Answer and Explanation:
An increase in the number of firms increases the demand elasticity. As the demand elasticity increases from 2 to 3 it means you could encounter less demand if product prices are increased. At a demand elasticity of -3, it is regarded as inelastic demand and a change in price will not affect the demand for the product as customers are still likely to patronize the product example gasoline. Due to its high demand, an increase in price will not readily affect the demand for it. Therefore if you are to change the price from $10 at 2 to 3 demand elasticity increase, the percentage of increase from 2 to 3 is given as.
3-2/2 X 100 = 50%
The new charge (x) at -3 demand elasticity = 50%/3 = 0.66666666
The increase in the new charge is therefore $10 + $10x = $10 + $10(0.166666) = $11.67
I would say b because of artificial supply and demand
The gross profit percentage for Ziehart Pharmaceuticals is 74.5%.
The gross profit percentage for Candy Electronics Corporation is 57.1%.
The company better able to use its sales to cover expenses is Candy Electronics Corporation.
<h3>What is the gross profit percentage?</h3>
The gross profit percentage is the ratio of net sales to total sales.
gross profit percentage = net sales / gross sales x 100
Gross sales is the sum of net sales and cost of goods sold
Ziehart Pharmaceuticals = [195,000 / (195,000 + 66,000)] x 100 = 74.5
Candy Electronics = [53,000 / (53,000 + 39800)] x 100 = 57.1
To learn more about financial ratios, please check: brainly.com/question/26092288
If the united states government lowers the income taxes on the wealthiest Americans, while decreasing welfare payments to the poorest Americans, the result will likely bean increase in efficiency and a decrease in equality in the United States.
<h3>What is meant by income taxes?</h3>
This is the term that is used to refer to the tax that the government would impose on people based on the income that they earn within the given jurisdiction where they stay.
Hence we can say that If the united states government lowers the income taxes on the wealthiest Americans, while decreasing welfare payments to the poorest Americans, the result will likely bean increase in efficiency and a decrease in equality in the United States.
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