Answer:
consumer decision-making process
Explanation:
When buyers want to make a purchase there are many factors that come into play before he makes a choice on which product to buy.
The process by which a user identifies which product best meets his needs, gathers information on how to solve their needs, examines alternatives, make purchase, and gauge satisfaction from purchase are the processes of consumer decision-making process.
On the given scenario Andrea wants to start jogging, and she has been told she needs to find well-fitting jogging underwear.
This is the the stage of identifying consumer needs, the first stage of consumer decision-making process.
Applying the research findings to a marketing strategy plan is the ______ step in the marketing research process. Multiple choice question.
Answer:
Fifth.
Explanation:
Market research can be defined as a strategic technique which typically involves the process of identifying, acquiring and analyzing informations about a business. It involves the use of product test, surveys, questionnaire, focus groups, interviews, etc.
Secondary market research can be defined as a method designed to determine the demographics of a particular target market.
Applying the research findings to a marketing strategy plan is the fifth step in the marketing research process.
Sweeten Company had no jobs in progress at the beginning of March and no beginning inventories. It started only two jobs during March—Job P and Job Q. Job P was completed and sold by the end of the March and Job Q was incomplete at the end of the March. The company uses a plantwide predetermined overhead rate based on direct labor-hours. The following additional information is available for the company as a whole and for Jobs P and Q (all data and questions relate to the month of March. What is company's predetermined overhead rate? How much manufacture overhead was applied to Job P and Job Q? What is the direct labor hourly wage rate? If Job P includes 20 units, what is its unit product cost? What is the total amount of manufacture cost assigned to Job Q as of the end of march (including applied overhead)? Assume the ending raw material inventory is $1,000 and the company does not use and indirect materials. Prepare then journal entries to record raw materials purchases and the issuance of direct materials for use in production. Assume that the company does not use any indirect labor. Prepare the journal entry to record the direct labor costs added to production. Prepare the journal entry to apply manufacture overhead costs to production. Assume the ending raw material inventory is $1,000 and the company does not use any indirect materials. Prepare a schedule of cost of goods manufactured. Prepare the journal entry to transfer costs from Work in Process to Finished Goods. Prepare a completed work in process T-account including the beginning and ending balance and all debits and credits posted to the account. Prepare a schedule of cost of goods sold. Prepare the journal entry to transfer costs from Finished Goods to Cost of Goods Sold. What is the amount of underapplied or overapplied overhead. Prepare the journal entry to close the amount of underapplied or overapplied overhead to Cost of Goods Sold. Assume that job P includes 20 units that each sell for $3,000 and that the companys selling and administrative expense is March were $14,000. Prepare an absorption costing income statement for March.
Estimated total fixed manufacture over head $10,000
Estimated variable manufacture overhead per direct labor hour $1.00
Estimated total direct labour hours to be worked 2,000
Total Manufacturing overhead costs incurred $12,500
Job P /Job Q
Direct Material $13,000 /$8,000
Direct Labor Cost $21,000 /$7,500
Actual Direct Labor-hours worked 1,400 /500
Answer:
Sweeten Company
1. Predetermined overhead rate is:
= $6.00 per DLH
2. Manufacturing overhead applied to Job P and Job Q:
Job P Job Q
= $8,400 $3,000
3. The direct labor hourly wage rate:
= $15 per DLH
4. If Job P includes 20 units, its unit product cost is:
= $2,120
5. The total amount of manufacturing cost assigned to Job Q as of the end of March (including applied overhead):
= $3,000
6. Assuming the ending Raw Material Inventory = $1,000, Journal Entries to record Raw Materials Purchases and the Issuance of Direct Materials for use in production:
Debit Raw Materials Inventory $22,000
Credit Accounts Payable/Cash $22,000
To record the purchase of raw materials.
Debit Work in Process $21,000
(Job P $13,000
Job Q $8,000)
Credit Raw Materials Inventory $21,000
To record the issuance of raw materials to Work in Process.
7. Assuming no indirect labor, Journal Entry to record the direct labor costs added to production:
Debit Job P $21,000
Debit Job Q $7,500
Credit Factory Wages $28,500
To record direct labor costs to production.
8. Journal Entry to apply manufacturing overhead costs to production:
Debit Job P $8,400
Debit Job Q $3,000
Credit Manufacturing overhead $11,400
To apply manufacturing overhead costs to production.
