounting profit $4,000
Economic profit:
Revenue = $10,000
Total expenses = $6,000
Opportunity costs:
Lost salaries 4,500
Lost Interest 500
Total costs $11,000
Economic loss = $1,000
Answer and Explanation:
1. The amount of goodwill is shown below:
= Purchase price - the market value of net assets
= $6,000,000 - ($17,000,000 + $13,000,000)
= $2,000,000
2. Now the journal entry for purchase is
Assets $17,000,000
Goodwill $2,000,000
To Liabilities $13,000,000
To Cash $6,000,000
(Being the purchase is recorded)
For recording this we debited the assets and goodwill as it increased the assets and credited the liabilities and cash as it also increased the liabilities and decreased the assets
