Answer:
A. Both the equilibrium price and the quantity will rise.
Explanation:
Coffee beans and caffeinated beverages can be described as substitute goods. The two products offer the same solutions to customers. A rise in the price of one will lead to an increase in demand for the other. Customers will avoid the expensive option, thereby increasing the demand for a cost-friendly product. A 30 percent increase in the price of caffeinated beverages will increase the demand and equilibrium quantity of coffee beans.
An increase in demand results in a rise in prices. The use of fertilizer to boost production will improve production and increase equilibrium quantity. The equilibrium price will remain high due to the increase in the prices of the substitute goods.
Answer:
The correct answer is: the additional product generated by additional units of an input will eventually diminish.
Explanation:
The law of diminishing marginal returns states that with each additional unit of input employed the marginal product of each additional input will go on declining.
This is why the total product will increase at first but after reaching a certain point it will start declining. The total product will be maximum at the point where the marginal product is zero. When marginal product becomes negative the total product will decline.
Answer:
0.74
Explanation:
Data provided in the question
Price level = 1.35
According to the given situation, the computation of the new value of the dollar is shown below:-
The New value of the dollar = 1 ÷ Price level
= 1 ÷ 1.35
= 0.74074
or
= 0.74
Therefore for computing the new value of the dollar we simply applied the above formula.
Answer:
Kotter
Explanation:
According to Kotter, leadership and management are two different aspects but however they are complementary systems of action in organization.
Answer:
a. $26,720
Explanation:
Before computing the accumulated depreciation, first we have to compute the original cost of the equipment, after that the depreciation expense. The calculation is shown below:
Original cos t = Equipment purchase cost + freight charges + installment charges
= $68,000 + $2,800 + $8,000
= $78,800
Now the depreciation expense under the straight-line method is shown below:
= (Original cost - residual value) ÷ estimated life in years
= ($78,800 - $12,000) ÷ 5 years
= $13,360
Now the accumulated depreciation is
= Depreciation expense × number of years
= $13,360 × 2 years
= $26,720
