If the price of a product decreases by 10 per cent and sales increase by 5 per cent, demand for that product would be said to be price inelastic.
举一反三
- Generally, price and demand is ____ related which means that the increase in the price would lead to the decrease in the demand for that product and vice versa.
- A retail business buys and sells product X. The variable cost for product X is $3 per unit and the fixed costs of the business are $75,000. The selling price is $7 per unit.What is the break-even sales volume of product X?______
- Generally, price and demand is _______ related which means that the increase in the price would lead to the decrease in the demand for that product and vice versa. A: inversely B: adversely C: correspondingly D: proportionally
- Division Big does have excess capacity to produce Product XX. The division can sell Product XX for $10 per unit outside the company. Variable costs are $6 per unit. Division Small wants to purchase Product XX from Division Big to use in Product ZZ. The selling price of Product ZZ is $25 per unit and variable costs to finish the product after the transfer are $12 per unit. An outside supplier will sell Product XX for $12. What is the minimum transfer price for Division Big?
- Which of the following can be predicted to increase the demand for labor? a. An increase in the price of a gross complement to labor b. A decrease in the price of a gross substitute for labor c. A decrease in the number of firms d. An increase in product demand A: An increase in the price of a gross complement to labor B: A decrease in the price of a gross substitute for labor C: A decrease in the number of firms D: An increase in product demand