if the risk-free rate increases and the market risk premium remains constant, the cost of equity will increase. On the other hand, the cost of debt will also increase if the risk-free rate increases.
The rate of return provided by an investment with no risk is known as the risk-free rate. The concept of the risk-free rate is somewhat speculative because every investment asset carries some level of risk, no matter how minor. It is commonly understood to refer to the interest rate on short-term government debt. The general flexibility of the capital markets (affected by supply and demand, i.e., a decline in the money supply growth rate will reduce the supply of capital and increase interest rates), as well as the anticipated rate of inflation, are factors that affect the nominal risk-free rate (NRFR).
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Which regulation ensures a company can outsource a service, but not the responsibility for control of that service?
SOX regulation ensures a company can outsource a service, but not the responsibility for control of that service.
The Sarbanes-Oxley Act of 2002 is a federal law in the United States that prescribes specific procedures for company financial record keeping and reporting. Eleven of its parts impose requirements on all boards of directors, management teams, and public accounting firms of U.S. public companies. The SOX rule was implemented in response to many significant business and accounting scandals, notably Enron and WorldCom. The bill's provisions address the duties of the board of directors of public corporations, impose criminal penalties for specific types of wrongdoing, and call on the Securities and Exchange Commission to establish regulations outlining public businesses' legal obligations.
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a t-bill with face value $10,000 and 95 days to maturity is selling at a bank discount ask yield of 4.2%. required: a. what is the price of the bill?
In a situation where a t-bill with face value $10,000 and 95 days to maturity is selling at a bank discount ask yield of 4.2%, then the price of the bill will be $9,889.17.
What is the significance of bank discount?A bank discount can be referred to or considered as the service offered by a bank to grant the amount of a T-bill to the customer, and hold the right to collect the actual amount of T-bill upon its maturity.
From the given information and formula, it can be ascertained that
Bank Discount = Rate x (Days / 365)
Bank Discount = 0.0420 × (95/365) = 0.011
Solving further, the price of the T-bill according to its face value will be,
Price = Face value x (1 – bank discount)
Price = 10000 x (1 – 0.011)
Price = $9,889.
Therefore, the significance regarding the bank discount has been aforementioned.
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The level-5 leadership pyramid is a conceptual framework that shows ______. multiple choice question. why companies generate profits how leaders develop why companies fail why employees quit
The level-5 leadership pyramid is a conceptual framework that shows how leaders develop.
Leadership, each as a research area and as a practical ability, encompasses the capability of a man or woman, organization or organization to "lead", impact or guide other people, groups, or complete businesses. The phrase "management" regularly receives regarded as a contested term.
“The motion of main a collection of humans or an agency.” this is how the Oxford Dictionary defines management. In simple phrases, leadership is ready to take risks and challenge the reputation quo. Leaders motivate others to achieve something new and higher.
The definition of management is the location of guiding a group, or the potential to guide. management can exist in both formal and casual organizations. for instance. Formal placing (along with within a big company) - The chief of the organization is generally someone who has been appointed to a excessive role of authority.
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________ is the buying or selling of stocks by insiders who possess material that is still not public.
Inside trading is the buying or selling of stocks by insiders who possess material that is still not public.
What is Inside trading ?Insider trading is described as the trading of stock in a publicly listed firm by a person who, for whatever reason, has access to substantial, non-public information about that stock. Depending on when the deal is made, insider trading may be prohibited or legal.
When the relevant knowledge is still a secret, insider trading is prohibited and is subject to harsh penalties.
Insider trading is the act of buying or selling shares in a publicly traded company by a person who has substantial, non-public knowledge about that stock.
Any nonpublic information that is substantial and that might materially affect an investor's decision to acquire or sell an asset is considered material nonpublic information.
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lending discrimination occurs when lenders base credit decisions on factors related to the applicant’s creditworthiness.
When loan choices are made by lenders based on criteria other than an applicant's creditworthiness, discrimination in lending occurs. Redlining is the practise of refusing financial services to people in particular communities on the basis of their race or ethnicity.
This is a True StatemementLending discrimination happens when a lender rejects a mortgage application based on a borrower's age, nationality, race, gender, sex, religion, familial situation, or use of public assistance.Lending Discrimination Examples
Giving mortgage applicants a different level of customer care based on their race, colour, religion, sex (including gender identity and , familial situation, country origin, or handicapTo Learn more about Lending discrimination click the links
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which convention calls for contracting parties to criminalize bribery of public officials and money laundering?
