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3 years ago

The price of bread goes up. What happens to DEMAND for butter?

Business

1 answer:

nikklg [1K]3 years ago

3 0

Answer:

A. The demand curve shifts to the left

Explanation:

Bread and butter are compliment goods. They offer the consumer a high utility when consumed together. An increase in demand for bread will increase the demand for butter. Changes in the price of bread will affect the demand for butter.

An increase in the price of bread leads to a decrease in demand. Reduction in bread demand means that butter consumption will decline as there will be less bread to apply butter. A decrease in demand will prompt the demand curve to shift inwards.

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Lowering the interest rate will:A. decrease spending on new homes. B. decrease spending on consumer durables. C. decrease the va

ahrayia [7]

Answer:

D: increase investment projects by firms

Explanation:

When interest rates are lowered, it is a green signal for small and medium size enterprises to borrow money for their investment projects.

3 0

3 years ago

The following transactions are for Kingbird Company.

raketka [301]

Answer and Explanation:

The Journal entries are shown below:-

1. Account Receivable Dr, $450,000

To Sales revenue $450,000

(Being credit sales is recorded)

here we debited the accounts receivable as it increased the assets and we credited the sales revenue as it also increased the sales.

Cost of goods sold Dr, $310,000

To Inventory $310,000

(Being Cost of goods sold is recorded)

here we debited the cost of goods sold as it increased the expenses and we credited the inventory as it decreased the assets

2. Sales return and allowances Dr, $ 22,000

To Account Receivable $22,000

(Being sales return is recorded)

here we debited the sales return and allowances as it increased the sales return and we credited the accounts receivable as it decreased the assets

3. Cash Dr, $423,720

Sales discount Dr, $4,280 ($428,000 × 1%)

To Account Receivable $428,000 ($450,000 - $22,000)

(Being cash and sales discount is recorded)

Here we debited the cash and sales discount as it increased the assets and sales discount and we credited the accounts receivable as it decreased the assets

8 0

4 years ago

An investment banker agrees to a firm commitment offering of two million shares of Ace stock. The offer price is set at $55 and

balandron [24]

Answer:

loss of $ 1,400,000.00

Explanation:

Amount of share : two million:

offer price per share: $55

selling price per share: $53.80

Loss per share: $1.20

Total loss= $1.2X2,000,000= ($2,400.000.00)

Earning from spread: 0.5x2,000,000.00 =$1,000.000.00

Net earning: (2,400,000.00)+$1,000,000.00=($ 1,400,000.00)

loss of $ 1,400,000.00

8 0

3 years ago

Certain types of contracts must be in writing pursuant to the statute of _____.

marta [7]

Certain types of contracts must be in writing pursuant to the statute of "frauds".

A state statute that necessitates certain kinds of agreements to be written, expected to guarantee that terms of imperative contracts are not overlooked, misconstrued, or fabricated, reason for this is to smother misrepresentation, fraudulent cases, some of the time envisioned in light of ensuing occasions or basically invoked.

5 0

3 years ago

Problem 5.3 Your birthday is coming up and instead of other presents, your parents promised to give you $2,600 in cash. Since yo

Papessa [141]

Answer:

Ans. The value of investment after 2 years is $3,155.51

Explanation:

Hi, first we need toconvert that 9.80 percent, compounded quarterly into an effective quarterly rate, that is just by dividing by 4, since there are 4 quarters in a year, that is:

r(effective quarterly)= 9.8%/4 =2.45%

Now, since the rate is effective quarterly, the periods (time of the invesmet) has to be in quarters, so we multiply 2 years by 4 and we get 8 quarters.

With all the above information, we can go ahead and use the following formula in order to find the future value of this investment.

$FutureValue=PresentValue*(1+r)^{n}$

It should all look like this.

$FutureValue=2,600*(1+0.0245)^{8}=3,155.51$

So, the future value of this investment is $3,155.51

Best of luck.

8 0

3 years ago