Answer:
William S. Paley
Explanation:
Paley bought Columbia Phonograph Company in 1929, and changed its name to Columbia Broadcasting System (later CBS Inc.). Initially CBS had 25 radio networks in the air and it entered the television network business in 1941. Eventually CBS became one of the largest American broadcast television networks.
Which stage of team development is marked by conflicts over the team's mission and the roles of team members?
a. norming stage
b. forming stage
c. performing stage
d. storming stage
Answer: option D
Explanation: Storming stage is really the toughest and perhaps most important phase to reach. When different personalities develop, it is a time characterized by tension and rivalry.
Throughout this point, team's performance might actually reduce as power is put in to the nonproductive operations. Representatives might well disagree with team objectives and it may form categories and subcultures all over big personalities or regions of contract.
Participants have to struggle to overcome barriers, accept differences between individuals, and work on squad functions and objectives via contradictory ideas to get over this level. At this point, teams may get embroiled. Lengthy-term issues may lead from inability to address disputes.
Answer:
C. performing stage
Explanation:
From the Farm Fruits, a company that produces and distributes organic fruits for grocery stores, wants to market its fruits in such a way that children will beg their parents to buy them. To accomplish this, the company creates an advertising campaign that features children riding the company's mascot, an oversized fruit fly, around a farm and enjoying juicy and delicious fruit. The company also features its mascot and colorful designs on its packaging to attract children's attention in the grocery store. Which marketing function does this scenario most closely described?
Answer:
Selling Marketing Function
Explanation:
The selling role includes identifying consumer needs and wants and reacting through anticipated, customized communication that affects buying decisions and improves market opportunities in the future.
This is the purpose of delivering the services they want to actually provide to customers.
The unemployment rate that is consistent with full employment is known as ___________.
Answer:
Natural rate of unemployment.
Explanation:
Unemployment rate is one the major economic indicators used to measure the performance of an economy. Unemployment describes the situation where persons who are willing, ready and able to work cannot find one. To track the number of persons in this category , economists compute the unemployment rate.
There are three types of unemployment.
1. Frictional unemployment: The length of time for which people remain out of jobs as they transit from one job to another. In other words, landing a job is not instantaneous; it takes time.
2. Structural unemployment: this occurs when there are changes in the methods and processes by which goods and services are produced. Here, people remain out of jobs because there is now a mismatch between the skills they possess and that required by employers due to changes in the economy.
For example, the adoption of technology to automate production would mean some factory workers losing their jobs.
3. Cyclical unemployment: This associated with movements of the real output( real GDP) around the long run full employment level. This fluctuation is referred to as business cycle- either a boom or a recession
Where people are without jobs due to recession(negative output growth), it is called cyclical unemployment.
Natural rate of unemployment is the sum of the frictional and structural. It is the unemployment rate where an economy is achieving the full employment output. The full employment level of output is the amount of real GDP achieved where an economy is operating using all of its productive resources efficiently
Actual rate of unemployment represents the amount of unemployed people at particular point in time. it is determined by dividing the number of people unemployed by the labour force.
Relationship between Natural rate and Actual rate of unemployment.
Where an economy is operating at the full employment level of output the actual rate of unemployment is equal to the natural rate. However, during recession the actual rate is higher than the natural rate, but less that the natural rate during a boom. Cyclical unemployment increases the actual unemployment rate above the natural rate during recession.
It is important to note that there will be some amount of unemployment rate even if the economy is operating at the efficient level- i.e the full employment output.
The unemployment rate that is consistent with full employment is known as natural rate of unemployment
Tool Manufacturing purchased inventory for $5,300 and also paid a $260 freight bill. Tool Manufacturing returned 45% of the goods to the seller and later took a 2% purchase discount. Assume Tool Manufacturing uses a perpetual inventory system. What is Tool Manufacturing's final cost of the inventory that it kept? (Round your answer to the nearest whole number.)
Answer:
$ 3,116.7 final cost of the inventory
Explanation:
asset enter the accounting as the sum of all incurred cost which were necessary to obtain it. In this case we got:
5,300 invoice cost
- 2,385 return goods
2,915 nominal after return, subject to discount of 2%
- 58.3 discount granted of 2%
2,856.7 final amount to supplier
260 for fregith fees
3,116.7 final cost of the inventory
Why are capital appreciation bonds (CABs) a controversial way for local governments to finance projects?