In order to make bribery of foreign public officials in international business transactions illegal, the OECD Anti-Bribery Convention established legally obligatory criteria and calls for a number of complementary steps.
What is Money Laundering?
Money laundering is the illicit practise of disguising huge sums of cash obtained through criminal activity, such as the financing of terrorism or drug trafficking, as coming from a legitimate source. The technique "launders" the money, which is thought to be dirty as a result of the illicit action, to make it appear clean. Both white-collar and low-level criminals use money laundering, a serious financial crime. Anti-money-laundering (AML) rules are in place at the majority of financial institutions today to identify and stop this behaviour.
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A new security system has a price-tag of $7,500, but should save your company $3,275 each year for the next 10 years in reduced thefts. what is the irr of the security system?
The IRR of the security system is 42.40.
An example of security is while you are at domestic with the doorways locked and also you feel secure. An employer or department whose venture is safety or safety, esp. A non-public police pressure is employed to patrol or protect a construction, park, or another vicinity. if you see an interloper, name safety.
Securities are fungible and tradable monetary gadgets used to elevate capital in public and personal markets. There are typically three kinds of securities: fairness—which presents possession rights to holders; debt—basically loans repaid with periodic payments; and hybrids—which combine elements of debt and fairness.
Security trouble is any unmitigated risk or vulnerability in your device that hackers can use to do damage to structures or statistics. This includes vulnerabilities inside the servers and software connecting your business to customers, as well as your enterprise strategies and those.
Using TVM Calculation,
Present Value of savings = [FV = 0, PMT = 3,375, N = 10 , I = 7,500]
PV = 3375
PI = 33750/7,500
PI = 4.50
Time Cashflows
0 -$7,500.00
1 $3,275.00
2 $3,275.00
3 $3,275.00
4 $3,275.00
5 $3,275.00
6 $3,275.00
7 $3,275.00
8 $3,275.00
9 $3,275.00
10 $3,275.00
IRR 42.39%
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In an attempt to promote renewable energy, the president and congress approve an annual rebate to those who install solar panels on their roofs. What type of economic policy would this represent?.
This type of economic policy would represent is neither fiscal nor monetary policy.
A course of action designed to affect or regulate the economy's behavior is known as an economic policy. The government typically implements and oversees economic policies. The systems for determining tax rates, government spending, the money supply, and interest rates, as well as the labor market, national ownership, and many other areas of government interventions in the economy, are all included in the concept of the economy of governments. The federal government works to achieve three policy objectives in order to maintain a robust economy: stable prices, full employment, and economic growth. The federal government has additional objectives to maintain the sound economic policy in addition to these three policy goals.
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increasing competition, aggressive brand advertising, and healthy profits are all characteristics found in the introductory stage of the product life cycle.
increasing competition, aggressive brand advertising, and healthy profits are all characteristics found in the introductory stage of the product life cycle. The above statement is Incorrect that means it's false.
Increasing competition:
Government regulations have made it possible for businesses to coexist alongside enterprises from the public and private sectors, and because these businesses compete fairly, there is now more competition. For industries, government policies that permit foreign investment and make it easier to reach both domestic and international markets have also encouraged industries to grow. Pricing competition as a result has raised productivity and profitability across all industries.
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the responsibility for setting a company's mission, objectives, broad strategies, and policies primarily lies with its .
The responsibility for setting a company's mission, objectives, broad strategies, and policies primarily lies with its top management.
Etymologically, the notion of management is the art of organizing and implementing. Management can also be defined as the process of managing or managing something.
So in general, management is the process of organizing or managing something that is done by an individual or group of people. This management process includes in compiling, organizing, implementing, and controlling or supervising events.
In the context of the organization, the notion of management is a process to regulate something that is done by a group of people or organizations to achieve the goals of the organization by working together to utilize the resources they have.
Management can also be an effort to plan, coordinate, organize and control resources to achieve goals effectively and efficiently.
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What factors should managers compare current performance to in order to find sources of discrepancies in performance?
The factors should managers compare current performance to in order to find sources of discrepancies in performance is Past Performance.
Discrepancy and Unresolved are even. One is a positive and one is poor. there is a Discrepancy and an Unresolved amount in account reconciliation for the same quantity, however contrary values.
