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Anon25 [30]
3 years ago
5

The Acmeville Metropolitan Bus Service currently charges $ 0.67 for an all-day ticket, and has an average of 472 riders a day. T

he bus company is not earning a profit, but according to their contract with the city, they cannot cut the number of buses on the road. They must therefore find a way to increase revenues. The bus company is considering increasing the ticket price to $ 0.78 . The marketing department's studies indicate this price increase would reduce usage to 182 riders per day. Calculate the absolute value of the price elasticity of demand for bus tickets using the simple percentage change method. Round your answer to one decimal place.
Business
1 answer:
Otrada [13]3 years ago
6 0

Answer:

The price elasticity of demand is -3.7

Explanation:

Price Elasticity of demand measure the responsiveness of demand against the change in price of the product.

Simple percentage method calculate the price elasticity by taking ratio of percentage change in Demand to percentage change in price of the product.

Percentage change in Demand = ( Revised demand - Initial demand ) / Initial demand  

Percentage change in Demand = ( 182 riders - 472 riders ) / 472 riders = -0.6144 = -61.44%  

Percentage change in Price = ( Revised Price - Initial Price ) / Initial Price  

Percentage change in Price = ( $0.78 - $0.67 ) / $0.67 = 0.1642 = 16.42%

Price Elasticity = Percentage change in Demand / Percentage change in price

Price Elasticity = -61.44% / 16.42% = -3.74 = -3.7

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Answer:

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Explanation:

The staff should be polite and speak gently to every one. There should be a culture of greeting every one in the organization this is the basic and an important etiquette. The workplace of every individual should be clean and the files and papers should be arranged properly. Everyone should speak politely to each other so that the other staff working in office does not gets irritated.

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3 years ago
The way the bank determines the balance on which to calculate your interest is known as _____.
neonofarm [45]
The way a bank determines the balance on which you calculate your interest is known as an annual percentage rate. In reality, the banks take the annual percentage rate and charge a person on their daily interest rate. You can find out the daily rate by taking the APR, annual percentage rate, and divide it by the number of days in a year. The correct answer is D. 
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3 years ago
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Kimble Company applies overhead on the basis of machine hours. Given the following data, compute overhead applied and the under-
olga55 [171]

Answer:

Compute overhead applied and the under- or overapplication of overhead for the period

Budgeted Rate = $1,600,000/ 400,000 machine hours

                         = $ 4 per Machine Hour

Overheads Applied = 390,000 × $ 4 per Machine Hour

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Actual Overheads            = 1,575,000

Less Applied Overheads = 1560,000

Under- Applied                =     15,000

Explanation:

<u>Overheads are Applied as follows:</u>

Actual Activity for the period × Budgeted Overhead Rate

<u>Budgeted Rate is determined as follows:</u>

Budgeted Total Overheads/Budgeted Activity

<u>Under- or Overapplication of overhead is determined as follows:</u>

Actual Overheads - Applied Overheads

Under Application is therefore : Actual Overheads > Applied Overheads

Over Application is therefore : Actual Overheads < Applied Overheads

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Answer:

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Assignment
Artyom0805 [142]

Answer:

Explanation:

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4 0
3 years ago
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