Call options with strike prices above the current market price of the underlying asset have positive prices A: because the price of the underlying could go up.
When an investor purchases a call option with a strike price above the current market price of the underlying asset, they are essentially betting that the price of the underlying asset will increase in the future. The higher the strike price, the greater the likelihood that the price of the underlying asset will need to increase in order for the option to be profitable.
The reason these call options have positive prices is that they represent a potential profit opportunity for the buyer. By paying a premium for the call option, the buyer has the right (but not the obligation) to purchase the underlying asset at the strike price, even if the market price has increased above that level. If the price of the underlying asset does indeed increase, the buyer can exercise their option and purchase the asset at the lower strike price, then sell it on the market at the higher price for a profit.
The correct answer is A.
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The management of a corporation is investigating buying a small used aircraft to use in making airborne inspections of its above-ground pipelines. The aircraft would have a useful life of 5 years. The company uses a discount rate of 13% in its capital budgeting. The net present value of the investment, excluding the intangible benefits, is -$396,300.
How large would the annual intangible benefit have to be to make the investment in the aircraft financially attractive?
To make the investment in the aircraft financially attractive, the annual intangible benefit would need to be large enough to offset the net present value of -$396,300.
The net present value (NPV) is a measure used in capital budgeting to assess the profitability of an investment. In this case, the NPV of the investment in the aircraft is -$396,300, indicating a negative value.
To determine the required annual intangible benefit that would make the investment financially attractive, we need to calculate the annuity value that would offset the negative NPV. The annuity value represents the constant cash inflow needed to make the investment financially viable.
The formula to calculate the annuity value is:
Annuity Value = NPV / (1 - (1 + r)^(-n))
Where:
NPV is the net present value of the investment
r is the discount rate
n is the useful life of the investment
Plugging in the values:
Annuity Value = -$396,300 / (1 - (1 + 0.13)^(-5))
Annuity Value ≈ -$396,300 / (1 - 0.56504)
Annuity Value ≈ -$396,300 / 0.43496
Annuity Value ≈ $911,202.36
Therefore, the annual intangible benefit would need to be approximately $911,202.36 to make the investment in the aircraft financially attractive and offset the negative net present value.
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true or false Resource owners must feel that their incomes are large enough so that they will continue to supply resources
Answer:
True.
Explanation:
The following are affected by the business structure you choose when you start your
business.
O a.
day-to-day operations, personal liability, and business name.
O b.
day-to-day operations, business location, and taxes.
О с.
profitability, personal liability, and taxes
O d.
day-to-day operations, personal liability, and taxes.
1
When you start business, the business structure you choose can affect your day-to-day operations, personal liability, and taxes.
What is a liability?Liability refers to the legal responsibility for one's actions or debts. It is an obligation to pay or perform something to another party. Liability can arise from various sources, such as contractual agreements, statutory laws, or common law. For instance, when a person borrows money from a bank, they have a liability to repay the loan amount to the bank within a certain period, according to the terms and conditions of the loan agreement. Liability can also arise from a person's actions or omissions that result in harm or damage to others. In such cases, the person may be held liable for the damages caused and may have to compensate the affected parties for their losses.
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__________ ratios reflect whether or not a firm is efficiently using its resources.
Answer:
The ratios that reflect whether or not a firm is efficiently using its resources are known as efficiency ratios or activity ratios. These ratios are a measure of how well a company uses its assets and liabilities internally. Efficiency ratios can calculate the turnover of receivables, the repayment of liabilities, the quantity and usage of equity, and the general use of inventory and machinery.
Efficiency ratios include:
1. Inventory Turnover Ratio: This ratio measures how many times a company's inventory is sold and replaced over a certain period. A low turnover implies poor sales and excess inventory, while a high ratio implies strong sales or insufficient inventory.
2. Accounts Receivable Turnover Ratio: This ratio measures how efficiently a firm uses its assets. It is calculated by dividing net credit sales by average accounts receivable during a certain period. A high ratio suggests that the company collects its credit sales quickly, which is a sign of efficiency.