But, the traditional method to calculate ad discrepancy (regardless of the metric) is: Subtract the variety you acquired from the opposite celebration (be it sell or buy) Divide it by way of the alternative celebration's wide variety and multiply with the aid of a hundred. The range you receive is the % of the discrepancy.
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this year, margaret placed into service $1,350,000 of property that qualifies for the section 179 deduction. what is the maximum section 179 deduction margaret may claim in 2022? $1,000,000 $1,080,000 $2,500,000 $2,700,000
$1,00,000 is below the limit that was stated, while options 3 and 4 are over the limit that was set. Option A
This is further explained below.
What is the maximum section 179 deduction Margaret may claim in 2022?Generally, A deduction under Section 179 may be requested with regard to an eligible asset that is going to be used for the purposes of a company.
During the course of the fiscal year, a deduction of up to $1,050,000 may be requested.
In the year 2021, Margaret will be able to claim a deduction of up to a total of $1,050,000. Therefore, Option 2 is the one to choose.
Due to the fact that the maximum deduction is up to 1,050,000 the other choices are erroneous.
In conclusion, Option 1 is below the limit that was stated, while options 3 and 4 are over the limit that was set.
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at the end of the month, a company received a bill for newspaper advertising services, $400. the bill will be paid in 10 days. how would the transaction be recorded today?multiple choice
Debit Advertising Expense $400, credit Accounts Payable $400.
Debit advertising is an expense that is tax deductible. When you receive an advertising bill, debit it and credit it to your accounts payable account. You would reverse the entry, debit accounts payable, and credit cash when you paid the bill.
When increasing, accounts payable is usually a credit. However, it can also be debited in some circumstances when there is a decline when the company settles those accounts payable or when the corporation discharges the liabilities. Credit purchases are the most typical reason for credit in accounts payable.
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A+municipal+bond+carries+a+coupon+rate+of+2.5%+and+is+trading+at+par.+what+would+be+the+equivalent+taxable+yield+of+this+bond+to+a+taxpayer+in+a+35%+tax+bracket?
A municipal bond has a coupon rate of 6 3/4% and is currently trading at par. This bond's comparable taxable yield to a taxpayer in the 35% tax bracket is .1038
Equivalent taxable yield = rate on municipal bond/ 1 - tax rate
= .0675/1-0.35
= .1038
Taxpayer:
A taxpayer is a person or entity (such as a business) who is required to pay a tax. Modern taxpayers may have an identification number, which is a reference number issued by the government to individuals or businesses. The phrase "taxpayer" often refers to someone who pays taxes. A taxpayer is an individual or company who is required to pay municipal or government taxes agencies.
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given the range of external influences that impact a firm, understanding the external environment requires managers to:
Given the range of external influence, managers must use a framework or system that enables them to organize information and rank factors in order to comprehend the external environment.
The internal and external influence are among the many relevant aspects that might affect strategy. Planning proponents believe that the external environment has the biggest impact on strategy: The strategist's job is to foresee environmental changes in the political, economic, social, and technological spheres and to react to them. The business environment, including its political, economic, socio-cultural, technical, legal, and ecological components, is referred to by the abbreviation "PESTLE" in marketing and management.
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why do companies engage in the globalization of production? multiple choice question. to increase the overall cost structure of their business operations to increase the barriers to cross-border trade to lower their overall cost structure or improve the quality of their product offering to lower their profit margin by outsourcing, which allows them to compete more effectively
The main reason why companies engage in the globalization of production is to lower their overall cost structure or improve the quality of their product offering.
Why do companies globalize production?Companies are increasingly globalizing their production in order to be able to reduce their cost structure.
This happens by producing in places where resources are cheaper. Companies might also seek to have access to better quality resources to improve their product quality.
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on december 1, jasmin ernst organized ernst consulting. on december 3, the owner contributed $85,160 in assets to launch the business. on december 31, the company’s records show the following items and amounts.
If on December 1, Jasmin Ernst organized Ernst consulting and on December 3, the owner contributed $85,160 in assets to launch the business. ERNST CONSULTING Income Statement For Month Ended December 31 is: $3,400.
What is income statement?Income statement is a statement that help to show a company revenue and expenditure at a particular period of time in which when the revenue is higher than the expenses it means the company has a net income and when the expenses is higher than the revenue it means that the company has a net loss.
