The price elasticity of baseball bats is −0.77, this indicates that the demand for bats tends to inelasticity. Therefore, if the manager wants to dispose of his inventory, he would advise you not to lower the price because it would cause a decrease in income. He could raise the price and earn more since being an inelastic demand, the quantity demanded would not be modified as much as the price would change.
Answer:
The correct answer is letter "C": The extent to which interest rates on the firm's debt fluctuate.
Explanation:
Interest rates on debts are the amounts of money the company must pay after requesting loans or assets on credit. Interest rates are fixed and they are specified at the moment of accepting the transaction that will generate the debt in the organization. Thus, they do not represent a risk for the company.
2/ About two thirds of the discretionary spending is spent on defense.