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General Cereals is using a regression model to estimate the demand for Tweetie Sweeties, a whistle- shaped, sugar- coated breakfast cereal for children. The follow-ing ( multiplicative exponential) demand function is being used: QD = 6,280P. - 2.15A1.05N3.70 where QD = quantity demanded, in 10 oz: boxes P = price per box, in dollars A = advertising expenditures on daytime television, in dollars N = proportion of the population under 12 years old
a.Determine the point price elasticity of demand for Tweetie Sweeties.
b.Determine the advertising elasticity of demand.
c. What interpretation would you give to the exponent of N?
Which principle of tax equity-the benefit principle or the ability-to-pay principle-is in closest agreement with your personal idea of what is fair? Develop a "position statement" based on your response.
Dividends paid last year were $.70. Flotation costs on issuing stock will be 10 percent of market price. Dividends and earnings per share are projected to have an annual growth rate of 15 percent. Illustrate what is cost of internal common equity ..
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In recent yrs, persons also state governments have sued various tobacco companies to compensate for illness also injury allegedly cause d by cigarette smoking.
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The value of the action The cost of the action The difference between the benefit and the cost of the action
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