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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 July 22, Peter sold $23,500 of inventory items on credit with the terms 2/15, net 30. Payment on $15,000 sales was received o
Alchen [17]

Answer:

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a. Cash..........14,700

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Explanation:

When the Inventory items were sold the entries are :

Trade Receivables $23,500 (debit)

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5 0
3 years ago
Catamount Inc. employs one worker to load packages on an outgoing truck. The work shift is an 8 hour day. Trucks arrive at the l
DerKrebs [107]

Answer and Explanation:

According to the scenario, computation of the given data are as follow:-

a).Work shift per day = 8 hours

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Loading time of workers = 8 min.

Earning of truck drivers = $20

Earning of workers = $18

If the truck drivers are engaged for one station, the cost may be focused on truck drivers in the system at a certain point. But if it's not, then the cost in the line must be dependent on truck drivers, since that's the best approximation of scope.

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3 0
3 years ago
U Do It Centers deposited $3,200 in an account two years ago and is depositing another $5,000 today. A final deposit of $3,500 w
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Answer:

Total= $13,221.52

Explanation:

Giving the following information:

Deposited $3,200 in an account two years ago and is depositing another $5,000 today.

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