1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Rina8888 [55]
3 years ago
6

Sally has a pizza restaurant and sells 30 pizzas for $5 each. Jim has a pizza restaurant around the corner from Sally, and he se

lls 30 pizzas for $5 each. If Sally and Jim both lower their price to $3, Sally’s customers will buy 60 pizzas, and Jim’s customers will buy 40 pizzas. The demand for Sally’s pizzas is more __________ than the demand for Jim’s pizzas.
Business
1 answer:
Rom4ik [11]3 years ago
3 0

Answer:

ELASTIC

Explanation:

Price elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.

Price elasticity of demand = percentage change in quantity demanded / percentage change in price

Sally

percentage change in quantity demanded : (60/30) - 1 = 1

percentage change in price : (3/5) - 1 = -0.4

Price elasticity = 1 / -0.4 = 2.5

Jim

percentage change in quantity demanded : (40/30) - 1 = 0.33

percentage change in price : (3/5) - 1 = -0.4

Price elasticity = 0.33 / -0.4 = 0.83

Sally's demand is elastic while Jims' is inelastic  

If the absolute value of price elasticity is greater than one, it means demand is elastic. Elastic demand means that quantity demanded is sensitive to price changes.  

Demand is inelastic if a small change in price has little or no effect on quantity demanded. The absolute value of elasticity would be less than one

Demand is unit elastic if a small change in price has an equal and proportionate effect on quantity demanded.  

Infinitely elastic demand is perfectly elastic demand. Demand falls to zero when price increases  

Perfectly inelastic demand is demand where there is no change in the quantity demanded regardless of changes in price.

You might be interested in
Assume that ABCO is a U.S. multinational corporation. Its foreign subsidiaries must report income in their respective countries
Marina CMI [18]

Answer: c

Explanation:

3 0
3 years ago
On July 1, 2013, Farm Fresh Industries purchased a specialized delivery truck for $126,000. At the time, Farm Fresh estimated th
DochEvi [55]

Answer:

I think last option

6 0
3 years ago
Read 2 more answers
Aquilera, Inc., has sales of $19.6 million, total assets of $14.6 million, and total debt of $5.4 million. The profit margin is
Gnom [1K]

Answer:

a. $1,764,000.00

b. 12.08%

c. 19.17%

Explanation:

a. What is the company's net income?

Profit margin = Net income ÷ Sales

Therefore, we have:

9% = Net income ÷ $19,600,000

Net income = $19,600,000 × 9% = $1,764,000.00  

Therefore, the net income of Aquilera, Inc. is $1,764,000.00

b. What is the company's Return on Assets (ROA)?

ROA = Net income ÷ Total Assets

ROA = $1,764,000 ÷ $14,600,000 =  0.120821917808219 = 12.08%

Therefore, the ROA of Aquilera, Inc. is 12.08%

c. What is the company's Return on Equity (ROE)?

Total Assets = Total Debt + Total Equity

Therefore,

Total Equity = Total Assets - Total Debt

Total Equity = $14,600,000 - $5,400,000 = $9,200,000

ROE = Net income ÷ Total Equity

ROE = $1,764,000 ÷ $9,200,000 = 0.191739130434783 = 19.17%

Therefore, the ROE of Aquilera, Inc. is 19.17%

5 0
3 years ago
Stinehelfer Beet Processors, Inc., processes sugar beets in batches.
babunello [35]

Answer:

$19

Explanation:

The computation of the financial advantage or disadvantage is shown below:

= Sale value after processed further - cost of processed further - sale value without processed further

= $91 - $29 - $43

= $19

Simply we deducted the cost of processed further and the sale value without processed further from the Sale value after processed further so that the correct amount can come

All other information which is given is not relevant. Hence, ignored it

5 0
3 years ago
In the past, I've mostly reported to easy-going managers with flexible work styles.
Sonbull [250]
<span>Work places with flexible working styles make the working conditions feel more at ease and can bring the best out of the workers. When those workers change positions and have to face new working conditions it can be very difficult to adjust. In the case of the context of the question, the interviewee was most likely telling the a human resource personnel about the working conditions of his or her previous place of work.</span>
5 0
3 years ago
Other questions:
  • If neither party is satisfied with the national labor relations board's decision, the parties can take the case to the _____ for
    7·1 answer
  • Which of the following are characteristics of public goods? Choose one or more: A. Individuals have an incentive not to pay for
    12·1 answer
  • The IMA suggests​ that, when faced with an ethical​ dilemma, the first thing management accountants should do is call the​ IMA's
    7·1 answer
  • Increasing your responsibility will increase your value to the company. T or F
    13·2 answers
  • Which of the following outcomes is not a direct result of a market​ analysis?
    6·1 answer
  • Presented below are a number of balance sheet accounts of Deep Blue Something, Inc. For each of the accounts below, indicate the
    14·1 answer
  • Name four equipment that can be used in preparing a bill
    14·2 answers
  • Upon beginning her career at Davidson Inc., a small consulting firm, Stephanie Benjamin receives a copy of the firm's organizati
    5·1 answer
  • Please help!! This is for economics
    6·1 answer
  • On August 22, Year 4, Martha purchases a computer to use in her childcare business. She sells the computer on December 28, Year
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!