9. Assuming the ending raw material inventory is $1,000, A Schedule of Cost of Goods Manufactured:
Job P
Direct Material $13,000
Direct Labor Cost 21,000
Manufacturing Overhead applied 8,400
Total cost of goods manufactured $42,400
10. Journal entry to transfer costs from Work in Process to Finished Goods:
Debit Finished Goods Inventory $42,400
Credit Work in Process: Job P $42,400
To transfer costs from WIP to Finished Goods.
11. Work in Process T-account with beginning and ending balance
Work in Process
Account Titles Debit Credit
Beginning balance $0
Direct Material $21,000
Direct Labor Cost 28,500
Manufacturing overhead 11,400
Finished Goods Inventory $42,400
Balance 18,500
Totals $60,900 $60,900
12. A Schedule of Cost of Goods Sold:
Unit of Goods Sold = 20
Unit cost = $2,120
Cost of goods sold = $42,400
13. Journal Entry to transfer costs from Finished Goods to Cost of Goods Sold:
Debit Cost of Goods Sold $42,400
Credit Finished Goods Sold $42,400
To transfer costs from Finished Goods to Cost of Goods Sold.
14. The amount of underapplied or overapplied overhead:
= $1,100
15. Journal Entry to close the amount of underapplied or overapplied overhead to Cost of Goods Sold:
Debit Cost of Goods Sold $1,110
Credit Manufacturing Overhead $1,110
To close the amount of underapplied overhead to Cost of Goods Sold.
16. Assuming Job P includes 20 units that each sell for $3,000 and that the company's selling and administrative expense is March were $14,000, Absorption Costing Income Statement for March:
Sales Revenue $60,000
Cost of Goods Sold 43,500
Gross profit $16,500
Selling and
Administrative
Expense 14,000
Net Income $2,500
Explanation:
a) Data and Calculations:
Predetermined overhead rate is based on direct labor hours
Estimated total fixed manufacturing overhead $10,000
Estimated variable manufacturing overhead per direct labor hour $1.00
Estimated total direct labour hours to be worked 2,000
Total Manufacturing overhead costs incurred $12,500
Job P Job Q Total Cost
Direct Material $13,000 $8,000 $21,000
Direct Labor Cost $21,000 $7,500 28,500
Actual Direct Labor-hours worked 1,400 500
Applied manufacturing overhead 1,400 * $6 500 * $6
= $8,400 $3,000 $11,400
Total $60,900
Predetermined overhead rate = $10,00/2,000 = $5 + $1 = $6
Direct labor wage rate = $21,000/1,400 = $15 per DLH
Unit Cost of Job P if 20 units:
Direct Material $13,000
Direct Labor Cost $21,000
Manufacturing overhead $8,400
Total costs = $42,400
Unit cost = $42,400/20 = $2,120
Raw materials used in production = $21,000
Ending raw materials 1,000
Purchase of raw materials $22,000
Underapplied or Overapplied Overhead:
Actual manufacturing overhead incurred = $12,500
Manufacturing overhead applied 11,400
Underapplied overhead = $1,100
Sales Revenue = $3,000 * 20 = $60,000
Your grandfather has offered you a choice of one of the three following alternatives: $14,000 now; $7,250 a year for ten years; or $96,000 at the end of ten years. Use Appendix B and Appendix D for an approximate answer, but calculate your final answer using the formula and financial calculator methods. a-1. Assuming you could earn 6 percent annually, compute the present value of each alternative:
Answer:
Hi how are you doing today Jasmine
Data related to the acquisition of timber rights and intangible assets during the current year ended December 31 are as follows:
Timber rights on a tract of land were purchased for $1,600,000 on February 22. The stand of timber is estimated at 5,000,000 board feet. During the current year, 1,100,000 board feet of timber were cut and sold.
On December 31, the company determined that $3,750,000 of goodwill was impaired.
Governmental and legal costs of $6,600,000 were incurred on April 3 in obtaining a patent with an estimated economic life of 12 years. Amortization is to be for three-fourths of a year.
Required:
1. Determine the amount of the amortization, depletion, or impairment for the current year for each of the foregoing items. Do not round your intermediate calculations.
Item Impairment, Amortization or Depletion Expense
a. $
b. $
c. $
Hide
2. Journalize the adjusting entries required to record the amortization, depletion, or impairment for each item.
Solution:
Given :
Timber rights were purchased for = $1,600,000
The stand of the timber is = 5,000,000 board feet
Goodwill impaired by the company = $3,750,000
Timber cut and sold during current year = 1,100,000 board feet
Government legal cost = $6,600,000
Therefore the amount of amortization , depletion and the impairment of the current year for each foregoing item are :
1.
Item Impairment, Amortization or the depletion
a). $ 352,000
b). $ 3,750,000
c). $ 412,500
2. Jornalizing the entries that required to record the depletion, amortization or the impairment of each of the items are :
a). The depletion expense = $ 352,000
Accumulated expense = $ 352,000
b). Loss from the impaired goodwill = $3,750,000
The goodwill = $3,750,000
c). Amortization expenses patent= $412500
Patent = $412500
Duffy-Deno (2003) estimated that the demand function for broadband service was Qs = 15.6p−0.563 for small firms and Ql = 16.0p−0.296 for larger ones. These two demand functions cross. What can you say about the elasticities of demand on the two demand curves at the point where they cross? What can you say about the elasticities of demand more generally (at other prices)? (Hint: The question about the crossing point may be a red herring. Explain why.)
Answer:
At point of intersection ; p = $0.90 The elasticities of the demand functions remain the same because they are independent functions during the entire demand curveExplanation:
First we Determine the elasticity of demand for both Large firm and smaller firms
For Larger firms
∈1 = -0.296
For smaller firms
∈s = -0.563
At the point of crossing Determine the price at the point of crossing of the demand curves
Qs = Ql
the price at intersection ( P ) = $0.90
what can be said about the elasticities of demand is that the elasticities of the demand functions remain the same because they are independent during the entire demand curve
During your presentation, you realize that you are talking too fast. This is a
problem of
O Content challenges
Organizational challenges
Presentation skills challenges
Answer:
Presentation skills challenges
Explanation:
Presentation can be defined as an act of talking or speaking formally to an audience in order to explain an idea, piece of work, project, and product with the aid of multimedia resources or samples.
Basically, any speaker who wish to create an effective presentation should endeavor to interact frequently with the audience by holding a conversation.
This ultimately implies that, to create an effective presentation, speakers are saddled with the responsibility of interacting more often with the audience by taking questions, making a joke, getting them to repeat informations loud at intervals etc.
If during your presentation, you realize that you are talking too fast. This is a problem of presentation skills challenges.
Hence, speakers are advised to be passionate and show enthusiasm during their presentation because it would enhance their ability to speak confidently and as such leading to an engaging presentation.
Extended warranties
Carnes Electronics sells consumer electronics that carry a 90-day manufacturer’s warranty. At the time of purchase, customers are offered the opportunity to also buy a two-year extended warranty for an additional charge. During the year, Carnes received $412,000 for these extended warranties (approximately evenly throughout the year).
Required:
1.Does this situation represent a loss contingency? Why or why not? How should it be accounted for?
2.Prepare journal entries that summarize sales of the extended warranties (assume all credit sales) and any aspects of the warranty that should be recorded during the year.
Solution :
1. This is not a loss contingency as extended warranty is being priced as well sold separately from warranted products and therefore constitutes the separate sales transaction.
2.
Event General Journal Debit Credit
1 Cash $412,000
Unearned revenue -- extended warranties $412,000
2. Unearned revenue -- extended warranties $ 57937.50
Revenue - Extended Warranties $ 57937.50
Working :
The manufacturer provided 90 days which is 3 months of free warranty. Thus a customer who is purchasing the extended warranty is for 09 months.
Now amount received by Carnes Electronics for the extended warranty in one year = $412,000
So, [tex]$\$ 412,000 \times \frac{9}{12}= \$309000$[/tex] of sales.
The warranty is for two years and so 4.5 months in one year.
Therefore the revenue earned on the extended warranty is :
[tex]$\$309000 \times \frac{4.5 \text{ months}}{24 \text{ months}}$[/tex]
= $ 57937.50
Purpose: Organization design refers to the overall set of elements used to configure an organization. The purpose of this exercise is to give you insights into how managers must make decisions within the context of creating an organization design. Introduction: Whenever a new enterprise is started, the owner must make decisions about how to structure the organization. For example, he or she must decide what functions are required, how those functions will be broken down into individual jobs, how those jobs will be grouped back together into logical departments, and how authority and responsibility will be allocated across positions. Instructions: Assume that you have decided to open a handmade chocolate business in your local community. Your products will be traditional bars and novelty-shaped chocolates, truffles, other chocolate products such as ice cream, and gift baskets and boxes featuring chocolates. You have hired a talented chef and believe that her expertise, coupled with your unique designs and high-quality ingredients, will make your products very popular. You have also inherited enough money to get your business up and running and to cover about one year of living expenses in other words, you do not need to pay yourself a salary). You intend to buy food items including chocolate, cocoa, white chocolate, nuts, and fruit from suppliers who deliver to your area. Your chef will then turn those ingredients into luscious
Answer:
hmm I know with that is the silver kind to you and
(Externalities) Complete each of the following sentences: a. Resources for which periodic use can be continued indefinitely are known as ____________ resources. b. Resources that are available only in a fixed amount are ____________ resources. c. The possibility that an open-access resource is used until the net marginal value of additional use equals zero is known as the ____________.
Answer:
a. Renewable resources
b. Exhaustible resources
c. Common pool resources
Explanation:
a. Resources for which periodic use can be continued indefinitely are known as renewable resources. These refer to resources which can be reproduced and available over a period of time
b. Resources that are available only in a fixed amount are exhaustible resources. These refer to resources which are available at fixed quantity.
c. The possibility that an open-access resource is used until the net marginal value of additional use equals zero is known as the Common pool resources. These refer to renewable resources which can be accessible by everyone.
OHARA COMPANY
Income Statement
For the Year Ended December 31, 2017
Net sales $2,218,500
Cost of goods sold 1,012,400
Selling and administrative expenses 906,000
Interest expense 78,000
Income tax expense 69,000
Net income $ 153,100
OHARA COMPANY
Balance Sheet
December 31, 2017
Assets
Current assets
Cash $ 60,100
Debt investments 84,000
Accounts receivable (net) 169,800
Inventory 145,000
Total current assets 458,900
Plant assets (net) 575,300
Total assets $ 1,034,200
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable $ 160,000
Income taxes payable 35,500
Total current liabilities 195,500
Bonds payable 200,000
Total liabilities 395,500
Stockholders’ equity
Common stock 350,000
Retained earnings 288,700
Total stockholders’ equity 638,700
Total liabilities and stockholders’ equity
$1,034,200
Additional information: The net cash provided by operating activities for 2017 was $190,800. The cash used for capital expenditures was $92,000. The cash used for dividends was $31,000. The weighted-average number of shares outstanding during the year was 50,000.
(i) Working capital. (2016: $160,500; 2017: $263,400)
(ii) Current ratio. (2016: 1.65:1; 2017: 2.35:1)
(iii) Free cash flow. (2016: $48,700; 2017: 67,800)
(iv) Debt to assets ratio. (2016: 31%; 2017: 38.2%)
(v) Earnings per share. (2016: $3.15; 2017: $3.06)
Answer:
Explanation:
From the given information, the ratio analysis for the year 2017 at OHARA Company can be computed as follows:
1. Working capital = Current (assets - liabilities)
Working capital = $458900 - $195500
Working capital = $263,400 (for 2017)
Given that the working capital for 2016 = $160,500
Thus, the % increase of 2017 over 2016 = 64.11% increase.
2. Current ratio = Current assets / Current liabilities
Current ratio = 458,900/195,500
Current ratio = 2.35 (for 2017)
Given that the Current ratio for 2016 = 1.65
Thus, the % increase of 2017 over 2016 = 42.43% increase
3. Free cash flows = Operating cash flows - Capital expenditure - dividends
Free cash flows = $190800 - $92000 - $31000
Free cash flows = $67,800
Given that the free cash flow for 2016 = $48,700
Thus, the % increase of 2017 over 2016 = 39.22%
4.
[tex]Debt to assets ratio = \dfrac{Total \ debt} { total \ assets}[/tex]
Debt to assets ratio = 395,500/10,34,200
Debt to assets ratio = 38.24%
Given that the debt to assets ratio for 2016 = 31%
Thus, the % increase of 2017 over 2016 = 23.35%
5.
Earnings per share = [tex]\dfrac{earnings \ available \ to \ equity \ shares}{weighted \ a verage \ equity \ shares}[/tex]
Earnings per share = [tex]\dfrac{153100}{50000}[/tex]
Earnings per share = $3.06
Given that the earnings per share = $3.15
Thus, the % decrease of 2017 over 2016 = 2.86%
Simon Company’s year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets Cash $ 30,200 $ 35,250 $ 37,000 Accounts receivable, net 88,400 62,000 49,000 Merchandise inventory 111,000 81,200 53,500 Prepaid expenses 10,800 9,300 4,800 Plant assets, net 280,000 254,000 225,000 Total assets $ 520,400 $ 441,750 $ 369,300 Liabilities and Equity Accounts payable $ 129,200 $ 75,500 $ 51,200 Long-term notes payable secured by mortgages on plant assets 96,000 100,750 81,800 Common stock, $10 par value 163,000 163,000 163,000 Retained earnings 132,200 102,500 73,300 Total liabilities and equity $ 520,400 $ 441,750 $ 369,300 The company’s income statements for the Current Year and 1 Year Ago, follow. For Year Ended December 31 Current Yr 1 Yr Ago Sales $ 725,000 $ 550,000 Cost of goods sold $ 449,500 $ 341,000 Other operating expenses 232,000 126,500 Interest expense 11,200 13,000 Income tax expense 9,350 8,525 Total costs and expenses 702,050 489,025 Net income $ 22,950 $ 60,975 Earnings per share $ 1.41 $ 3.74 For both the Current Year and 1 Year Ago, compute the following ratios: (3-a) Return on total assets. (3-b) Based on return on total assets, did Simon's operating efficiency improve or worsen in the Current Year versus 1 Year Ago?
Answer:
Simon Company
a) Return on total assets:
For Year Ended December 31, Current Yr 1 Yr Ago
Return on total assets = 4.41% $13.8%
b) Based on the return on total assets, Simon's operating efficiency worsened in the Current Year versus 1 Year Ago because ROA reduced from 13.8% to 4.41%.
Explanation:
a) Data and Calculations:
Simon Company’s year-end balance sheets follow.
At December 31 Current Yr 1 Yr Ago 2 Yrs Ago
Assets
Cash $ 30,200 $ 35,250 $ 37,000
Accounts receivable, net 88,400 62,000 49,000
Merchandise inventory 111,000 81,200 53,500
Prepaid expenses 10,800 9,300 4,800
Plant assets, net 280,000 254,000 225,000
Total assets $ 520,400 $ 441,750 $ 369,300
Liabilities and Equity
Accounts payable $ 129,200 $ 75,500 $ 51,200
Long-term notes payable secured by mortgages
on plant assets 96,000 100,750 81,800
Common stock,
$10 par value 163,000 163,000 163,000
Retained earnings 132,200 102,500 73,300
Total liabilities and
equity $ 520,400 $ 441,750 $ 369,300
The company’s income statements for the Current Year and 1 Year Ago, follow.
For Year Ended December 31, Current Yr 1 Yr Ago
Sales $ 725,000 $ 550,000
Cost of goods sold $ 449,500 $ 341,000
Other operating expenses 232,000 126,500
Interest expense 11,200 13,000
Income tax expense 9,350 8,525
Total costs and expenses 702,050 489,025
Net income $ 22,950 $ 60,975
Earnings per share $ 1.41 $ 3.74
Return on Total Assets:
For Year Ended December 31, Current Yr 1 Yr Ago
Net income $ 22,950 $ 60,975
Total assets $ 520,400 $ 441,750
Return on total assets = 4.41% $13.8%
DiSalvio Co. uses a job order cost system. The following data summarize the operations related to production for May:a. Materials purchased on account, $634,000.b. Materials requisitioned, $646,200, of which $74,500 was for general factory use.c. Factory labor used, $660,200, of which $91,200 was indirect.d. Other costs incurred on account for factory overhead, $147,500; selling expenses, $234,000; and administrative expenses, $146,400.e. Prepaid expenses expired for factory overhead were $29,200; for selling expenses, $26,800; and for administrative expenses, $18,000.f. Depreciation of office building was $84,600; of office equipment, $43,340; and of fac-tory equipment, $32,000.g. Factory overhead costs applied to jobs, $362,000.h. Jobs completed, $1,002,000.i. Cost of goods sold, $890,000.InstructionsJournalize the entries to record the summarized operations.SHOWME HOWGeneral Ledger Chapter 2 Job Order Costing 69Ex 2-18PR
Answer:
Date Account Description Debit Credit
May 1 Material inventory $634,000
Accounts Payable $634,000
Date Account Description Debit Credit
May 2 Work in Process (646,200 - 74,500) $571,700
Factory Overhead $74,500
Materials $646,200
Date Account Description Debit Credit
May 31 Work in Process (660,200 - 91,200) $569,000
Factory Overhead $91,200
Materials $660,200
Date Account Description Debit Credit
May 31 Factory Overhead $147,500
Selling expenses $234,000