3. Total Asset Turnover Ratio: This ratio measures a company's ability to generate sales from its assets by comparing net sales with average total assets. In other words, it measures how efficiently a company can use its assets to produce sales.
4. Fixed Asset Turnover Ratio: This ratio measures how well a firm uses its fixed assets to generate sales. It is calculated by dividing net sales by net property, plant, and equipment.
5. Days Sales in Inventory (DSI): This ratio shows how many days it takes for a company to turn its inventory into sales. The lower this number is, the better.
6. Days Sales Outstanding (DSO): This ratio shows the average number of days that it takes for a company to collect payment after a sale has been made. A low DSO number means that it takes a company fewer days to collect its accounts receivable. A high DSO number shows that a company is selling its product to customers on credit and taking longer to collect money.
7. Payables Turnover Ratio: This ratio shows how quickly a company pays off its suppliers. A low payables turnover ratio can be an indication that the company is delaying payments to its suppliers.
These ratios provide insight into different aspects of a company's operational efficiency, but they should not be viewed in isolation as they may provide misleading information if not considered in context with other financial indicators and industry averages.
Lobbyists are hired by companies to influence legislation to meet a company's goals. They ask for things needed to program plans related to health care, and come together as _____.
social media groups
special interest groups
political pack groups
professional and amateur groups
Answer:
ccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccccc
Explanation:
What is one way people can reduce the amount of taxes they owe in a year?
A. Give money to charity
B. Earn a higher income
C. Purchase luxury goods
D. Work longer hours
Answer:
A
Explanation:
Donating money to charity is one method people might lower their annual tax burden. Therefore, (A) is the correct option.
What is Tax?Taxes are required payments made to individuals or enterprises by a government agency, whether local, regional, or federal. Income, capital gains, or the estate are all subject to taxes.
One of the ways to reduce the amount of tax payable is to donate money to a charity.
Therefore, (A) is the correct option.
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Leadership ability is important to managers because
a-business will not hire a manager without leadership skills
b-leadership helps managers satisfy employees needs while also meeting the goals of the business
c- managers must get work done whether or not employees want to do it
A focus group was formed to provide opinions for a target market.what type of data is being collected from the focus group ?
The type of data that is being collected from the focus group is a: primary data.
The types of data.Generally speaking, there are two (2) main types of data and these include:
Primary dataSecondary dataWhat is a primary data?A primary data simply refers to a type of data or information which typically comprises only raw information that are first-hand and original in nature. This ultimately implies that, a primary data describes a personal experience, opinion, or witness of an event (occurrence).
In conclusion, some example of primary data sources include the following;
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A business with happy customers will build a good reputation, allowing it to attract top-level:
Answer:
Marketing consultants
A business with happy customers will create a good reputation, allowing it to attract the best: Marketing consultants.
How are sales advisors paid?The average sales advisor costs are based on one of the two models. The first, and perhaps the most common, is the hourly consultation rate. The second is a consistent bid on a project-by-project basis. This is usually based on their expected number of hours for a project that is multiplied by the hourly rates of professionals.
How much should I charge as a marketing consultant?A typical marketing consultant usually charges about $ 100- $ 175 per hour. This may seem like a lot of money because, in most cases, companies do not pay their employees so much.
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The perceived demand for a monopolistic competitor
a. is steep.
b. is flat.
c. takes competitors into account.
d. disregards competitors.
A monopolistically competitive firm's perceived demand curve slopes downward, indicating that it sets prices and selects a mix of quantity and price.
What is competitive firm?The term "price taker" refers to a completely competitive firm that is compelled by pressure from other enterprises to accept the market's current equilibrium price. A company in a highly competitive market risks losing all of its sales if it increases the price of its goods by even a penny. Since there are so many small producers and they have so little control over the selling price of their goods, the agriculture sector is perhaps the one that exhibits perfect competition the closest. A monopoly corporation's ability to generate positive profits over an extended period of time distinguishes it from a competitive firm as the most important distinction. Eventually, their profit is reduced by the rival companies. Due of barriers, monopolies generate positive profits.
