Business, 22.07.2020 03:01 rconyers00

The market price of calzones in a college town increased recently, and the students in an economics class are debating the cause of the price increase. Some students suggest that the price increased because the price of dough, an important ingredient for making calzones, has increased. Other students attribute the increase in the price of calzones to a recent decrease in the price of beer. Everyone agrees that the decrease in the price of beer was caused by a recent decrease in the price of hops, which are not generally used in making calzones.
The first group of students thinks the increase in the price of calzones is due to the fact that the price of dough, an important ingredient for making calzones, has increased.
On the following graph, adjust the supply and demand curves to illustrate the first group’s explanation for the increase in the price of calzones.
DemandSupplyPRICE (Dollars per calzone)QUANTITY (Calzones)Demand Supply
The second group of students attributes the increase in the price of calzones to the decrease in the price of beer.
On the following graph, adjust the supply and demand curves to illustrate the second group's explanation for the increase in the price of calzones.
DemandSupplyPRICE (Dollars per calzone)QUANTITY (Calzones)Demand Supply
Suppose that both of the events you have just analyzed are partly responsible for the increase in the price of calzones. Based on your analysis of the explanations offered by the two groups of students, how would you figure out which of the possible causes was the dominant cause of the increase in the price of calzones?
Whichever change occurred first must have been the primary cause of the change in the price of calzones.
If the equilibrium quantity of calzones decreases, then the supply shift in the market for calzones must have been larger than the demand shift.
If the equilibrium quantity of calzones decreases, then the demand shift in the market for calzones must have been larger than the supply shift.
If the price increase was small, then the supply shift in the market for calzones must have been larger than the demand shift.

Answers: 3

Show answers

Another question on Business

Business, 22.06.2019 06:30

If a team of three workers, each making the u.s. federal minimum wage, produced these 12 rugs, what would the total labor cost be? don't forget that these workers would be working overtime.

Answers: 3

Answer

Business, 22.06.2019 15:20

Martinez company has the following two temporary differences between its income tax expense and income taxes payable. 2017 2018 2019 pretax financial income $873,000 $866,000 $947,000 (2017' 2018, 2019) excess depreciation expense on tax return (29,400 ) (39,000 ) (9,600 ) (2017' 2018, 2019) excess warranty expense in financial income 20,000 9,900 8,300 (2017' 2018, 2019) taxable income $863,600 $836,900 $945,700(2017' 2018, 2019) the income tax rate for all years is 40%. instructions: a. prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2017, 2018, and 2019. b. assuming there were no temporary differences prior to 2016, indicate how deferred taxes will be reported on the 2016 balance sheet. button's warranty is for 12 months. c. prepare the income tax expense section of the income statement for 2017, beginning with the line, "pretax financial income."

Answers: 3

Answer

Business, 22.06.2019 20:00

Describe a real or made-up but possible example of a situation where an employee faces a conflict of interest. explain at least two things the company could do to make sure the employee won't be tempted into unethical behavior by that conflict of interest. (3.0 points)

Answers: 3

Answer

Business, 22.06.2019 21:00

On july 2, year 4, wynn, inc., purchased as a short-term investment a $1 million face-value kean co. 8% bond for $910,000 plus accrued interest to yield 10%. the bonds mature on january 1, year 11, and pay interest annually on january 1. on december 31, year 4, the bonds had a fair value of $945,000. on february 13, year 5, wynn sold the bonds for $920,000. in its december 31, year 4, balance sheet, what amount should wynn report for the bond if it is classified as an available-for-sale security?

Answers: 3

Answer

You know the right answer?

The market price of calzones in a college town increased recently, and the students in an economics...

Questions