ERNST CONSULTING Income Statement For Month Ended December 31
Revenues:
Consulting revenue $17,950
Expenses:
Rent expense $4,720
Salaries expense $8,220
Telephone expense $900
Miscellaneous expenses $710
Total expenses $14,550
Net income $3,400
($17,950-$14,550)
Therefore if on December 1, Jasmin Ernst organized Ernst consulting and on December 3, the owner contributed $85,160 in assets to launch the business. ERNST CONSULTING Income Statement For Month Ended December 31 is: $3,400.
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The complete question is
On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $85,160 in assets in exchange for its common stock to launch the business. On December 31, the company's records show the following items and amounts. Cash $ 7,520 Cash dividends $ 3,190 Accounts receivable 17,950 Consulting revenue 17,950 Office supplies 4,310 Rent expense 4,720 Office equipment 19,190 Salaries expense 8,220 Land 46,000 Telephone expense 900 Accounts payable 9,600 Miscellaneous expenses Common stock 85,160 710 Using the above information prepare a December income statement for the business.
your choice in parts a and b should be the same in both scenarios. but some people may ignore costs and focus on the percentage saved because change how people view the decision.
The answers to the above scenarios are given as follows;
You should make the trip to the other branch ifa) your cost of making the trip is less than $5;
You should make the trip to the other branch if:b) your cost of making the trip is less than $5.
Your choice in parts a and b should be the same in both scenarios. but some people may ignore costs and focus on the percentage saved because framing costs can how people view the decision.
Costs are the monetary worth of expenditures for supplies, services, labor, goods, equipment, and other commodities acquired for use by a business or other accounting organization.
It is the amount designated on invoices as the price and reflected in bookkeeping records as an expenditure or asset cost basis.
In this case, cost is examined as the key driver for consumption decisions.
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Full Question:
Use the cost-benefit principle to evaluate the following:
1) You are about to buy a calculator for $10, and the sales-person tells you that the model you want to buy is on sale for $5 at the store's other branch, which is a 20 minute drive away.
You should make the trip to the other branch if?
a) your cost of making the trip is less than $5
b) your cost if making the trip is more than $5
2)You are about to buy a laptop for $1,000 and the sales-person tells you that the model you want to buy is on sale for $995 at the store's other branch, which is a 20 minute drive away.
You should make the trip to the other branch if:
a) your cost of making the trip is more than $5
b) your cost of making the trip is less than $5
3) Your choice in parts a and b should be the same in both scenarios. but some people may ignore costs and focus on the percentage saved because ______change how people view the decision.
malholtra inc. is considering a project that has the following cash flow and wacc data. what is the project's mirr? note that a project's projected mirr can be less than the wacc (and even negative), in which case it will be rejected. wacc: 10.00% year 0 1 2 3 4 cash flows -$975 $300 $320 $340 $360 a. 11.98% b. 9.16% c. 13.04% d. 14.10% e. 11.75%
E. Malholtra Inc. is considering a project that has the following cash flow and WACC data. WACC: 10.00% Year 0 1 2 3 4 Cash flows -$975 $300 $320 $340 $360. With the given data the project's MIRR will be 11.75%.
More about MIRR:
The modified internal rate of return, also known as MIRR, is a financial metric that can be used to evaluate various assets and decide whether an investment is attractive for a project. The internal rate of return (IRR) formula has been updated to produce the modified internal rate of return (MIER), which addresses some of the problems with that financial indicator.
A financial calculation called the modified internal rate of return, or MIRR, is used to calculate a project's return and compare it to other potential initiatives.
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daria is a human resource executive, supporting organizational strategy. executives in her industry are concluding that a certain hr-related law no longer seems relevant in the internet age. to which government branch would it be most effective to turn for addressing the need for a change in the legal environment?
The legislative branch is the branch that would be most effective to turn for addressing the need for a change in the legal environment.
What is the legislative branch of government?This is the term that is used to refer to the law making branch of the federal government. The legislative branch is made up of the congress men and the congress women that are able to make changes to the constitution of the nation and are able to bring in new laws to the nation
Hence we can say that the legislative branch is the branch that would be most effective to turn for addressing the need for a change in the legal environment.
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In an environment of rapid deflation, which inventory method would report the lowest net income? a lifo b fifo c average cost d fish
In an environment of rapid deflation, LIFO inventory method would report the highest net income.
What is LIFO Method?
