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3 years ago

Which of the following scenarios illustrates the law of demand?

Business

1 answer:

Genrish500 [490]3 years ago

3 0

Answer:

Option B is correct.

Explanation:

In order to answer this question correctly, we first need to understand the law of demands.

Law of demands: It says that the relationship of price and quantity demanded is inversely proportional. It means if the price of a particular product goes high, then the quantity of demand will be reduced. Similarly, if the price of the product is low then the quantity of demanded will be higher.

Here,

Option B is the most relevant to the Law of Demand which says that Kathleen eats more steak when the price is low. It means when the price is low, the quantity of steak demanded is higher in Kathleen's case. Furthermore, Kathleen eats less when the price is high. It means, when the price of steak is higher then the quantity of steak demanded from Kathleen is low.

Hence, Option B is the correct option which fulfills the law of demand.

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KLM Corporation's quick assets are $6,123,000, its current assets are $13,440,000 and its current liabilities are $8,144,000. It

galben [10]

Answer:

the acid-test ratio is 0.75 times

Explanation:

The computation of the acid-test ratio is shown below:

We know that

Acid-test ratio is

= Quick assets ÷ current liabilities

= $6,123,000 ÷ $8,144,000

= 0.75 times

Hence, the acid-test ratio is 0.75 times

basically we divided the quick assets from the current liabilities so that the acid-test ratio could come

8 0

3 years ago

Under absorption costing a company had the following per unit costs when 10,000 units were produced. Direct labor $ 2 Direct mat

Rudiy27

Answer: Total product cost per unit if 12,500 units = $13.

Explanation:

Given that,

Direct labor = $2

Direct material = $3

Variable overhead = $4

Total variable cost = $9

Fixed overhead ($50,000/10,000 units) = $5

Total product cost per unit = $14

Fixed Overhead at 12500 units = $\frac{50000}{12500}$ = $4

∴ Total product cost per unit if 12,500 units = Total variable cost per unit + Fixed Overhead at 12500 units

= 9 + 4

= $13

6 0

4 years ago

Charu Khanna received a Form 1099-B showing the following stock transactions and basis during 2019 Stock Date Purchased Date Sol

AysviL [449]

Answer:

Charu Khanna

The Net capital loss is:

= $2,000.

Explanation:

a) Stock Transactions and Data during 2019:

Stock Date Date Sold Sales Price ($) Cost Basis ($)

Purchased

4,000 shares Green Co. 06/04/07 08/05/19 12,000 3,000

500 shares Gold Co. 02/12/17 09/05/19 54,000 62,000

5,000 shares Blue Co. 02/04/08 10/08/19 18,000 22,000

100 shares Orange Co. 11/15/18 07/12/19 19,000 18,000

Total $103,000 $105,000

Net capital loss:

Long-term capital loss = $3,000

Short-term capital gain = $1,000

Net capital loss = $2,000 ($3,000 - $1,000)

8 0

3 years ago

Explain how firms decide how much labor to hire to produce a certain level of output

ss7ja [257]

The firms focus on improving marginal returns. Apart from this, they focus on specialization which increases the output. The amount of labor the firm plans to hire depends on the level of output it requires. The firm keeps adding new workers until output reaches its crest or peak.

7 0

3 years ago

Consider the following information about an asset that is being review for impairment: Book value $ 700,000 Estimate future cash

erastovalidia [21]

Answer:

The amount of the impairment loss for this asset is <u>$110,000</u>

Explanation:

A assets is impaired when the fair market value of that assets lowers than the book value of the asset.

To calculate the impairment of an assets following formula is used

Impairent = Book value of Asset - fair market value of the asset

Placing values in the formula

Impairent = $700,000 - $590,000

Impairent = <u>$110,000</u>

3 0

3 years ago