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If the<u> demand curve is inelastic</u>, a rise in the supply of grain will result in a decrease in the overall income received by grain producers.
The ability of firms to enter and exit a market over time means that, in the long run, the supply curve is more elastic.
Two basic economic concepts are combined in the law of supply and demand to explain how shifts in the price of a resource, good, or service affect its supply and demand. As the price rises, supply increases while demand decreases. On the other hand, as the price falls, demand increases and supply becomes more limited.
The degree to which changes in price translate into changes in demand and supply is known as the product's price elasticity.
Basic consumer demand is comparatively inelastic, or less responsive to price changes.
Discover the long-term impact of population growth on supply and demand: brainly.com/question/13353440
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Answer:
Explanation:
From the given information, the ratio analysis for the year 2017 at OHARA Company can be computed as follows:
1. Working capital = Current (assets - liabilities)
Working capital = $458900 - $195500
Working capital = $263,400 (for 2017)
Given that the working capital for 2016 = $160,500
Thus, the % increase of 2017 over 2016 = 64.11% increase.
2. Current ratio = Current assets / Current liabilities
Current ratio = 458,900/195,500
Current ratio = 2.35 (for 2017)
Given that the Current ratio for 2016 = 1.65
Thus, the % increase of 2017 over 2016 = 42.43% increase
3. Free cash flows = Operating cash flows - Capital expenditure - dividends
Free cash flows = $190800 - $92000 - $31000
Free cash flows = $67,800
Given that the free cash flow for 2016 = $48,700
Thus, the % increase of 2017 over 2016 = 39.22%
4.
Debt to assets ratio = 395,500/10,34,200
Debt to assets ratio = 38.24%
Given that the debt to assets ratio for 2016 = 31%
Thus, the % increase of 2017 over 2016 = 23.35%
5.
Earnings per share =
Earnings per share =
Earnings per share = $3.06
Given that the earnings per share = $3.15
Thus, the % decrease of 2017 over 2016 = 2.86%