Answer:
See explanation section
Explanation:
Municipal security from which an investor will receive a return on investment from an initial principal is called a capital appreciation bond. However, in this security, the return on investment will be reinvested further until the security matures at a specific rate. The primary purpose of the CABs is to permit the local authority to generate revenue. Due to the financing in the innovative project without increasing the tax is one of the controversial ways for local governments to finance projects. Another controversial way is to owe investors more than what they acquired.
Sonny Skies is in his late fifties and loves his work as a pilot for a major airline. He wants to continue working for many more years. The Age Discrimination in Employment Act provides Sonny with the right to keep his job as long as his company is financially sound and he does not commit a felony.
Answer:
False
Explanation:
The Age Discrimination in Employment Act of 1967 (ADEA) was enacted to protect employees or applicants of over 40 years of age, but certain limitations apply. For some jobs age is a bona fide occupational qualification due to intensive physical labor, and that includes pilots. Pilots are required by law to be physically and mentally fit to perform their jobs due to safety issues.
Lucky Louie just inherited $50,000 from his great aunt, has $1,500 in his checking account, owns a car with a value of $8,000, and has $20,000 in his 401(k) at work. Louie owes $6,000 on his car, $12,000 on school loans and $3,000 on his credit card. What is Louie's net worth?
Answer:
$58,500
Explanation:
Net worth is the difference between total assets and total liabilities.
I.e network = Asset - Liabilities
For Louie: Assets
Inheritance $ 50,000.00
Checking account $ 1 ,500.00
Car $ 8,000.00
403 (k) $ 20,000.00
Total $ 79,500.00
Liabilities
Car loan $ 6,000.00
School fee loan $ 12,000.00
credit card $ 3, 0000.00
Total $21, 000.00
Net worth = $ 79,500- $21,000
=$58,500
Shondra McDonald, a marketing manager at a hearing aid manufacturing firm, is asked to review the marketing opportunities of her company in a foreign market. She is aware that she can modify certain elements of the marketing environment to suit the foreign market needs. She focuses her attention on the uncontrollable factors that might affect the firm’s business prospects. Which uncontrollable element is most likely to affect the company’s business prospects in the foreign market?
Answer: Government policy
Explanation:
A firm operation in a foreign market is usually affected by uncontrollable factors in the foreign market but the most likely to affect the firm is the goverments policy on foreign firm.
A government might vary it's duties on foreign firm or it's products or a total ban on the firm operation in the foreign market.
There are others like natural disasters but the company can get information on such based on precedence of such occurrence in the foreign country or as regards forecast on such.
If Farmer Sam MacDonald can produce 200 pounds of cabbages and 0 pounds of potatoes or 0 pounds of cabbages and 100 pounds of potatoes and faces a linear production possibility frontier for his farm, the opportunity cost of producing an additional pound of potatoes is ________ pound(s) of cabbage.Choose one answer.a. 1/2b. 2c. 100d. 200
Answer:
B) 2
Explanation:
Since Sam MacDonald's faces a linear production possibility frontier and can produce 200 pounds of cabbages or 100 pounds of potatoes, then he can produce 2 pounds of cabbage for every pound of potato produced (= 200 pounds / 100 pounds).
For example, if he needed to produce 10 pounds of potatoes, then his opportunity cost would be 20 pounds of cabbages.
Which of the following is a correct explanation for why the aggregate demand curve slopes downward? A. As the price level decreasesdecreases, consumers substitute moremore expensive goods for lessless expensive choices. B. As the price level decreasesdecreases, the labor force increasesincreases. C. As the price level decreasesdecreases, the real value of cash balances increasesincreases, and total expenditures riserise. D. As the price level decreasesdecreases, exports become moremore expensive overseas and imports become relatively lessless expensive domestically, and thus net exports riserise.
Answer:
C. As the price level decreasesdecreases, the real value of cash balances increasesincreases, and total expenditures riserise.
Explanation:
The aggregate demand curve is a curve that shows all the output demanded at different price levels in an economy.
The aggregate demand curve in downward sloping. This is according to the law of demand which says, the higher the price, the lower the quantity demanded and the lower the price, the higher the quantity demanded.
Therefore, when prices fall, the real value of cash balances increases, total expenditures rises and quantity demanded rises.
When prices fall, export increases and net export rises.