"Last-In, First-Out" is an abbreviation for LIFO. It is a technique used in the computation of cost of goods sold to support cost flow assumptions. The LIFO approach is based on the assumption that the most recent items added to a company's inventory have already been sold. These current products' purchase prices are the ones that were used in the calculation. When the expenses of making a product or acquiring inventory have been rising, the COGS (Cost of Goods Sold) computation uses the LIFO approach. Inflation may be to reason.
Because it may provide a tax advantage to corporations whose costs of purchasing or producing goods are rising, the LIFO method is attractive to American companies.
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the term structure of interest rates is upward sloping for all bond types. a certain aaa-rated, noncallable 10-year corporate bond has been issued at a 6.15 percent promised yield. which one of the following bonds probably has a higher promised yield?
The term structure of interest rates is upward sloping for all bond types. A certain AAA-rated, noncallable 10-year corporate bond has been issued at a 6.15 percent promised yield.
A capable AAA rated corporate bond with a 15 year maturity has a higher promised yield.
What is meant by AAA rated corporate bond?
It is the highest possible rating that can be assigned to an issuer's bonds by any major credit rating agencies. AAA-rated bonds have a high degree of creditworthiness because their issuers are easily able to meet financial commitments and have the lowest risk of default. Issuers of AAA-rated bonds generally have no trouble finding investors, although the yield offered on these bonds is lower than other tiers because of the high credit rating.To learn more about AAA rated corporate bonds, refer to:
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A capable AAA-rated corporate bond with a 15-year maturity has a higher promised yield.
What is an AAA-rated corporate bond?Investment-grade debt with a high level of creditworthiness and the best ability to repay investors receives AAA ratings. S&P has assigned the rating of AA+, which is comparable to Moody's Aa1 rating. It carries a very low credit risk and demonstrates the issuer's good repayment ability. Any of the major credit rating agencies may give an issuer's bonds the highest rating, or AAA, in this case. Due to their issuers' ease of meeting financial obligations and minimal risk of default, AAA-rated bonds have a high level of creditworthiness.Bonds rated triple-A are the safest and least risky (AAA).A capable AAA-rated corporate bond with a 15-year maturity has a higher promised yield.To learn more about AAA-rated corporate bonds, refer to:
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Assume the total expense for your current year in college equals $20,000. how much would your parents have needed to invest 21 years ago in an account paying 8ompounded annually to cover this amount?
Assume the total expense for your current year in college equals $20,000.
Your parents needed to invest 21 years ago in an account paying compounded annually to cover this amount was $3,973.11.
$20,000 = x(1.08)^21
$20,000 = 5.0338x
$3,973.12 = x.
Compounding is calculated by multiplying the original loan amount, or principal, plus the increased annual interest rate, by the number of compounding terms minus one. This will leave you with the full amount of the loan, including compound interest.
Compounding is the process by which interest is credited to the principal amount available as well as interest already paid. Therefore, compounding can be understood as a return on interest, the effect of which is to increase interest returns over time, the so-called "compounding miracle".
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exercise 9-11a record bonds issued at a discount and related semiannual interest (lo9-5) skip to question [the following information applies to the questions displayed below.] on january 1, 2021, white water issues $600,000 of 7% bonds, due in 10 years, with interest payable semiannually on june 30 and december 31 each year. assuming the market interest rate on the issue date is 8%, the bonds will issue at $559,229. exercise 9-11a part 2 2. record the bond issue on january 1, 2021, and the first two semiannual interest payments on june 30, 2021, and december 31, 2021.
Bond issuance:
Dr Cash $559,229
Dr DIscount on bonds payable($600,000-$559,229)$40,771
Cr Bonds payable $600,000
30 June 2021:
Dr Interest expense $22,369.16
Cr Discount on bonds payable($22,369.16-$21,000.00) $1,369.16
Cr Cash $21,000.00
31 December 2021:
Dr Interest expense $22,423.93
Cr Discount on bonds payable($22,423.93 -$21,000.00) $1,423.93
Cr Cash $21,000.00
What the bonds issued at premium or at discount?The fact that the total cash realized from bond issuance,$559,229, is less than the face value of $600,000 means that the bonds were issued at a discount.
discount on bonds payable=$600,000-$559,229
discount on bonds payable=$40,771
semiannual coupon payment=$600,000*7%*6/12
semiannual coupon payment=$21,000
June 30, 2021 interest=$559,229*8%*6/12=$22,369.16
ne 30 2021 balance on bonds payable=$559,229+$22,369.16-$21,000.00=$560,598.16
interest on 31 December 2021=$560,598.16*8%*6/12=$22,423.93
Balance of bond payable on 31 December 2021=$560,598.16+$22,423.93-$21,000.00
Balance of bonds payable 31 December=$562,022.09
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africa's increasing problem of deforestation could most likely result in a an abundance of job opportunities.an abundance of job opportunities. b a greater likelihood of drought.a greater likelihood of drought. c an increase in foreign industrial development.an increase in foreign industrial development. d a decrease in the usability of soil for agriculture.
