The correct answer is D. decreasing inventory to lower costs

If you decrease inventory, then you don't have trapped money. If someone needs something, you can then order the things you need from your supplier and then sell it to the people who ordered it.

7 0

3 years ago

What is a traditional economy

statuscvo [17]

A traditional economy is<span> an original economic system where traditions, customs, and beliefs shape the goods and services the economy produces, and also the the rules and manner of their distribution.</span>

8 0

3 years ago

Read 2 more answers

How does a bond issuer decide on the appropriate coupon rate to set on its bonds?

Novay_Z [31]

Answer

The answer and procedures of the exercise are attached in the following image.

Explanation

Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.

4 0

3 years ago

The publisher of an economics textbook finds that, when the book's price is lowered from $70 to $60, sales rise from 10,000 to 1

ankoles [38]

Answer:

Price elasticity of demand = 2.6

Explanation:

Given:

Old price (P0) = $70

New price (P1) = $60

Old sales (Q0) = 10,000 units

New sales (Q1) = 15,000 units

Computation of Price elasticity of demand(e):

Midpoint method

$e=\frac{\frac{Q1-Q0}{\frac{Q1+Q0}{2} } }{\frac{P1-P0}{\frac{P1+P0}{2} } }$

By putting the value:

$e=\frac{\frac{10,000-15,000}{\frac{10,000+15,000}{2} } }{\frac{60-70}{\frac{60+70}{2} } }\\e=\frac{\frac{-5,000}{\frac{25,000}{2} } }{\frac{-10}{\frac{130}{2} } }\\$

$e=\frac{\frac{-5,000}{12,500} }{\frac{-10}{65} }$

e = 2.6

7 0

3 years ago