I hope my answer helps you
The explanation for why the aggregate demand curve slopes downward is that C. As the price level decreases, the real value of cash balances increases, and total expenditures rise.
What can causes demand curve to slopes downward?When the price of commodity increases, its demand decreases when other factor remain the same, hence the demand curve is downward sloping from left to right.
Therefore, option C is correct.
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One reason there is a need for integrated marketing communications is that __________.
A. communication channels today are less fragmented than in the past.
B. messages from companies come from a single source.
C. consumers don't distinguish between content sources the way marketers do.
D. companies often integrate their various communication channels.
E. consumers today distinguish brand-related content from different sources
One reason there is a need for integrated marketing communications is that consumers don't distinguish between content sources the way marketers do.
Explanation:
Integrated messaging in marketing is a simple concept. This guarantees the diligent relation of all forms of communication and communications. Integrated marketing communications, or IMC, as we will term it, at its fundamental level, involves combining all promotional instruments in a harmonious fashion.
For example, an IMC is used to convey campaign messages through various channels. This increases the efficiency of activities used to turn foreigners into prospects and customers.
The need for integrated marketing communications arises because consumers don't distinguish between different content sources like marketers do. Therefore, companies need to ensure their communication across various channels is consistent and provides a unified message.
Explanation:One reason there is a need for integrated marketing communications is that consumers do not distinguish between content sources the way marketers do. In today's inundated marketing landscape, consumers are exposed to messages from multiple channels and often do not differentiate between them. Therefore, it is important for companies to ensure consistency and synergy in their communications across different channels. This is what integrated marketing communications aim to achieve. It allows companies to deliver a unified and seamless message that helps build a coherent brand image and thus, enhances the brand's overall credibility and value to consumers.
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Your employer has given you the task of increasing overall production within your department using the same number of permanent employees but no additional hours to complete the work. Which of the following is a possible solution?
1. Cutting vacation and sick time
2. Eliminating breaks and lunches
3. Incentivizing your employees to work harder
4. Turning a blind eye while employees work overtime
Answer:
3. Incentivizing your employees to work harder
Explanation:
Increasing production is the same as increasing productivity. This measures the ratio of output to input. It can improve by increasing outputs while keeping inputs constant or by reducing inputs while keeping outputs constant. The former applies to this case as the employees provide labour input which is constant but with an aim to increase production. You will therefore choose an option that would result in more output; that is incentivizing your employees to work harder.
To increase production with the same workforce, incentivizing employees to work harder by offering rewards or bonuses can improve morale, job satisfaction and productivity without needing extra manpower or hours.
Explanation:The task is to increase production with the same workforce and hours, so an effective way could be to incentivizing your employees to work harder. Options such as cutting vacation and sick time, eliminating breaks and lunches, or having employees work overtime without acknowledging it all lead to potential worker burnout and unethical practices. However, incentivizing workers can involve offering performance bonuses, public recognition, career advancement opportunities, or even non-monetary rewards for meeting or exceeding certain performance metrics or achieving specific goals. This can help boost morale, improve job satisfaction, and increase productivity without needing additional manpower or hours.
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In 2008, the NBC television network used advertising, personal selling, public relations, and sales promotion to communicate with its target audience about its new show My Own Worst Enemy. The television network's _____ described its plan on how to use these tools most effectively.
a. mass communication mix
b. promotional strategy
c. selling plan
d. marketing mix
e. strategic goal
Answer: (B) Promotional strategy
Explanation:
The promotional strategy is one of the type of marketing strategy in which the various types of products and the services are get promoted by the various types of techniques such as public relation, advertising, sales promotion and the social media.
The promotional strategy provides various types of benefits as it increase the productivity of the products and the services in the market.
There are usually four types of promotional strategy that are:
AdvertisingPersonal selling Publicity Sales promotionTherefore, Option (B) is correct.
Suppose that the cross price elasticity of demand between good X and good Y is minus−1.55. This indicates that the two goods are
Answer:
Complementary goods
Explanation:
Cross price elasticity of demand between two goods, X and Y
= [tex]\frac{Percentage Change in Demand of X}{Percentage Change in Price of Y}[/tex]
For the cross price elasticity to be negative at -1.55, it means
the higher the price of Y (which will naturally translate to a lower demand for Y), the less the quantity of X that is demanded, andthe lower the price of Y (translating to a higher demand for Y), the less the quantity of X that is demanded.Thus, demand for both X and Y move in the same direction meaning they are complementary goods and are used together.
