Business, 13.02.2020 20:01 livimal77

Assume that due to unfavorable conditions in a prime honey-producing area, the price of honey increases by 50 percent. The quantity consumed of herbal tea declines immediately by 25 percent. Everything else held constant, the:
a. cross-price elasticity of demand for herbal tea and honey is negative, and therefore the two goods are substitutes.
b. cross-price elasticity of demand for herbal tea and honey is negative, and therefore the two goods are complements.
c. cross-price elasticity of demand for herbal tea and honey is positive, and therefore the two goods are substitutes.
d. cross-price elasticity of demand for herbal tea and honey is positive, and therefore the two goods are complements.
e. cross-price elasticity of demand cannot be determined from the information provided.

Answers: 2

Show answers

Other questions on the subject: Business

Business, 22.06.2019 10:50, hsjsjsjdjjd

Suppose that a firm is considering moving from a batch process to an assembly-line process to better meet evolving market needs. what concerns might the following functions have about this proposed process change: marketing, finance, human resources, accounting, and information systems?

Answers: 2

continue

Business, 22.06.2019 21:00, diablo871

Frost corporation incurred the following transactions during its first year of operations. (assume all transactions involve cash.) 1) acquired $1,900 of capital from the owners. 2) purchased $435 of direct raw materials. 3) used $290 of these direct raw materials in the production process. 4) paid production workers $490 cash. 5) paid $290 for manufacturing overhead (applied and actual overhead are the same). 6) started and completed 250 units of inventory. 7) sold 140 units at a price of $6 each. 8) paid $130 for selling and administrative expenses. the amount of raw material inventory on the balance sheet at the end of the accounting period would be:

Answers: 3

continue

Business, 22.06.2019 23:20, QueenNerdy889

You work as the sales manager for a company that sells office supplies to businesses of all sizes. because the profit margins are razor-thin, you need to ensure that you are getting the very best prices on paper, pencils, pens, post-it notes, and other office supplies from the manufacturers. when reviewing the quarterly profit statement, you realize that your costs are higher than they should be, and you trace the higher costs back to an employee who has been lax about getting competitive bids to ensure the lowest prices. when you conduct your research to determine the reason for the higher costs, and take action to bring those costs back down, in which of the key management processes are you taking part?

Answers: 3

continue

Business, 23.06.2019 01:00, F00Dislife

What are the benefits of different types of career education, like community colleges, vocational training programs, and four-year colleges?

Answers: 3

continue

You know the right answer?

Assume that due to unfavorable conditions in a prime honey-producing area, the price of honey increa...