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Stolb23 [73]
3 years ago
8

What is the effect of a 10 percent price increase on quantity demanded if elasticity is infinite?

Business
1 answer:
Julli [10]3 years ago
4 0

Answer:

Demand drops to zero

Explanation:

Infinite elasticity of demand is also called perfect elasticity of demand.

In this scenario the demand for a product is attached to it's price.

There is an infinite change in the quantity demanded as a result of change in price.

Graphically it is a horizontal demand curve as represented in the attached

Even a small increase in price will cause demand to fall to zero.

Examples are luxury goods such as high end cars and expensive jewelry.

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On August 1, Batson Company issued a 60-day note with a face amount of $58,800 to Jergens Company for merchandise inventory. (As
Trava [24]

Answer:

a. $58,800

b. $57,820

Explanation:

Generally, notes are issued on the discounted or face value. It is face value when the price of the note is the same as the face value while it is discounted when the price of the note is lower than the face or par value.

a. Since the note is issued on the face value of $58,800 , it means that the proceed is the same amount. The proceeds from a note that is issued, is that price at which the note is issued.

b. Discount value

= $58,800 × 10% × 60/360

= $980

Proceeds

= Face/par value of the note - Discount value of the note

= $58,800 - $980

= $57,820

5 0
3 years ago
Crossroad chooses to report a financial asset at its fair value. The asset trades in two different markets; however, neither mar
Alex

Answer:$81

Explanation:

The options given are:

a. $76

b. $80

c. $81

d. $82

If the principal market that is, the market that the greatest volume of activity can't be identified, then the most advantageous market would be used to determine the fair value of a financial asset.

The most advantageous market is the market that has the highest net price, after transaction cost has been considered even though the transaction costs is not included into the fair value. Therefore, the second market gives the highest net price of $80 after the consideration of the transaction costs, hence, it should be utilized for fair value purposes.

The fair value amount include the transaction costs, which give $80 + $1 = $81

The fair value amount is $81.

5 0
2 years ago
The degree to which a job is perceived to have a substantial impact on others inside or outside the organization is ________.
AURORKA [14]

The degree to which a job is perceived to have a substantial impact on others inside or outside the organization is Task Significance.

Task significance is defined as perception or believe that an individual's job implies a positive influence and well-being on other people. It states about the help provided to the work or other co-worker.

The impact created by this is characterized by support, help and optimizing the external work environment by an individual doing the job. It can be seen through giving opportunity to a particular employee to do the task.  

To learn more about Task Significance and other core job dimensions,

brainly.com/question/27328497

#SPJ4

6 0
1 year ago
Excise taxes on gasoline and state sales taxes are often criticized for being regressive, even though everyone pays the same tax
romanna [79]

Answer:

Yes because a person with a lower income may tend to spend a greater share of his income on gasoline

Explanation:

For example, if a low income individual earning $1000 and a high-income person who earns $2000 each purchase 12 gallons of gasoline, the taxes on this purchase will consume a larger portion of the low-income person’s earnings than that of the high-income person. Assuming a tax rate of 5% of earnings multiplied by 12 Gallons.

Low income individual earnings after tax deductions= $400

High income individual earnings after tax deductions= $800

3 0
2 years ago
The problem with staying organized is that staying organized______. a. Is a skill that cannot be learned b. Requires forming new
Alexus [3.1K]
B, it requires forming new habits

7 0
3 years ago
Read 2 more answers
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