Tim's contract with Surin Insurance states that he can use their logo on his business cards; this is what type authority?
Select one:
a. Express
b. Implied
c. Apparent
d. Conditional
Answer: Implied authority.
Explanation:
Tim has been given Implied authority by Surin insurance to carryout transactions on their behalf.
An implied authority is a legal empowerment given by an organization to a individual, that enables the individual to transact business on behalf of the organization.
The following information has been taken from the ledger accounts of Kingbird Corporation. Total income since incorporation$326,000 Total cash dividends paid61,000 Total value of stock dividends distributed30,000 Gains on treasury stock transactions18,000 Unamortized discount on bonds payable33,000 Determine the current balance of retained earnings.
Answer:
$235,000
Explanation:
The computation of the current balance of retained earnings is shown below:
= Total income since incorporation - Total cash dividends paid - Total value of stock dividends distributed
= $326,000 - $61,000 - $30,000
= $235,000
As we know that
The ending balance of retained earning = Beginning balance of retained earnings + net income - dividend paid
We applied the same.
What is fundamentally incorrect with the hypothesis: "Salespeople are more likely to be successful when dealing with prospects who are similar to themselves in demographic characteristics, personality traits and attitudes than when their prospects have characteristics different from their own."?
Answer:
There is no research that supports the similarity hypothesis.
Explanation:
Imagine the opposite, that this hypothesis is true, then you would only purchase goods or services from a salesperson that is extremely similar to you. Think about the things that you have purchased lately (don't include internet purchases). Did the salesperson that sold them to you was similar to you, or did you buy the goods because the salesperson was similar to you? Unless you live in a very small town with little diversity, I doubt the answer would be yes.
That doesn't mean that having a salesperson similar to you is not useful. On some occasions, for example military recruiters (they sell the idea of joining the army), the salespeople need to be similar to the potential customers, e.g. high patriotism, like weapons, etc. But it doesn't apply to all the situations, it is more an exception than a rule.
Which of the following is true concerning incentive pay?
1.The award is earned only when the predetermined work objective is totally completed.
2. It motivates employees to be more productive, but does little to control payroll costs.
3. Awards are granted as one-time payments. Incentive levels are generally subjective in nature.
The answer is:
1. The award is earned only when the predetermined work objective is totally completed.
Hope this helps. XD
Which of the following would constitute contractionary monetary policy by the Fed?
a. Open market sales of government securities, an increase in the discount rate, and an increase in reserve requirements
b. An increase in income tax rates, a cut in government spending, and an elimination of the investment tax credit
c. Open market purchases of government securities, a cut in the discount rate, and an increase in reserve requirements
d. An increase in tariffs on imported goods and a decrease in foreign aid
Answer:
b. An increase in income tax rates, a cut in government spending, and an elimination of the investment tax credit
Explanation:
Contractuary fiscal policy is a form of financial policy that involves raising taxes, reducing government spending (expenditures),or fighting inflationary pressures. It will work when the inflationary gap happens on eh economy.
With the increase in taxes, households have less disposable income to spend. Low waste reduces consumption. Increasing taxes reduces the income that businesses can earn and reduces their investment costs. Consumption and private investment are part of Gross Domestic Product (GDP). However, this decline is enhanced by the multiplier effect.
Decreasing public expenditure is part of GDP directly reducing GDP (ie GDP = consumption + private investment + public spending + net exports). However, such a decline worsens as a result of consumption and other indirect components of GDP.
Moorland Industries owns 20,000 of the 50,000 outstanding shares of Paragon Resources’ common stock. Paragon had net income of $1 million and paid cash dividends of $800,000 in 2020.
If Moorland had a beginning balance of $625,000 in their investment account in 2020, their ending balance on December 31, 2020 should be ______.
Answer:
$945,000
Explanation:
20,000 of 50,000 outstanding shares in paragon means that Moorland Industries is entitled to 40% or 20/50 of the declared dividend of Paragon.
Here, 40% of $800,000 is $320,000.
If the balance in the investment account at the beginning of the period was $625,000, the ending balance shall be $625,000 + $320,000.
Final answer:
To calculate Moorland Industries' ending investment balance, we factor in their share of net income and dividends from Paragon Resources, resulting in an ending balance of $705,000.
