Answer:
A) Shortage, B) Fall in Price
Explanation:
A] Market is at equilibrium where - downward sloping Market Demand (inversely related to price), & upward sloping Market Supply (directly related to price) - are equal & these curves intersect each other.
Above condition gives us equilibrium price & quantity.
If market price < equilibrium price, as given case 15 < 20. Then, supply being directly related to price is lesser, demand being inversely related to price is higher. So, there is a situation of excess demand, ie <u>shortage </u>(graphically denoted by distance between demand & supply curve at actual price below equilibrium price)
B] Dealers of hybrid vehicles increase imply increase in supply of these vehicles, rightwards shift in the supply curve. This creates excess supply ie surplus of them. It implies that competition among sellers lead to <u>fall in price </u>of these hybrid vehicles.
Answer:
There was no contract since there was no mutual agreement on the shipping company.
Explanation:
For a contract to be enforceable, it is necessary to have proper offer and acceptance by the two parties. In this case, Strike made an offer and Bailey accepted the stated price but added that the shipping has to be done by Yellow Express Truck Line and not Dependable Truck. Since there was no agreement reached on the shipping company by both the parties, the contract isn't enforceable.
The M/B ratio is the ratio between the market value and the book value.<span> It is </span><span>one indicator used to measure the worth </span>
It is false that the average firm in each industry must have an M/B ratio that is equal to 1.0
Answer:
The market value of the stock is $41.8
Explanation:
Div 1 = Div 0 (1+r)
=3.80 (1+0.10)
=3.80(1.10)
=4.18
Market value of the stock= Dividend 1 / (r-g)
= 4.18 / 0.2 - 0.1
= 4.18 / 0.1
= $41.8
The market value of the stock is $41.8
Answer:
The correct answer is C. standard of living is ultimately determined by long-term growth.
Explanation:
The long-term path for economic growth is a fundamental issue of the study of the economy. The increase in the GDP of a country is usually considered as an increase in the standard of living of its inhabitants. Over long periods of time, even small annual growth rates, can have a significant effect. Thanks to its conjugation with other factors.
An annual growth rate of 2.5% would lead to GDP doubling over a period of 30 years. While an annual growth rate of 8%, it would lead to the same phenomenon in a period of only 10 years. Example: Some countries like Asian tigers. When a population increases to see improvements in living standards, GDP has to grow faster than that population. This analysis seeks to understand why there are very different rates of economic growth in some regions of the world.
