Answer:
False
Explanation:
In order to attract more customers to your store and sell larger quantitative, you must sell at a price below the competition, not above.
Rational customers should purchase at the lowest possible price, that is the basic concept behind the law of supply and demand. A lower price should result in a higher quantity demanded.
Answer:
Contribution margin per unit = $180
Explanation:
The contribution margin per unit is the amount that each unit contributes towards covering the fixed costs of the company after the variable cost of each unit has been covered. It is calculated by deducting the variable cost per unit from the selling price per unit.
Contribution margin per unit = Selling price per unit - Variable cost per unit
Contribution margin per unit = 450 - 270
Contribution margin per unit = $180
Answer:
Unlimited printing of money will cause the problem of inflation.
Explanation:
Inflation is a general increase in the price of goods and services.
It can be caused by the following:
Demand-pull inflation - This type of inflation is caused by an excess demand for goods and services by consumers without commensurate supply from suppliers.
Cost-push inflation - This type of inflation is caused by an increase in the price of goods and services.
Lastly, out of others, I will like to discuss inflation caused by unlimited printing money.
I sometimes wonder why the country cannot just prompt money so that we can all be smiling and spending cash together. The fact is that this will reduce the purchasing power of money because it is in excess and ultimately leads to inflation.
When there is unlimited printing of money in a country, the cash in the circulation will be in excess, hence more money will be needed to buy few product. That is an indication of inflation.