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For example, the variance of A's shares is 16% and the variance of B's shares is 25%. If it is known that the portfolio variances of the two stocks are equally weighted by 5.25%, what is the covariance of the two stocks:
a. -10.5%
b. 10.5%
c. 15.8%
d. -15.8%
e. -25.5%
The answer is not one of the choices given in the question.
How to find the covariance of the two stocks?The formula for portfolio variance is as follows:
Portfolio variance =\(w1^2 x var(A) + w2^2 x var(B) + 2 x w1 x w2 x Cov(A,B)\)
where w1 and w2 are the weights of stocks A and B respectively and Cov(A,B) is the covariance between stocks A and B.
Given that the portfolio variances of the two stocks are equally weighted by 5.25%, we can set w1 = w2 = 0.525.
Substituting the given values, we get:
\(0.0525^2 x 0.16 + 0.0525^2 x 0.25 + 2 x 0.0525 x 0.0525 x Cov(A,B) = 0.0525\)
Simplifying the equation, we get:
0.0084 + 0.0131 + 0.0011 x Cov(A,B) = 0.0525
0.0226 + 0.0011 x Cov(A,B) = 0.0525
0.0011 x Cov(A,B) = 0.0299
Cov(A,B) = 0.0299 / 0.0011 = 27.18%
Therefore, the answer is not one of the choices given in the question.
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Your parents are giving you $200 a month for 4 years while you are in college. At an interest rate of .47 percent per month, what are these payments worth to you when you first start college?
Answer:
50k for mee i am rich you gareb
a woman is in the business of buying tracts of land, constructing buildings and making other improvements on them, and then selling them to the general public. she is in the business as a
A woman is in the business of buying tracts of land, constructing buildings and making other improvements on them, and then selling them to the general public. She is in the business as a developer
A developer is an individual or corporation who buys land, modifies it by adding structures or making other improvements, and then rents or sells the property to others. Developers work in the real estate industry and are frequently in charge of a number of tasks, including choosing potential development sites, securing funding for the project, monitoring the construction process, marketing and selling the finished residences, and more.
In the given case, the woman is purchasing parcels of property, developing them with buildings and other enhancements, and then selling them to broader public, which is in line with the description of a developer. In order to construct profitable projects that satisfy the interests of their clients and the community, successful developers must be able to negotiate the complexity of the real estate sector.
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Who heads each of the branches of Federal Reserve Banks and look after their functioning?
A.
Board of Directors
B.
Board of Governors
C.
Reserve Bank President
D.
Managing Directors
The Chair of the Board of Governors of the Federal Reserve System is the chief of the Federal Reserve, which is the central banking system of the United States.
a management team met to discuss the best way to promote, price, and distribute the new product. what is the management team working on?
Answer:
the marketing mix
Explanation:
If the company estimates 4% of receivables to be uncollectible, the bad debt expense for 2022 would be: group of answer choices $4,720 $720 $4,000 $160 $4,800
If the Company estimates 4% of receivables to be uncollectible, the bad debt expense for 2022 would be $ 720 option B.
When a receivable is no longer recoverable as a result of a customer's inability to pay an existing debt owing to bankruptcy or other financial issues, a bad debt charge is recorded. Businesses that offer credit to their clients record bad debts as an allowance for doubtful accounts, sometimes referred to as a provision for credit losses, on their balance sheet.
A corporation records a credit to revenue and a debit to an account receivable when it completes a credit sale. There is no assurance that the business will get the money, which is the issue with this accounts receivable balance. A corporation can be entitled to money from a credit sale but never actually get it for any number of reasons.
Particulars Amount
Beginning balance of allowance for doubtful accounts $ 5,000
Less: Accounts written off $ -2,000
Add: Accounts reinstated $ 1,000
Unadjusted balance of allowance for doubtful accounts $ 4,000
Ending balance of allowance for doubtful accounts $ 4720
Less: Unadjusted balance of allowance for doubtful accounts $ -4000
Bad debts expense $720
Hence, the correct option is B $720.
