When​ Elle's Espresso Bar increased its price by 10​ percent, the quantity of coffee that Elle sold decreased by 40 percent.
When Elle and all her competitors cut their prices by 10​ percent, the quantity of coffee sold by Elle increased by only 4 percent.
The price elasticity of demand for​ Elle's Espresso Bar coffee is
nothing.

Answer:

4

Explanation:

Price elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.

Price elasticity of demand = percentage change in quantity demanded / percentage change in price

40 / 10 = 4

If the absolute value of price elasticity is greater than one, it means demand is elastic. Elastic demand means that quantity demanded is sensitive to price changes.  

Demand is inelastic if a small change in price has little or no effect on quantity demanded. The absolute value of elasticity would be less than one

Demand is unit elastic if a small change in price has an equal and proportionate effect on quantity demanded.  

Infinitely elastic demand is perfectly elastic demand. Demand falls to zero when price increases  

Perfectly inelastic demand is demand where there is no change in the quantity demanded regardless of changes in price.

You purchased a stock at the end of last year at a price of $92. At the end of this year, the stock pays a dividend of $1.60 and you sell the stock for $106. What is your return for the year? Now suppose that dividends are taxed at 15 percent and long-term capital gains (over 11 months) are taxed at 30 percent. What is your aftertax return for the year? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)

You managed a risky portfolio with an expected rate of return of 28% and a standard deviation of 78%. The T-bill rate is 5%. Your client stipulates that the complete portfolio's standard deviation should be less than 12%. What proportion of your client's total investment should be invested in the risky portfolio

Lin Corporation has a single product whose selling price is $140 per unit and whose variable expense is $70 per unit. The company’s monthly fixed expense is $31,600. Required: 1. Calculate the unit sales needed to attain a target profit of $8,300. (Do not round intermediate calculations.) 2. Calculate the dollar sales needed to attain a target profit of $10,000. (Round your intermediate calculations to the nearest whole number.)

Megan Corp. recognizes revenue over time to account for long-term contracts. At the date the contract is signed, the price is $600,000 and the expected costs to complete the contract are $400,000. The following information is available:
Year 1 Year 2 Year 3 Costs incurred to date $200,000 $350,000 $500,000 Estimated costs to complete 200,000 150,000 0 Progress billings 200,000 200,000 200.000
What is the amount of gross profit or loss that is recognized in year 2?
a. $30,000 loss
b. $40,000 gross profit
c. $150,000 loss
d. $200,000 gross profit

monthly deposits are made into an account paying ​% nominal interest compounded monthly. If the objective of these deposits is to accumulate ​$ by the end of the ​year, what is the amount of each​ deposit?

Both corrective taxes and tradable pollution permits reduce the cost of environmental protection and thus should increase the public's demand for a clean environment. b. Both corrective taxes and tradable pollution permits provide market-based incentives for firms to reduce pollution. c. Tradable pollution permits have an advantage over corrective taxes if the government is uncertain as to the optimal size of the tax necessary to reduce pollution to a specific level. d. Corrective taxes set the maximum quantity of pollution, whereas tradable pollution permits fix the price of pollution.

The ledger of Shamrock, Inc. on March 31, 2017, includes the following selected accounts before adjusting entries.

Debit Credit
Supplies 2,610
Prepaid Insurance 2,480
Equipment 22,500
Unearned Service Revenue 12,000

An analysis of the accounts shows the following.

1. Insurance expires at the rate of $310 per month.
2. Supplies on hand total $960.
3. The equipment depreciates $150 per month.
4. During March, services were performed for two-fifths of the unearned service revenue.

Required:
Prepare the adjusting entries for the month of March.

Ethelbert is a young software company owned by two entrepreneurs. It currently needs to raise $1,254,400 to support its expansion plans. A venture capitalist is prepared to provide the cash in return for a 40% holding in the company. Under the plans for the investment, the VC will hold 19,600 shares in the company and the two entrepreneurs will have combined holdings of 29,400 shares.
a. What is the total after-the-money valuation of the firm?
b. What value is the venture capitalist placing on each share?

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You are sitting next to a person in business class on a flight from Los Angeles to Sydney, Australia. You mention to that person that you got your ticket two months ago for only $12,500. The person responds that she bought her ticket two days ago for $7,800. This sometimes happens because airlines often use an approach called:

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A) collaboration
B) competition
C) accommodation
D) avoidance
E) withdrawal

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b. The rate found in the debt contract that determines the amount of the interest payment.
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e. A type of liability which requires the issuing entity to pay the face value to the holder on the maturity date and to pay interest periodically at a specified rate.
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g. Term referring to the date that a bondâs principal has to be repaid.

1. Bond.
2. Contract, coupon, stated rate.
3. Discount.
4. Face value, par value, principal.
5. Market rate, yield.
6. Maturity.
7. Premium.

In preparation for developing its statement of cash flows for the year ended December 31, 2018, Millennium Solutions, Inc. collected the following information:

Payment for the early extinguishment of long-term notes (book value: $100 million) $108.1
Sale of common shares 352.1
Retirement of common shares 244.1
Loss on sale of equipment 4.1
Proceeds from sale of equipment 16.1
Issuance of short-term note payable for cash 20.1
Acquisition of building for cash 14.1
Purchase of marketable securities (not a cash equivalent) 10.1
Purchase of marketable securities (considered a cash equivalent) 2.1
Cash payment for 3-year insurance policy 6.1
Collection of note receivable with interest (principal amount, $22) 26.1
Declaration of cash dividends 66.1
Distribution of cash dividends declared in 2020 60.1

Required:
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Collections from Customers
Credit Sales January February March
January
February
March

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Cost Element Standard (per unit) Actual
Direct materials 8 yards at $4.40 per yard $375,575 for 90,500 yards
($4.15 per yard)
Direct labor 1.2 hours at $13.40 per hour $200,925 for 14,250 hours
($14.10 per hour)
Overhead 1.2 hours at $6.10 per hour $49,000 fixed overhead $37,000 variable
overhead (fixed $3.50; variable $2.60)
Overhead is applied on the basis of direct labor hours. At normal capacity, budgeted fixed overhead costs were $49,000, and budgeted variable overhead was $36,400
Compute the total, price, and quantity variances for (1) materials and (2) labor. (Round answers to 0 decimal places, e.g. 125.)

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Requied:
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The process for converting present values into future values is called________________.

The discount rate is the interest rate banks charge their best customers. the interest rate banks charge each other for overnight loans. the interest rate the U.S. Treasury pays on Treasury Bills. the interest rate the Fed charges to banks for loans from the Fed.

Describe the key stages in integrating total quality management into the strategy of an international petrochemical company

Crossfade Corp. has a bond with a par value of $2,000 that sells for $1,956.84. The bond has a coupon rate of 6.84 percent and matures in 24 years. If the bond makes semiannual coupon payments, what is the YTM of the bond

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