User Account

All Pages

What is the price elasticity of demand

Assignment Help Accounting Basics
Reference no: EM133150561

Questions -

Q1 - The rain spoiled much of the strawberry harvest. As a result, the price rises from $4 to $6 per box and the quantity demanded falls from 1,000 to 600 boxes per week.

a) What is the price elasticity of demand?

b)-Indicate if Demand is elastic or inelastic

Q2 - When Alex's income increased from $3,000 to $5,000, he increased his consumption of donuts from 4 to 8 per month and reduced his consumption of pancakes from 12 to 6 per month.

a) Calculate Alex's income elasticity of demand for donuts. State whether it is elastic or inelastic.

b) Calculate Alex's income elasticity of demand for muffins. State whether it is elastic or inelastic.

Q3 - If a 12 percent increase in the price of orange juice causes a 22% decrease in the quantity of orange juice demanded and a 14% increase in the quantity of apple juice demanded, calculate:

a) The price elasticity of demand for orange juice. State whether it is elastic or inelastic.

b) The cross elasticity of demand between orange juice and apple juice. State whether it is elastic or inelastic.

Reference no: EM133150561

Questions Cloud

Composing business messages : 1. When composing business messages, how can yoube yourself and project your company's image at the same time?
Describe the level of motivation : 1. Give an example of a work, professional, or academic situation you have been in, and describe the level of motivation you felt and why, or if there was no se
External analysis-industry structure and competitive forces : How do the five competitive forces in Porter's five forces model affect the average profitability of the industry?
Person emotional connection : The "E" in ASPIRE emphasizes that a person's emotional connection to the dilemma must be recognized and dealt with or it will skew the analysis.
What is the price elasticity of demand : The rain spoiled much of the strawberry harvest. As a result, the price rises from $4 to $6 per box. What is the price elasticity of demand
Project requirements from work breakdown structure : What differentiates a list of project requirements from a Work Breakdown Structure (WBS)? How do you handle resource overallocation?
Describe account and its use in recording transactions : Explain the steps in processing transactions and the role of source documents. Describe an account and its use in recording transactions.
Understanding in external analysis : The most important concept(s), method(s), term(s), and/or any other thing that you felt was worthy of your understanding in External Analysis
Advances in technology impact industry structure : How will advances in technology impact the industry structure? How will advances in technology change the products or services?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Discuss the cash from investing activities section

What is the major use of cash in the Cash From Investing Activities section

  Discuss what is the amount of cash that should be reported

What is the amount of cash that should be reported in the balance sheet as of August 31

  How should ghb allocate its production capacity

GHB Company produces a salt-free, whole-grain bread and a carob-chip cake. How should GHB allocate its production capacity between bread and cookies.

  Describe the risks that are inherent in the current system

Describe the risks, if any that are inherent in the current system configuration. The mail room staff consists of 35 clerks who receive and sort general mail.

  What is one risk management strategy

What is one risk management strategy that is apparent in the business for which you work or for a business in your geographic area?

  Determine the impairment loss

It is determined that the fair value of the Conchita Division is $1,850,000. Compute the amount of goowill recognized, if any, on July 31, 2012

  Partners bases in their partnership interests

Calculate the partners' bases in their partnership interests at the end of the first and second year? Calculate the parners' bases in their partnership interests after reflecting any gain or loss on disposal of the equipment?

  What amount should be accrued for legal fees

ABC Company received an invoice from it attorney (Super Duper Lawyers, LLP) on January 22, 2019 for $15,000. What amount should be accrued for legal fees

  How much will be treated as reduction in the share premium

JAYJAY paid finder's fees of 40,000, legal fees of 13,000, audit fees related to stock issuance of 10,000, stock registration fees of 5,000 and stock listing.

  Create an income statement for year

Use the information provided to determine the answers to the following question: Create an income statement for Year 1 for Blue Rifle Coffee

  Show necessary journal entries to record the transaction

Question - Prudent Corporation has a balance of $600,000 in the Bonds Payable account. Show necessary journal entries to record the transaction

  Prepare journal entries to record the events

Prepare journal entries to record the events related to the copyright and sales of the book during 2019 and 2020, assuming that sales were as projected

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd