Determine if the demand for the following products is price elastic or price inelastic, and explain your answer. In your explanation, be sure to include how the necessity of a good and the availability of substitutes affect the price elasticity of demand in each of these specific cases:…
In order to create user accounts for the existing employees in the acquired company following these steps. First create an excel spreadsheet with the name, user id and password for each employee. Then use this formula to generate a command to enter in the command prompt: ="dsadd user cn=" & CHAR(34) & A8 & ",ou=sales,dc=tony,dc=com" & CHAR(34) & " -samid " & B8 & " -pwd " & C8…
Elasticity of demand is a measure of responsiveness to a price change of a good or service. When demand is elastic, the percentage of a price change of a product will result in a larger percentage of quantity demanded (McConnell, p 77). It basically means reducing the price of a good service will result in a greater quantity demanded and an increase in revenue for the seller. When demand is inelastic, a change in price will result in a reduction of quantity demanded, which will then lead to a revenue decrease (McConnell, p 77). To demonstrate elastic and inelastic demand results, Company A sells 100 pens at $1.00 a piece each day, making their revenue $100.00. Company A then decides to sell their pens at $.50, which results in a total of 250 pens being sold. The total revenue from the price drop is $125, resulting in an additional $25.00; therefore the demand in this scenario is elastic. If selling the pens at the decreased price of $.50 would result in more pens being sold, but less total revenue, the demand is said to inelastic. According to McConnell, when demand in unit elastic, the percentage change in price and the resulting percentage changes in demand are the same. The change in price will not increase or decrease revenue.…
If the absolute value of price elasticity is greater than 1, this means the demand curve in that region is:…
1. The temperature contrast between the equator and the Arctic region is greatest in the winter, because the Arctic region is furthest away from the Sun during that time.…
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1. What are the two groups whose results are reflected by the t ratios in Tables 2 and 3?…
4. Compare the mean baseline and posttest depression scores of the control group. Do these scores strengthen or weaken the validity of the research results? Provide a rationale for your answer.…
1. The researchers analyzed the data they collected as though it were at what level of measurement?…
The price of a product increased. When the price increased, the calculated value of the elasticity of demand was 2.…
This statementis false. The percentage change in prices is always higher than per cent change in demand for inelastic demand as shown by the slanting of the curve in Figure 1. Higher per cent change in demand as compared to prices depicts elastic demand which the above statement reflects.…
The price elasticity of demand measures the responsiveness of the quantity demanded to a change in price.…
“for linear demand curves, when P is high, the price elasticity of demand is large […] As we move down the demand curve, P is decreasing and Q is increasing. This causes the price elasticity to monotonically increase. As we approach the horizontal axis, by definition, P is low and Q is high, so the demand is inelastic.”i…
2. Calculate the coefficient of price elasticity of demand if the hourly wage goes from $160 to $180. Is elasticity at this level inelastic or elastic? Use the formula found in Chapter 2 of the textbook. (2 marks)…
III. What is the price elasticity of demand at a selling price of RM12.00 per unit?…