A city wants to raise revenues to build a new municipal swimming pool next year. The mayor suggests that the city raise the price of admission to the current municipal pools this year to raise revenues. The city manager suggests that the city lower the price of admission to raise revenues. Who is correct?a. The mayor would be correct if demand were price elastic; the city manager would be correct if demand were price inelastic.
b. The mayor would be correct if demand were price inelastic; the city manager would be correct if demand were price elastic.
c. Both the mayor and city manager would be correct if demand were price elastic.
d. Both the mayor and city manager would be correct if demand were price inelastic.
Answers
Answer:
b. The mayor would be correct if demand were price inelastic; the city manager would be correct if demand were price elastic.
Explanation:
-An elastic demand is when the change in the price generates a high percentage change in the quantity demanded.
-An inelastic demand is when the change in the price generates a low percentage change in the quantity demanded.
According to this, the answer is that the mayor would be correct if demand were price inelastic because the increase in price won't generate an important change in the demand which allows to increase the revenues and the city manager would be correct if demand were price elastic because the decrease in the price would generate a higher change increasing the demand which can allow to raise revenues.
Related Questions
A process cost system would be appropriate for a a.custom cabinet builder b.jet airplane builder c.natural gas refinery d.catering business
Which one of the following basic patterns of demand is difficult to predict because it is affected by national or international events or because of a lack of demand history reflecting the stages of demand from product development to decline? A) horizontal B) seasonal C) random D) cyclical
Why is barter inefficient?
If both fixed expenses and the selling price per unit increase while variable costs per unit are unchanged, which of the following statements is true? A. Breakeven point in units could increase, decrease, or remain the same. B. Breakeven point in units remains unchanged. C. Breakeven point in units decreases. D. Breakeven point in units increases.
What contract is it:
a. old social
b. new social?
Answers
Answer:
Old social contract
Explanation:
Old social contract is a type of contract that emphasises the long term commitment between the employer and the employee and stable conditions are defined for both parties.
New social contract on the other hand is one that is short term, and there is little commitment to the contract from both parties.
In the given scenario Gourd Supermarkets provides extensive training program for all new employees. They then spend a day in customer service and workplace safety training each year.
This shows a long term commitment, so it is a form of old social contract.
Answer: a. Old social contract
Explanation: this is an old social contract which is defined as one between an employee and the employer (organisation, business, company or firm) where the employee contributes his/her ability, education, loyalty, and commitment to the organization, and expect wages and benefits, work, advancement, and training in return. Thus, the old social contract emphasizes on long-term commitments with stable conditions between employers and employees. The old social contract is in direct contrast with the new social contract which exists between an employee and an organization wherein the employee takes personal responsibility for employability and the employer gives challenging assignments, lateral career moves, and creative development opportunities.
Answers
Answer:
Audit is an independent examination of records,financial statements or process in order to give report to the party that has commissioned the audit
Explanation:
Audit can be of the three types highlighted in the question.
Audit of financial statements involves an external auditor examining the financial statements of clients i.e the income statement,statement of financial position.the cash flow statement as well statement of changes in equity e.t.c with a view to expressing an opinion on whether the financial statements show a true and fair view of the performance of the organisation audited and sometimes whether they were prepared in line with generally accepted accounting standards such as US GAAP.
Compliance audit is simply to find out whether the person audited has conformed with certain laid down policies and procedures such as the policies to follow in granting credit facilities to bank customers.
Process audit is about examining a process to see if the steps taken by the person carrying the tasks are logical and to find out areas for improvement in order to cut down time and resources used.
a. Identify, analyze, plan, track, and control
b. Analyze, track, identify, plan, and control
c. Identify assets, threats, vulnerabilities, and exposure factor
d. Cost benefit analysis, control, and review
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Answer:
A
Explanation:
Identify, analyze, plan, track, and control
2. A freebie or promotional discount
3. A defensive remark
4. An alternative product
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Answer:
1. A statement of company policy regarding refunds
Explanation:
A statement of company policy regarding refunds would give clarity to the customer on the reason why the request for refund was denied.
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Answer: The correct answer is "A. True".
Explanation: The statement "Being an effective team leader means satisfying a demand set of essential operating responsibilities and requirements while still promoting the creativity, leadership ability, and cohesiveness of team members." is absolutely TRUE because being an effective team leader not only means fulfilling the responsibilities demanded by the position of leader but also through different motivational and communication techniques promoting creativity and good performance of each member, with the aim of increasing the team efficiency together.
Answers
Answer:
1.98359
Explanation:
Given that :
Index have three stocks and the prices of those sticks are $93, $351, and $74, respectively. Usually what stock split does is to increase he number of share outstanding without any interference with the original total amount of money.
So if Baker ( the company B ) undergoes 2:1 split stock, it typically implies that one share will be divided by two shares.
New divisor for price - weighted index is given by the formula:
Price weighted index =
Price of stock B before stock split is = $351
To determine the new stock B after stock split; we have
Price weighted index₀ =
=
= $175.5
The new divisor for the price weighted index is as follows;
Price weighted index =
Price weighted index =
Price weighted index = 1.98359
Thus, the new divisor for the price weighted index = 1.98359
Answer:The New Divisor for the price weighted index = 4.29 (rounded off to two decimals)
Explanation:
Able stock = $93
Baker = $351
Charlie = $74
Price Weighted Index Formula = sum of company share prices/number of companies
Price Weighted Index Formula = ($93 + $351 + $74)/5
Price Weighted Index = $425/5 = $85
The Price Weighted index before share split = $85 and the divisor is 5
Calculating the New Divisor for the Price weighted index
Let The new divisor for the price weighted index be α
Price of Barker stock after sare split = $351 x 1/2 = $175.5
Price Weighted Index = 85
Price Weighted Index= ($93 + $175.5 + $74)/α = $85
($93 + $175.5 + $74)/α = $85
cross multiply
$85α = ($93 + $175.5 + $74)
$85α = $342.5
α = $342.5/$85 = 4.29411765
α = 4.29
The New Divisor for the price weighted index = 4.29 (rounded off to two decimals)