Admin expenses $146,400
Accounts payable $527,900
Date Account Description Debit Credit
May 31 Factory Overhead $29,200
Selling expenses $26,800
Admin expenses $18,000
Prepaid expenses $74,000
Date Account Description Debit Credit
May 31 Depreciation expense - Office building $84,600
Depreciation expense - Office equipment $43,340
Factory Overhead $32,000
Accumulated depreciation $159,940
Date Account Description Debit Credit
May 31 Work in Process $362,000
Factory Overhead $362,000
Date Account Description Debit Credit
May 31 Finished Goods $1,002,000
Work in Process $1,002,000
Date Account Description Debit Credit
May 31 Cost of goods sold $890,000
Finished Goods $890,000
Harding Company is in the process of purchasing several large pieces of equipment from Danning Machine Corporation. Several financing alternatives have been offered by Danning: (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) 1. Pay $1,000,000 in cash immediately. 2. Pay $420,000 immediately and the remainder in 10 annual installments of $80,000, with the first installment due in one year. 3. Make 10 annual installments of $135,000 with the first payment due immediately. 4. Make one lump-sum payment of $1,500,000 five years from date of purchase. Required: Determine the best alternative for Harding, assuming that Harding can borrow funds at an 8% interest rate. (Round your final answers to nearest whole dollar amount.)
Answer:
the best option is 4 as it have the highest present value
Explanation:
The computation is shown below:
For option 1
PV = $1,000,000
For option 2
PV = $420,000 + $80,000 × PVIFA (8% , 10)
= $420,000 + $80,000 × 6.710
= $956,800
For option 3
PV = $135,000 + $135,000 × PVIFA (8% , 9)
= $135,000 + $135,000 × 6.247
= $978,345
For option 4
PV = $1,500,000 × PVIF (8% , 5)
= $1,500,000 × 0.681
= $1,021,500
So the best option is 4 as it have the highest present value
Conduct the necessary research to develop the policy using the library and the Internet. Some things that you need to keep in mind while developing this comprehensive policy are the links to the acceptable use policy (AUP), business ethics, and compliance policies. Specific technology issues should include the following: IT domain controls Administrative controls Operational controls Technical controls
Answer:
Not using service if part of law is violated.
Cease of account in case of rules break attempt.
Limit the access according to the designation of employees.
Explanation:
Acceptable use policy is the document which lists the terms and conditions which needs to be agreed to access the corporate network. The AUP included set of rules which must be agreed in order to access the network by user. The documents can includes rules regarding the administrative controls, operational controls and technical controls.
A company's master budget for October is to manufacture and sell 30,000 units for a total sales revenue of $270,000, total variable costs of $180,000, and total fixed costs of $24,000. The company actually manufactured and sold 32,000 units and generated $45,000 of operating income in October. The flexible-budget operating income in October was:
Answer:
$72,000
Explanation:
The Starting point for flexing a Budget is to determine the Standard unit Selling Price and unit Cost Prices, then apply the amounts to the actual activity/production as shown below ;
Flexible-budget for the month of October
Sales ($270,000/30,000 x 32,000) $288,000
Less Variable Costs ($180,000/30,000 x 32,000) ($192,000)
Contribution $96,000
Less Fixed Costs ($24,000)
Operating Income $72,000
Applying the midpoint formula, what is the price elasticity of demand if a drop in the price of energy drinks from $2 to $1 per can leads to an increase in the quantity demanded from 100 million to 150 million cans
Answer:
-0.6
Explanation:
Price elasticity of demand = Δ Change in quantity / Δ Change in price
Price elasticity of demand = [150-100/((150+100)/2)] / [1-2/((1+2)/2)]
Price elasticity of demand = [50/125]/ [-1/1.5]
Price elasticity of demand = 0.4/-0.66666
Price elasticity of demand = -0.6
Why did Steve and Vic focused on smaller cities rather than Silicon Valley
Answer:
focusing on smaller cities rather than areas like silicon valley a good strategy, why? Larger cities have a lot more competition and a great way to help others in smaller cities with money and jobs. They can have their businesses all over the world and be able to give success to everyone.
Explanation:
there is your answer