All categories

3 years ago

The demand curve for product X is given by QXd = 300 - 2PX.

Business

1 answer:

REY [17]3 years ago

5 0

Answer:

a) QXd = 300 - 2PX.

Inverse demand curve (PX = - QXd) => 2PX = 300 - QXd => 2PX/2 = 300/2 - QXd/2 ) => PX = 150 - QXd/2

b) In calculating consumer surplus, knowing maximum willingness to pay (WTP) is first (Price when Quantity demanded is 0)

PX = 150 - QXd/2

At Q = 0, P = 150

At Px = $45,

QXd = 300 - 2*45

QXd = 300 - 90

QXd = 210

Consumer surplus is the area of the triangle whose base = Quantity demanded and height is the difference between price and WTP

CS = 1/2 * 210 * (150 - 45)

CS = 22050/2

CS = 11025

c) At Px = $30

QXd = 300 - 2*30

QXd = 300 - 60

QXd = 240

CS = 1/2 * 240 * (150 - 30)

CS = 1/2 * 240 * 120

CS = 28800/2

CS = 14400

d. As the price of a good falls, Consumer surplus increases because of increase in distance between WTP and price.

You might be interested in

Arielle, a successful banker and educator, has decided to retire, but she is very interested in staying involved with a company

Anestetic [448]

Answer: (D) Overall strategic goals and approval of major decisions.

Explanation:

According to the given question, Arielle is one of the successful banker and also the educator and she is very much interesting in the organization but now she is decide to retire.

The Arielle is basically involving with the overall goals of an organization and also give many approval on the major decisions.

As, she is one of the member of board of directors and she is also serving this organization for very long time so she feel connected with the company and also helps in making the various types of effective decision for an organization.

Therefore, Option (D) is correct answer.

7 0

3 years ago

1. Dividends are paid out of profits, and:

Mashutka [201]

Dividends are paid out of profits, and acording to the basic rules of personal finance dividends are usually paid twice a year.
What about the next one, the answer is D. You must always consider the tax consequences of selling your investments. because <span>inancial planner has to adept such fields.</span>

6 0

3 years ago

Read 2 more answers

Livingston Fabrication has created the following aggregate plan for the next five months: August September October November Dece

Rzqust [24]

Answer:

Livingston Fabrication

The ending inventory for the month of September is:

= 600,000 units.

Explanation:

a) Data and Calculations:

August September October November December

Forecasted Demand (units of

finished goods): 1,500,000 1,500,000 2,000,000 3,000,000 500,000

Production Plan: 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000

Production capacity = 150 * 60 * 1,000 = 9,000,000 minutes

Minutes required by each assembly worker to assemble 1 unit = 5

Units that can be produced based on capacity = 1,800,000 units (9,000,000/5)

Schedule of Production, Sales, and Ending Inventory:

August September October November December

Beginning inventory 0 300,000 600,000 400,000 (600,000)

Units produced 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000

Demand 1,500,000 1,500,000 2,000,000 3,000,000 500,000

Ending inventory 300,000 600,000 400,000 (600,000) 700,000

8 0

3 years ago

On April 1, 2020, Tamarisk Company received a condemnation award of $447,200 cash as compensation for the forced sale of the com

Svet_ta [14]

Answer:

The forced sale is also accounted as disposal and any net gain or loss is reported in income statement. The accounting enteries are given below.

April 1, 2020.

Debit Cash Asset $ 447,200

Debit accumulated depreciation $ 166,400

Credit Land Asset $ 62,400

Credit Building Asset $ 291,200

Credit Profit on Disposal $ 260,000

August 1, 2020

Debit Land Asset $ 93,600

Debit Building Asset $ 416,000

Credit Cash Asset $ 509,600

3 0

3 years ago

Which continent has the highest concentration of trade (i.e., trade among countries within a particular region)?

Vesna [10]

Answer:

Europe

Explanation:

Europe as a continent has the highest concentration of trade. Europe comprises of almost more than 50 countries in itself. Right from early days, trade prospered in Europe and Atlantic Ocean, which stretches between Europe and America, remains the busiest ocean owing to this fact.

During times of colonization, spices and indigo were imported to Europe as the continent was one of it's highest consumers.

With the advent of European Union, trade further strengthened as a common currency in the form of Euro was established. This eased out the process of trade.

8 0

4 years ago