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blondinia [14]
2 years ago
9

State the law of demand and explain its assumptions​

Business
2 answers:
Tasya [4]2 years ago
8 0

Answer:

Law of demand explains consumer choice behavior when the price changes.

The law of demand is a fundamental principle of economics that states that at a higher price consumers will demand a lower quantity of a good.

It means while studying the relationship between the price of a commodity and demand for it, the effect of other determinants of demand on it is assumed to be constant

Explanation:

Assumptions:

-The income of the consumer or the buyer does not change

- Price of the goods remain constant

-Tastes, preferences and the fashion of the buyers does not change.

denpristay [2]2 years ago
7 0

Answer:

The law of demand states that quantity purchased varies inversely with price.

Explanation:

The law of demand states that quantity purchased varies inversely with price.

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On December​ 31, 2014​, Renda​'s common stock sold for per share. At that​ price, how much did investors say​ $1 of the​ company
shepuryov [24]

Question Completion:

On December​ 31, 2014​, Renda​'s common stock sold for $35 per share. At that​ price, how much did investors say​ $1 of the​ company's net income was​ worth? Earnings per share = $1.50

Answer:

Renda Company

The value of $1 of the company's net income by investors was:

$23.33

Explanation:

a) Data and Calculations:

Market price of Renda's common stock = $35 per share

Earnings per share = $1.50

This means that investors' value on $1 = $35/$1.50 = $23.33

b) Investors in Renda's common stock place a value of $23.33 for each $1 of the company's net income.  This is why they can afford to pay $35 per share in order to benefit from $1 of the company's earnings.  This calculation is based on the price-earnings ratio, which relates the company's share price to the earnings per share.

6 0
3 years ago
An activity's normal time and cost are 8 and $100, respectively. its estimated crash time and cost are 6 and $160, respectively.
Sphinxa [80]
An activity's normal time and cost are = 8 and $100 respectively
estimated crash time and cost are = 6 and $160 respectively
Activity's crash cost per unit time = ?
crash cost per unit time = cost slope and,
cost slope = rise/run = (crash cost - normal cost) / (normal time - crash time) 
cost slope = (160 - 100) / (8 - 6) = 60 / 2 = $30
so, crash cost per unit time is $30.
3 0
3 years ago
Dollar-value LIFO:
k0ka [10]

Answer:

a. Starts with ending inventory measured at current costs and re-creates LIFO layers for measuring inventory costs.

Explanation:

Dollar-value LIFO refers a technique of accounting that employed for inventory based on the last-in-first-out model.

To obtain the dollar-value LIFO, the conversion price index that will be used to calculate the LIFO cost layer for each period must be calculated first.

Therefore, Dollar-value LIFO starts with ending inventory measured at current costs and re-creates LIFO layers for measuring inventory costs.

7 0
4 years ago
Which term describes a distribution of the company’s assets back to the owners of the business?.
FromTheMoon [43]

Which term describes a distribution of the company’s assets back to the owners of the business?

Answer:

When a Company redistributes its assets back to the owners of the business it is referred to as a dividend.

A dividend is a distribution of income by means of a agency to its shareholders. when a organization earns a profit or surplus, it can pay a share of the earnings as a dividend to shareholders. Any quantity not disbursed is taken to be re-invested inside the business.

What's an funding dividend?

Dividends are bills that a company makes to shareholders. While you own shares that pay dividends, you are becoming a share of the corporation's income. This lets in you to receive a circulate of earnings on pinnacle of any growth for your portfolio's market value.

What is a good dividend?

In standard, dividend yields of 2% to 4% are taken into consideration sturdy, and anything above 4% can be a fantastic purchase—but also a unstable one. While comparing shares, it is important to examine more than just the dividend yield.

How is a dividend paid?

As a way to gather dividends on a stock, you truly need to very own shares in the corporation thru a brokerage account or a retirement plan which includes an IRA. when the dividends are paid, the cash will robotically be deposited into your account.

Learn more about dividend here:- brainly.com/question/25845157

#SPJ4

3 0
2 years ago
A monopolistically competitive market has characteristics that are similar to:a. a monopoly only.b. a competitive firm only.c. b
Ber [7]

Answer:

c. both a monopoly and a competitive firm

Explanation:

A monpolistically competitive firm is a firm that has the features of both a monopoly and a competitive firm

Characteristics of a monopoly in a monpolistically competitive firm:

1. Products are differentiated in a monpolistically competitive firm.

2. Firms are price setters.

Characteristics of perfect competition in a monpolistically competitive firm:

1. There is free entry and exist into the industry.

2. There are many sellers

4 0
3 years ago
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