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Complete question:
Use the following information to answer the next 3 questions: On January 1, 2022, a company's Accounts Receivable balance was $100,000, and the balance in the Allowance for Doubtful Accounts was a credit balance of $5,000. During 2022, the company recorded the following transactions: Credit Sales $130,000
Collections from customers $110,000
Accounts written-off $2.000
Collections on accounts previously written off $1,000
If the Company estimates 4% of receivables to be uncollectible, the bad debt expense for 2022 would be
A. $4,720 B. $720 C. $4,000 D. $160 E. $4,800
A "change in quantity supplied" refers to: a. a movement along a stationary supply curve. b. a change in the slope of the supply curve. c. a shift of the entire supply curve, either up or down. d. a s
A "change in quantity supplied" refers to a movement along a stationary supply curve (option a).
A change in quantity supplied is a term used in economics that refers to the adjustment of a product's supply quantity in response to a price change, resulting in a movement along a fixed supply curve. It is a phenomenon that occurs when the price of a product or service changes, resulting in a new quantity supplied of the product or service at the new price.
Therefore, we can conclude that option (a) is correct. Option (b) is incorrect because a change in slope refers to a change in elasticity and is not related to quantity supplied. Option (c) is incorrect because a shift of the entire supply curve refers to a change in supply quantity due to factors other than price. Option (d) is incorrect because it is incomplete.
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ASAP Help meh!!TnT meh so dumb
In developed economies such as the United States, the (agriculture, consumer services, or industries) sector dominates the economy. Examples include legal firms, (hospitals, mining or manufacturing), and so on.
Answer: The economy of the United States is that of a highly developed country with a mixed economy. It is the world's largest economy by nominal GDP and net wealth and the second-largest by purchasing power parity (PPP).
Explanation:
the perspective that emphasizes the complex reasoning processes of the conscious and unconscious mind, often used in advertising and marketing, is associated with which major theorist?
The perspective that emphasizes the complex reasoning processes of the conscious and unconscious mind, often used in advertising and marketing, is associated with Sigmund Freud, who is a major theorist.
What are advertising and marketing? Advertising and marketing are both disciplines that are focused on creating and delivering value to clients. Advertising and marketing are concerned with promoting goods and services, creating client demand, and effectively converting that demand into sales.
In the field of advertising and marketing, one of the key perspectives emphasized is the complex reasoning processes of the conscious and unconscious mind. This perspective is commonly associated with Sigmund Freud, a major theorist who introduced several revolutionary concepts related to human nature and the human mind.
What are the complex reasoning processes of the conscious and unconscious mind? The concept of complex reasoning processes of the conscious and unconscious mind emphasizes the role of subconscious and conscious processes in shaping human behavior. The conscious mind processes information on the basis of reason and logic, while the subconscious mind processes information based on past experiences and emotions.
Theorist: The term "theorist" refers to a scholar or researcher who develops or refines theories. Theorists are concerned with the development of theoretical frameworks and concepts that can help to explain phenomena in a particular field of study. In the field of psychology, major theorists such as Sigmund Freud, Erik Erikson, Jean Piaget, and B.F. Skinner has made significant contributions to our understanding of human behavior and the human mind.
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sarah owns a 7-eleven franchise. what is the primary disadvantage of owning a franchise for sarah?
In case whereby Sarah owns a 7-Eleven franchise the primary disadvantage of owning a franchise for Sarah is that The franchisor still retains a great deal of control. She has to pay royalties to the franchisor.
What is disadvantage of owning a franchise?The drawbacks of owning a franchise that should be taken into account can be assovciated to the Guidelines and rules. The biggest drawback of purchasing a franchise is that you are required to follow the franchisor's policies and procedures. Some franchisors have a level of power over your business that, as a theoretically independent business owner, you could find agonizing.
Depending on the terms of the franchise agreement, the franchisor may have the power to impose restrictions on things like the location of the business, the hours it is open, the prices of its products, its signage, layout, and furniture, how its products are used, and the terms that apply to franchise sales.
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Clare fran is buying a new chevy volt for $39,000 with an interest charge of $4800. she sets up a loan, and repays it over 25 equal monthly payments for 25 months. what will be her monthly payment
Clare Fran's monthly payment for the loan will be $1,752.
Clare Fran is buying a new Chevy Volt for $39,000 with an interest charge of $4,800. To determine her monthly payment, we first need to add the interest charge to the cost of the car:
$39,000 + $4,800 = $43,800
Now, we'll divide the total amount to be repaid ($43,800) by the number of equal monthly payments (25 months):
$43,800 ÷ 25 = $1,752
So, Clare Fran's monthly payment for the loan will be $1,752.
We can also use a loan payment formula, such as the PMT function in Excel, to calculate the monthly payment.
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.. If two variables have a direct relationship on a graph, it indicates that
A. both variables are not related.
B. as one variable rises, the other variable falls.
C. both variables are moving in the same direction.
D. as one variable rises, the other variable is constant.
Answer:
Option C. Both variables are moving in the same direction.
Explanation:
The reason is that in the direct relationship, the variables move in the same direction which means if one of the variable increases then the other will also increase and vice versa. So the only option that satisfies this condition is option C.
Melinda kept a record of her spending for the week. She spent $25 to put gas in the car, bought a new shirt for a total of $22. 38, played putt-putt golf with some friends that cost $6. 95 and paid $38. 71 for a few groceries. What was the total of Melinda’s expenses for the week? a. $68. 24 b. $86. 09 c. $91. 94 d. $93. 04 Please select the best answer from the choices provided A B C D.
The total of Melinda's expenses for the week is$93.04, option d is the correct answer.
Melinda spent on, Gas: $25, New shirt: $22.38, Putt-putt golf: $6.95, Groceries: $38.71
Adding these amounts together:
$25 + $22.38 + $6.95 + $38.71 = $93.04
Therefore, the correct answer is option d. $93.04. This represents the total of Melinda's expenses for the week.
Options a, b, and c are not correct. Option a, $68.24, does not include the full amount of Melinda's expenses. Option b, $86.09, is also lower than the actual total. Option c, $91.94, is closer to the correct answer but still falls short of the actual total.
By adding up the individual expenses accurately, we can determine that Melinda's total expenses for the week amount to $93.04.
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thinking globally is a competitive imperative for most companies nowadays.True or False
The given statement "Thinking globally is a competitive imperative for most companies nowadays" is true because In today's interconnected world, businesses must consider the global market to stay competitive and successful. There are several reasons why global thinking is crucial for companies.
Firstly, expanding into international markets allows companies to tap into new customer bases, increasing their potential for growth and revenue generation. By understanding and catering to diverse customer needs, companies can broaden their product or service offerings, fostering innovation and development.
Secondly, global competition is more intense than ever before. Companies that fail to adapt to the increasingly global business environment risk being outpaced by their competitors who can capitalize on international opportunities. This includes not only large multinational corporations but also small and medium-sized enterprises, as technology has reduced the barriers to entry for businesses worldwide.
Thirdly, a global mindset enables companies to access resources and talent from across the world. By leveraging diverse perspectives, skills, and expertise, businesses can improve their overall efficiency and effectiveness. Moreover, a diverse workforce brings fresh ideas and cultural awareness, enabling companies to be more agile and adaptable to market changes.
Lastly, companies with a global perspective are better positioned to manage risks and challenges that arise from geopolitical, economic, or environmental factors. By operating in multiple markets, companies can diversify their risk exposure and respond more effectively to unforeseen events or crises.
In conclusion, thinking globally is a competitive imperative for most companies as it allows them to access new markets, customers, and resources, and helps them navigate the complexities of the ever-evolving business landscape. Embracing a global mindset is essential for companies to remain competitive and achieve long-term success.
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which microbes is used to extract ethanol from fruit juice and sugar molasses ·
Answer:
Yeast
Explanation:
A microbe (microorganism) is a microscopic organism which either exist in its single-celled form or as colony of cells. Example of microbes are bacteria, archaea, algae, protozoa.
Yeast is a microbe used in the extraction of ethanol from fruit juices and sugar molasses. Saccharomyces cerevisiae is a specie of yeast which reacts with fruit juices and sugar molasses in the absence of Oxygen to produce ethanol and carbon dioxide.
Is a business plan a one time fee?
Answer:
i think so :)
Explanation:
1) ________ contain descriptions of the business, organization, or enterprise to which the subject of analysis belongs.
A) Fact tables
B) Dimension tables
C) Both dimension and fact tables
D) None of the above
Dimension tables contain descriptions of the business, organization, or enterprise to which the subject of analysis belongs. (Option B)
Dimension tables in data warehousing contain descriptions of the business, organization, or enterprise to which the subject of analysis belongs. They provide additional context and details about the data in the fact tables. Dimension tables typically include attributes or characteristics related to the subject, such as customer names, product categories, geographical locations, and time periods. These tables serve as reference points to categorize and filter the data in the fact tables.
On the other hand, fact tables in data warehousing store the measurable and numeric data that represents the metrics or performance indicators of the business. Fact tables usually contain numerical values such as sales revenue, quantities sold, or other key performance indicators. They are linked to dimension tables through foreign keys, which enable the analysis and aggregation of data based on various dimensions.
Therefore, the correct answer is B) Dimension tables, as they specifically contain descriptions of the business, organization, or enterprise. Fact tables contain numerical data, and the combination of dimension and fact tables is central to data warehousing and business intelligence analysis.
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which term correctly describes all of the following materials? salt water, vinegar, bronze, air, beach sandquestion 20 options:elementssolutionscompoundsmixtures
The term that correctly describes all of the following materials is "mixtures." A mixture is a combination of two or more substances that are physically intermingled but not chemically bonded.
In a mixture, the individual substances retain their own properties and can be separated by physical means.
In the case of the given materials: Salt water is a mixture of water and salt, where the salt dissolves in the water.
Vinegar is a mixture of acetic acid and water.
Bronze is an alloy, which is a mixture of copper and tin.
Air is a mixture of gases, primarily nitrogen, oxygen, carbon dioxide, and trace amounts of other gases.
Beach sand is a mixture of various minerals, organic matter, and water.
Since all of these materials consist of different substances that are physically combined without forming new chemical compounds, they can be classified as mixtures.
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What does the big Mac index show
Suppose price elasticity of demand is greater than 1. Which of the following example is correct?
a. If I increase price of oranges by 1%, sales of oranges increase by more than 1%.
b. If I increase price of oranges by 1%, sales of oranges decline by less than 1%.
c. If I increase price of oranges by 1%, sales of oranges increase by less than 1%.
d. If I increase price of oranges by 1%, sales of oranges decline by more than 1%.
e. If I increase price of oranges by 1%, sales of oranges decline by exactly 1%
The answer is (d). If the price elasticity of demand is greater than 1, then a 1% increase in price will lead to a decrease in sales by more than 1%. A small change in price can lead to a large change in demand.
This is because a high price elasticity of demand means that consumers are very sensitive to changes in price.
The price elasticity of demand measures how responsive demand is to changes in price. It is calculated as the percentage change in demand divided by the percentage change in price.
A price elasticity of demand of greater than 1 means that demand is elastic, meaning that it is very responsive to changes in price. A small change in price can lead to a large change in demand.
In the example given, a 1% increase in price would lead to a decrease in demand by more than 1%. This is because consumers are very sensitive to changes in the price of oranges.
If the price of oranges goes up, consumers will be more likely to switch to other fruits, such as apples or bananas. This will lead to a decrease in demand for oranges.
The opposite would be true if the price elasticity of demand was less than 1. In this case, a 1% increase in price would lead to a decrease in demand by less than 1%.
This means that demand is inelastic, meaning that it is not very responsive to changes in price. A small change in price would not have a significant impact on demand.
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