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3 years ago

When a binding price ceiling is imposed on a market to benefit buyers,

Business

1 answer:

Nostrana [21]3 years ago

5 0

Answer:

Explanation:

Price ceiling is when the government or an agency of the government sets the maximum price for a product. It is binding when it is set below equilibrium price.

When a binding price ceiling is imposed, there would be an excess of demand over supply. this would lead to a scarcity. As a result, some buyers would not b able to buy any amount of good

Effects of a price ceiling

It leads to shortages
it leads to the development of black markets
it prevents producers from raising price beyond a certain price
It lowers the price consumers pay for a product. This increases consumer surplus

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Neuman Corporation Convertible Bonds The following data apply to Neuman Corporation's convertible bonds: Maturity: 10 Stock pric

Natalija [7]

Answer:

A. The bond’s conversion ratio is 28.57

B. The bond’s conversion value is $857.14

C. The bond’s straight debt value is $798.70

D. The minimum price at which Neuman’s bonds should sell is $857.14

Explanation:

A. In order to calculate the bond’s conversion ratio we would have to calculate the following formula:

bond’s conversion ratio=par value/conversion price

According to the given data:

par value=$1,000

Conversion price=$35

Therefore, bond’s conversion ratio=$1,000/$35

bond’s conversion ratio=28.57

B. To calculate the bond’s conversion value we would have to make the following calculation:

bond’s conversion value=bond’s conversion ratio*Stock price

bond’s conversion value=28.57*$30.00

bond’s conversion value=$857.14

C. To calculate the bond’s straight debt value we would have to calculate the following formula:

bond’s straight debt value=PV(0.08,10,50,1,000)

bond’s straight debt value=$798.70

D. The minimum price at which Neuman’s bonds should sell is $857.14

7 0

2 years ago

Charlie Chairs Inc., manufactures plastic moldings for car seats. Its costing system utilizes two cost categories, direct materi

UNO [17]

Answer:

Units transferred out = 760

Explanation:

If we assume that all units are completed in the order of arrival i.e (FIFO), then the units transferred out is the sum of the opening inventory and the units started and completed in the period. The units started and completed in the period is referred to fully-worked.

Fully worked is computed as the units started in the period less the closing inventory .

Fully- worked = 800 - 240 = 560

The units transferred out = opening inventory + Fully-worked

= 200 + 560 = 760

Units transferred out = 760

Note we assumed that the units of the inventory( started last period i.e January) would be worked on first in the month of February before any other units. So, it is assumed completed by the end of February

6 0

2 years ago

Is a notary public required to purchase an error and ommission policy

Kaylis [27]

Answer - Keep in mind a notary errors and omissions insurance policy is a must-have coverage if you are a notary. According to state laws, the notary public has unlimited financial liability if he or she causes the public harm as a result of an error or omission.

6 0

3 years ago

In which statement(s) is "demand" used correctly?

bixtya [17]

Answer:

its Two

Explanation:

6 0

2 years ago

When Time, Inc. publishes a kid's version of its Sports Illustrated publication it is attempting to influence today's children t

olasank [31]

This process of attempting to influence today's children to purchase SI when they become adults is an example of : Consumer perception.

<h3>What is consumer perception?</h3>

Consumer perception is a marketing concept aimed at creating customer's impression, awareness and consciousness about a company product offerings.

Customer perception is typically affected by the following:

Advertising
Reviews
Public relations
Social media
Personal experiences

Therefore, the process where Sports Illustrated its publication and attempt to influence today's children to purchase SI when they become adults is an example of consumer perception.

Learn more about consumer perception here : brainly.com/question/6772250

5 0

2 years ago