Explanation:
To calculate the ending balance of Moorland Industries' investment in Paragon Resources, we need to consider the beginning balance, the share of Paragon’s net income attributable to Moorland, and the dividends received by Moorland from Paragon.
Moorland's share of Paragon's net income: $1,000,000 * (20,000/50,000) = $400,000
Dividends received by Moorland: $800,000 * (20,000/50,000) = $320,000
Ending balance: $625,000 (beginning balance) + $400,000 (share of net income) - $320,000 (dividends received) = $705,000
The ending balance on December 31, 2020, should be $705,000.
Susan, a U.S. citizen, builds and operates a kennel in France. This action is an example of a. U.S. foreign portfolio investment and U.S. domestic investment. b. investment for Susan and U.S. foreign portfolio investment. c. U.S. foreign direct investment and U.S. domestic investment. d. investment for Susan and U.S. foreign direct investment.
Answer:
D
Explanation:
This is Susan's investment as well as US foreign direct investment
Foreign direct investment is basically an international investment in which the the individual investing which is Susan builds a lasting enterprise in another country. It normally tmeans individuals are buying or constructing a factory in a foreign country or adding improvements to such a facility, in the form of property, plants, or equipment.
b. Investment for Susan and U.S. foreign portfolio investment
Explanation:
Investment for Susan because it was built and operated by her. It is foreign portfolio investment because FPI is the entry of funds into a country where foreigners deposit money in a country's bank or make purchases in the country's stock and bond markets, sometimes for speculation
It is not Foreign Direct Investment (FDI) because is an investment in the form of a controlling ownership in a business in one country by an entity based in another country. It was not stated in the question that she based in US.
During the Depression the U.S, Congress passed real advertising reform, including law against "deceptive acts of commerce." The result was
Answer:
legal injunctions set by courts prohibiting advertisers to continue to make false claims.
Explanation:
Before the Great Depression, advertising was highly respected and the general public trusted them a lot, but after the Great Depression the general public started to distrust advertising since they find out that many advertisers used false claims.
Sales & Revenue, Inc., discovers that defamatory statements about its policies and products are being posted in an online forum. TransWeb Inc., the Internet service provider whose users are posting the messages, refuses to disclose the identity of the person or persons responsible. Sales & Revenue files a suit against the anonymous users. The plaintiff can obtain from TransWeb the identity of the persons responsible for the defamatory messages by______.
Answer:
using the authority of a court, i.e. a court order.
Explanation:
Anyone has the right to say whatever they want on the internet, either publicly or anonymously. But no one has the right to make false statements about other people than can hurt them or damage the business reputation of a company.
Sales & Revenue can bring a civil defamation action seeking monetary damages to those who published false and defamatory content.
Veronica, a vice president of human resources at an auto company, wants to develop its programs for employee empowerment. However, she is concerned because unions are heavily involved in representing auto workers and might object to empowerment programs. Which of the following statements about the National Labor Relations Board would best address Veronica's concern?
A) The NLRB makes it an unfair labor practice to form employee participation committees to make decisions.
B)In its rulings, the NLRB has shown clear support for employee involvement in decision making.
C) The NLRB has issued statements indicating that it will not tolerate employee empowerment.
D)The NLRB has issued rulings that say employee empowerment is allowed only in a nonunion environment.
E) In its rulings, the NLRB has allowed employee empowerment in certain very limited situations.
Answer:
B) In its rulings, the NLRB has allowed employee empowerment in certain very limited situations.
Explanation:
Employee empowerment refers to a company giving its employees a higher degree of autonomy and independence regarding their normal work related activities.
Personally I don't understand how employee empowerment can affect employees negatively but unions tend to oppose it unless they are directly involved in the empowerment process.
Which of the following was the result on appeal in Securities and Exchange Commission v. Texas Gulf Sulphur Co, the case in the textbook in which it was alleged that corporate employees possessed inside information involving the likelihood of a major mineral find precluding them from trading in their company's stock?
Answer: According to the case in the textbook, the result on appeal on in securities and exchange commission vs Texas Gulf sulphur co was that That the defendants could be held liable because they failed to reveal material information to the public.
Final answer:
The appeal in SEC v. Texas Gulf Sulphur Co. upheld the decision that employees with insider information couldn't trade their company's stock, reinforcing the need for disclosure and fair markets.
Explanation:
The result on appeal in Securities and Exchange Commission v. Texas Gulf Sulphur Co. was that the Second Circuit Court of Appeals upheld the decision that corporate employees who possessed insider information regarding a significant mineral discovery were prohibited from trading in their company's stock. The case established an important precedent in securities law, confirming that individuals with non-public information must abstain from trading or face legal consequences. This ruling is one of the landmark cases enforcing the importance of disclosure in the context of securities trading, underpinning the necessity for fair and informed markets.
Richard's job has a compa-ratio of 0.85. What does this ratio tell about Richard's pay rate?
A. It is highly competitive with the market.
B. It is not competitive with the market.
C. There is no way to judge its competitiveness.
D. You need more information to judge it.
Answer:
B. It is not competitive with the market.
Explanation:
If Richard's job has a compa-ratio of 0.85, then It is not competitive with the market.
In order to vote in Texas, you must meet which of the following requirements?
A. be a resident of Texas, a U.S. citizen, and at least 18 years of age
B. be a resident of Texas, a U.S. citizen, and at least 21 years of age
C. be a resident of Texas, a legal permanent resident of the U.S, and at least 18 years of age
Answer:
I think letter A is the right answer
In order to vote in Texas, an individual must be a resident of Texas, a U.S. citizen and at least 18 years of age.
Voting is a civic responsibility and contains requirements to be meant before a person can cast their vote.A United States citizen who must vote in Texas must first have resident of the Texas county in which application for registration is made.
The individual must at least 18 years old on Election Day and must not be convicted of a felony, or if convicted, must have fully discharged the sentence amidst other criterion.
Conclusively, periodic Voting is necessary to elect new leader of a country.
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Assume the indirect method is used to compute net cash flows from operating activities. For this item extracted from the financial statements—Interest Income (assume that cash received is equal to amount reported)—indicate the effect on net income in arriving at net cash flows from operating activities by choosing one of the following:
Add to net income to arrive at net cash flows from operating activities.
Subtract from net income to arrive at net cash flows from operating activities.
Not used to adjust net income to calculate net cash flows from operating activities.
Answer:
Explanation: Subtract from net income to arrive at net cash flows from operating activities.
Gretchen has just started as a fashion marketing intern for an up-and-coming design firm. She expected to begin right away implementing the four Ps she had learned about in class. Instead, she was asked to work on a project identifying important events where celebrities might wear the fashions. Gretchen soon realized that this activity was part of __________, directly related to marketing.
a. a push-pull strategy
b. press release development
c. cause-related marketing
d. sales promotions
e. public relations
Answer:
The correct answer is E
Explanation:
Public relations is the term which is defined as the practice of managing the information which is spread among an organization or public and an individual.
It may involve an individual or an organization gaining the exposure to the audiences using the public interest.
So, Gretchen begin to execute the 4 Ps but she asked to work on project which identifies the important events. Then she realized that this activity is part of public relations.
If the price of coffee increases by 50% and the quantity demanded falls by 10%, then what is the price elasticity of demand for coffee?
a) 5
b) 2
c) 20
d) 1/5
Answer:
1/5
Explanation:
The demand is the total quantity of goods and services that consumers are willing and ready to purchase at all possible prices.
The price of a product is one of the many factors that affect its demand. There exists an inverse relationship between the quantity demanded of a product and its price. The quantity demanded of product increases as the price falls and vice versa. So changes in the price will affect the quantity consumers will buy.
However, the extent to which a change in price of a product affects its quantity is the focus of price elasticity of demand. It measures the degree of responsiveness of quantity demand to a unit change in price.
It is calculated as % change in quantity demanded / % change in price.
So let us apply this formula to this question; the price elasticity of demand
= 10%/50%= 1/5
Final answer:
The price elasticity of demand for coffee is calculated by dividing the percentage change in quantity demanded by the percentage change in price, resulting in a price elasticity of -0.2 or 1/5, which is option d).
Explanation:
To calculate the price elasticity of demand for coffee, we use the formula percentage change in quantity demanded divided by the percentage change in price. The question states that the price of coffee increases by 50% and the quantity demanded falls by 10%. Therefore, the price elasticity of demand for coffee is -10% / 50% = -0.2. The negative sign indicates that the relationship between price and quantity demanded is inverse, as is typical for price elasticity of demand.
Given the options provided, the correct answer for the price elasticity of demand for coffee would be d) 1/5 or -0.2 when we ignore the negative sign, as absolute value is often considered in elasticity discussions.