Answer:
No, her ratio is greater than 37%
Explanation:
Given:
Monthly income = $3,300
Credit card expenses = $80
Student loan expenses = $130
Car payment = $215
All insurances = $1,221
Computation:
Total debt to income ratio = Total debt / Total income
Total debt to income ratio = (80 + 130 + 215 + 1221) / 3300
Total debt to income ratio = 49.87%
Housing payments to income ratio = All insurances / Monthly income
Housing payments to income ratio = (1221) / 3300
Housing payments to income ratio = 37%
No, her ratio is greater than 37%
Answer:
The correct answer is a).
Explanation:
The income elasticity of demand refers to the percentual variation of quantity demanded of a certaing good in response to a percentual variation in income.
If the income elasticity of demand for medical care is 1.35,
<em>a. if income decreases by 1%, the quantity demanded for medical care decreases by 1.35%.</em> TRUE, this is what the definition implies.
<em>b. if the price of medical care increases by 1%, the quantity demanded for medical care decreases by 1.35%. </em>FALSE. In this elasticity, the sign is relevant. This income elasticity implies that changes in income and medical care expenses have the same sign.
<em>c. if the income of the average consumer increases by 1 dollar, the quantity demanded for medical care will increase by 1.35 units of care.</em> FALSE. The elasticity relates percentual variations, not absolute value variations.
<em>d. if income increases by 1%, the quantity demanded for medical care decreases by 1.35%.</em> FALSE. The same as point b.
Answer:
A) Shortage, B) Fall in Price
Explanation:
A] Market is at equilibrium where - downward sloping Market Demand (inversely related to price), & upward sloping Market Supply (directly related to price) - are equal & these curves intersect each other.
Above condition gives us equilibrium price & quantity.
If market price < equilibrium price, as given case 15 < 20. Then, supply being directly related to price is lesser, demand being inversely related to price is higher. So, there is a situation of excess demand, ie <u>shortage </u>(graphically denoted by distance between demand & supply curve at actual price below equilibrium price)
B] Dealers of hybrid vehicles increase imply increase in supply of these vehicles, rightwards shift in the supply curve. This creates excess supply ie surplus of them. It implies that competition among sellers lead to <u>fall in price </u>of these hybrid vehicles.
Answer:
I’m not sure what you mean but sleeping on a case is bad because when revealing the problem might be handle to late
Explanation:
