Why does total revenue vary directly with price, if demand is relatively price inelastic?
Question:
Why does total revenue vary directly with price, if demand is relatively price inelastic?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (5 reviews)
Total revenue varies in the same direction as price if demand is relatively price ine...View the full answer
Answered By
PALASH JHANWAR
I am a Chartered Accountant with AIR 45 in CA - IPCC. I am a Merit Holder ( B.Com ). The following is my educational details.
PLEASE ACCESS MY RESUME FROM THE FOLLOWING LINK: https://drive.google.com/file/d/1hYR1uch-ff6MRC_cDB07K6VqY9kQ3SFL/view?usp=sharing
3.80+
3+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
Why does total revenue vary inversely with price if demand is relatively price elastic?
-
Why does a profit-maximizing monopolist never produce on an inelastic portion of the demand curve? Would a revenue-maximizing monopolist ever produce on the inelastic portion of the demand curve?
-
Why is a firms demand for labor curve more inelastic when the firm has monopoly power in the output market than when the firm is producing competitively?
-
Write a filter InfixToPostfix that converts an arithmetic expression from infix to postfix.
-
Why do companies hold short-term investments?
-
Allie contributed the following business assets to ASW Partnership on August 1, 2018: What is the holding period for the building and the inventory to ASW Partnership? a. Building long-term capital...
-
Paulson Winery in Albany, New York, has two departments: Fermenting and Packaging. Direct materials are added at the beginning of the fermenting process (grapes) and at the end of the packaging...
-
Thomas Gilbert and Susan Bradley formed a professional corporation called Financial Services Inc.A Professional Corporation, each taking 50 percent of the authorized common stock. Gilbert is a CPA...
-
The _________ provides a portion of the system call interface for UNIX and Linux.
-
How does the income elasticity of demand tell you whether a good is normal? Inferior?
-
What does it mean to say that the elasticity of supply for one good is greater than that for another?
-
Solve the given systems of equations by using the inverse of the coefficient matrix. Use a calculator to perform the necessary matrix operations and display the results and the check. See Example 4....
-
Mr . Abdou wants to buy a penthouse in Rome priced at GBP 5 0 0 , 0 0 0 . Mr . Abdou puts a down - payment of 2 0 % ( GBP 1 0 0 , 0 0 0 ) and finances the remaining 8 0 % ( GBP 4 0 0 , 0 0 0 ) using...
-
The average age of promotional coupon holders of a clothing store was determined through a past research study and is 30 years old. In order to test whether the average age has increased in the...
-
If the cart were displaced by about 1.5 m from its initial position, and if the descent took 2.32 seconds, what must have been the magnitude of the cart's acceleration (in m/s)? Note: Ignore any...
-
Given the following information: Interest rate Tax rate Dividend 9% 30% $2.50 Common stock on the market $50 Growth rate Debt ratio 8% 40% a. Determine the firm's weighted average cost of capital. b....
-
Calculate the profit margin and asset turnover ratio. Net sales Cost of sales COLUMBIA SPORTSWEAR COMPANY CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share amounts) Gross profit...
-
Convert the azimuths from north to bearings, and compute the angles, smaller than 180 between successive azimuths. 6806'42'', 13315'56'', 21744' 05'', and 32035'18''
-
Design and describe an application-level protocol to be used between an automatic teller machine and a bank's centralized computer. Your protocol should allow a user 's card and password to be...
-
Explain the general meaning of the following profit payoff matrix for oligopolists C and D. All profit figures are in thousands. a. Use the payoff matrix to explain the mutual interdependence that...
-
What assumptions about a rivals response to price changes underlie the kinked-demand curve for oligopolists? Why is there a gap in the oligopolists marginal-revenue curve? How does the kinked-demand...
-
Why is there so much advertising in monopolistic competition and oligopoly? How does such advertising help consumers and promote efficiency? Why might it be excessive at times?
-
Two mutually exclusive projects, M and N, have the same payback periods but M has a higher net present value NPV. What conclusion can be drawn about the projects? Question 8Answer a. decision between...
-
DOA sold 4,400,000 shares in an initial public offering. The underwriter's explicit fees were $56,000. The offering price for the shares was $36.48, but immediately upon issue, the share price...
-
Provide a calculation example for each of the following: o Patient's co-payment + insurance portion = full reimbursement o Patient's co-insurance + insurance portion = full reimbursement
Study smarter with the SolutionInn App