Correct D, "a reduction in the utility of soil for agriculture," is the correct response.
When humans cut down trees using equipment, this is called deforestation. It is particularly detrimental to animal habitats, damages many animals' homes, and results in animal fatalities. Additionally, it destroys the soil, making it impossible to cultivate crops and damaging agriculture.
Option A is not the best choice since, despite the fact that equipment does release carbon dioxide into the atmosphere, which may contribute to global warming and droughts, people don't always utilize it. Option B is not an option since it devastates the land, which must be repaired before laborers are hired to grow crops (farmers). Additionally, it is not option C since deforestation destroys land.
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The sum of the balance of trade, net income on capital held abroad, and net transfer payments is the:_________
The sum of the balance of trade, net income on capital held abroad, and net transfer payments is the current account.
The balance of trade (BoT) is the difference between imports and exports of goods. Balance of Payments (BoP) is the difference between foreign exchange inflows and outflows. Type of transaction involved. Commodity-related transactions are included in BoT.
Balance of Payments (BOP) transactions consist of imports and exports of goods, services and capital, as well as transfer payments such as foreign aid and remittances. Together, a country's balance of payments and net international investment position make up its external account.
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Cenikor+family+is+planning+to+purchase+a+new+home+three+years+from+now+that+they+are+20+$400,000+now+how+much+will+be+available+three+years+from+now+the+fun+grows+at+a+compound+rate+of+12%+per+year?
Amount available three years from now the fun grows at a compound interest of 12% per year is $337182.72.
Compound interest is adding interest to the principal of a loan or deposit, i.e. principal plus interest. Compound interest is interest earned on interest. Compound interest results in significant growth of your investment over time. Therefore, if you have a longer investment period, say 5 years, you can accumulate more wealth with a smaller initial investment.
Compound interest is in contrast to simple interest. With simple interest, there is no compound interest because previously accrued interest is not added to the principal for the current period. APR is the amount of interest per period multiplied by the number of periods per year.
The time to purchase a new home is = 3 years
The rate of compound interest is = 12%
Amount available after 3 years from now = P (1 + r)n
= $240000 x (1 + 0.12)3
= $337182.72
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Oil companies can refine a barrel of petroleum so that it yields either more home heating oil or more gasoline. if the price of gasoline falls, there is?
Oil companies can purify a barrel of petroleum so that it yields either more home heating oil or better gasoline. If the price of gasoline falls, there is An expansion in the supply of home heating oil.
Which of the following increases the store of a good and shifts its supply curve rightward?Price differences in the same order as the change in supply. Quantity changes in the opposing direction to the change in supply. An upsurge in demand moves the demand curve rightward and an expansion in supply shifts the supply turn rightward.
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pat's total utility after eating 100 reese's peanut butter cups was less than his total utility after eating his ninety- ninth. therefore, pat's marginal utility for the 100th peanut butter cup was
Pat's total utility after eating 100 Reese's peanut butter cups was less than his total utility after eating his ninety-ninth. therefore, Pat's marginal utility for the 100th peanut butter cup was "Negative".
What is marginal utility?The advantage or pleasure obtained from using a good is referred to as utility in economics. A product or service's MU quantifies how satisfied or how much more users enjoy using it after using it for more or fewer than one unit. The marginal utility comes in three different forms. They are either marginally useful in a positive, negative, or zero way
The first unit of consumption of a certain good or service provides higher utility than the second and subsequent units, with a continuous decline for increasing amounts, according to the law of declining marginal utility that economics postulates in the context of cardinal utility. The term used to indicate the decline in marginal utility as consumption increases is "declining marginal utility." The quantity of a good or service that a customer is willing to pay for can be calculated by economists using this concept.
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The price of a dozen eggs rises from $3 to $4. 70. In response to this price change, quantity supplied increases from 100,000 dozen eggs to 127,000 dozen eggs. What is the approximate price elasticity of supply for eggs?.
Answer:
0.48 i think
Explanation: