a. To determine the incremental earnings from the purchase of the XC-750, we need to calculate the additional sales revenue and deduct the costs associated with the expansion.
Additional Sales Revenue: $10.20 million per year for 10 years = $102 million
Cost of Goods Sold (COGS): 68% of the sale price of the products produced by the XC-750
Incremental COGS: 68% * $10.20 million per year = $6.94 million per year
Incremental Earnings: Additional Sales Revenue - Incremental COGS = $102 million - $6.94 million = $95.06 million
b. To determine the free cash flow from the purchase of the XC-750, we need to consider the cash flows related to the expansion project.
Free Cash Flow (FCF): Incremental Earnings - Increase in Inventory - Additional Costs = $95.06 million - $1.09 million (increase in inventory) - $2.01 million (additional personnel costs) = $91.96 million
c. To compute the NPV of the purchase, we need to discount the cash flows at the appropriate cost of capital (9.6%) and consider the initial investment cost ($2.77 million).
NPV = -Initial Investment + Present Value of Cash Flows
NPV = -$2.77 million + (Present Value of $91.96 million cash flow over 10 years)
d. To calculate the NPV in the worst and best cases, we need to use the respective estimates for new sales.
Worst Case: NPV with $8.25 million new sales estimate
Best Case: NPV with $12.15 million new sales estimate
For both cases, we calculate the NPV using the same formula as in part (c).
e. The break-even level of new sales from the expansion can be determined by setting the NPV to zero and solving for the sales amount.
The breakeven level for the cost of goods sold can be calculated similarly by setting the NPV to zero and solving for the cost of goods sold.
f. To justify purchasing the larger XC-900 machine, we need to determine the level of additional sales in years 3 through 10 that would make the NPV of the XC-900 equal to or greater than the NPV of the XC-750.
By comparing the incremental earnings, cash flows, and NPV of the XC-750 and XC-900, the level of additional sales needed for the XC-900 can be determined.
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You
decide to buy 1 000 of two year CD (certificate of
deposit) University Credit Union offers 7 interest per year
Mercantile Bank says that you can get 1 180 after two years
Who offers a better deal?
You can compare the future value or the interest rate
Comparing the future values of both CDs, we see that Mercantile Bank CD offers a better deal as it has a future value of $2180, which is higher than University Credit Union CD's future value of $1149.16.
To compare the better deal between two-year CD (certificate of deposit) University Credit Union and Mercantile Bank that offers 7% interest per year, we need to compare their future values after two years.
The formula to calculate the future value of a CD with compounded interest is given by: FV = P × (1 + r/n)\(x^{2}\)(n*t)
Where, FV is the future value of the CD,
P is the principal amount invested,
r is the annual interest rate in decimal,
n is the number of times the interest is compounded in a year,
t is the number of years of investment in this case, we have invested $1000 in both University Credit Union and Mercantile Bank CDs, and both have a two-year investment term. So, t = 2 years.
Calculating the future value of University Credit Union CD: FV = P × (1 + r/n)\(x^{2}\)(n*t)FV = 1000 × (1 + 0.07/1)\(x^{2}\)(1*2)FV = $1149.16
Calculating the future value of Mercantile Bank CD: FV = P × (1 + r/n)^(n*t)FV = 1000 + 1180 = $2180
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stock owned by an individual would be classified as what type of property
Stock owned by an individual would be classified as personal property.
Personal property refers to assets that are movable and owned by an individual. It includes items such as furniture, vehicles, jewelry, and financial instruments like stocks, bonds, and mutual funds. Stock ownership represents an individual's ownership stake in a company and is considered a form of personal property. Unlike real property, which refers to land and buildings, personal property can be easily transferred, sold, or disposed of. Stocks, being intangible assets, are held in electronic or paper form and represent ownership rights and entitlements to the individual shareholder. The classification of stock as personal property allows individuals to buy, sell, and manage their investment portfolios in accordance with applicable laws and regulations.
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What is moral muteness? Why do you think an advertising professional might experience this phenomenon?
Answer: See explanation
Explanation:
Moral muteness occurs when as individuals in the society, we choose not to speak up when we witness an unethical behavior by someone. Even though such issues don't go along with the moral beliefs of the person who witnessed it, he or she decides not to speak against it.
An advertising professional might experience this phenomenon because of the fear of the fear of the fact that speaking up might affect his or her chance of selling the product to the person with the unethical behavior and also due to fear of losing ones job.
(look at the graph)
a) if the terms of trade are 4 chips for 1 pretzel, would trade be advantageous for Luxland? explain.
b) if the terms of trade are 4 chips for 1 pretzel, would trade be advantageous for Leanderland? explain.
Answer:
a) if the terms of trade are 4 chips for 1 pretzel, would trade be advantageous for Luxland? explain.
Yes, it is advantageous for Luxland. On its own, Luxland can only produce 1 chip for 1 pretzel, but with trade, 1 pretzel would now be equivalent to 4 chips, representing a net gain of 3 chips.
b) if the terms of trade are 4 chips for 1 pretzel, would trade be advantageous for Leanderland? explain.
No, trade would not be advantageous. We can see than domestically, Leanderland can produce 2 pretzels for every chip, because the graph shows that 4 chips are equivalent to 8 pretzels for this nation.
For trade to be advantageous, Leanderland should obtain at least 9 pretzels for the 4 chips.
A) The terms of trade will be advantageous for Luxland because, according to the graph, it can produce only one chip for Pretzel.
However, If it decides to trade, it would accrue a gain of 3 additional chips under the 4 chips to 1 Preztel arrangement.
B) Already, Leanderland gets 1 chip for 4 pretzels. Therefore, it will be disadvantageous for it to accept 4 chips for 1 pretzel trade arrangement. The above question seeks to highlight the comparative advantages of Leanderland and Luxland.
What is Comparative Advantage?When an economy or country has the ability to manufacture a good or service at a lower opportunity cost than its trading partners, it is said to have a comparative advantage. In the graph above, Luxland has a comparative advantage with the production of Chips.
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what do i say to "tell me about yourself" in a job interview
(20 pts)
Answer:
1- Mention past experiences and proven successes as they relate to the position. ...
2- Consider how your current job relates to the job you're applying for. ...
3- Focus on strengths and abilities that you can support with examples. ...
4- Highlight your personality to break the ice.
Explanation:
refers to the extent to which processing activity is devoted to a particular stimulus. question 5 options: a) sensory marketing b) an embed c) attention d) subliminal perception
Subliminal perception refers to the extent to which processing activity is devoted to a particular stimulus.
Hence, Option D is correct
Subliminal perception is the perception of a series of stimulus which the person is not consciously aware of and gets under the influence involuntarily, in addition to the perception with the five sense organs .Subliminal stimuli are any sensory stimuli below an individual's threshold for conscious perception, in contrast to supraliminal stimuli. According to a 2012 review of studies using functional magnetic resonance imaging, participants are unaware when subliminal stimuli cause certain brain regions to become active.Advertising uses subliminal messages to entice consumers on a subconscious level. Customers can form brief but effective associations between a brand and the intended meaning thanks to the varied colors, shapes, and words used in these advertisements. Be subtle, in other words. Additionally, ads have a long history of being subtly wordedTo know more about subliminal reception here
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Nowlin Pipe & Steel has projected sales of 9,800 pipes this year, an ordering cost of $6 per order, and carrying costs of $1.50 per pipe.
Answer: See explanation
Explanation:
Here is the complete question:
Nowlin Pipe & Steel has projected sales of 9,800 pipes this year, an ordering cost of $6 per order, and carrying costs of $1.50 per pipe.
a. What is the economic ordering quantity?
b. How many orders will be placed during the year?
c. What will the average inventory be?
a. Annual Demand = 9800 pipes
Cost per order = $6
Carrying cost per unit = $1.5
EOQ = ✓[(2 x Annual demand x cost per order)/carrying cost per order]
= ✓2 × 9800 × 6/1.5
= ✓78400
= 280 units
b. Number of orders orders placed would be:
= 9800/280
= 25 orders
c. Average inventory would be calculated as:
= 280/2
= 140 units
What is the act of gathering information relative to a company's action and the factors that affect the space in which the company operates?
it is the responsibility of the project manager to make sure all contractual items have been delivered, that all items are closed out, and that final payment has been made to the contractor.
Yes, this is correct. It is the responsibility of the project manager to ensure that all contractual items have been delivered, all project tasks and deliverables are completed and closed out, and that final payment has been made to the contractor.
The project manager plays a crucial role in overseeing the project's execution, monitoring progress, managing resources, and ensuring that all contractual obligations are fulfilled.
This includes verifying that all project requirements and specifications have been met, resolving any outstanding issues or disputes, and facilitating the final payment process to close out the project successfully.
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The federal reserve can affect you through
As the Federal Reserve conducts monetary policy, it influences employment and inflation primarily through using its policy tools to influence the availability and cost of credit in the economy.
c. d. rom has just given an insurance company $38,500. in return, he will receive an annuity of $5,000 for 20 years. at what rate of return must the insurance company invest this $38,500 in order to make the annual payments?
The rate of return needed by the insurance company to make the annual payments of $5,000 to c.d. rom for 20 years on a $38,500 investment is approximately 6.1%.
To find the rate of return, we can use the formula for the present value of an annuity:
PV = A*(1 - (1+r)⁻ⁿ)/r
Where PV is the present value of the annuity, A is the annual payment, r is the interest rate, and n is the number of periods.
Substituting the given values, we get:
38,500 = 5,000*(1 - (1+r)⁻²⁰)/r
Solving for r using a financial calculator or spreadsheet, we get r ≈ 6.1%.
This means that the insurance company needs to invest the $38,500 at a rate of at least 6.1% in order to generate the necessary funds to make the annual payments of $5,000 to c.d. rom for 20 years.\
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True or False: Generally, companies with higher EPS growth rates tend to have higher Price to Earnings ratios. Group of answer choices True False
Answer:
true
Explanation:
What is a trend in business
What is the advantage of having only one inbox? a. You can take it with you wherever you go b. You never have to wonder if you are forgetting something c. You can leave items there for reference d. It can monopolize your desk space more easily please select the best answer from the choices provided a b c d.
The advantage of having only one inbox is: You never have to wonder if you are forgetting something.
Hence, Option B is correct
An email program's inbox can be defined as a repository where incoming messages are stored.It may provide several inboxes into which new communications are filtered after being examined for content.Outgoing messages are kept in a box called a "outbox."In the left-hand menu, you may access all of your inboxes and labels. It has chances for emails when the left-hand menu is concealed, and you can use the menu to access more choices. Navigate to Gm-ail on your computer to disable the left-hand menu.To know more about Inbox here
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This is a case study adopted from the book of Crispina R. Corpuz. "Reyes Department Store" Based on the review of the store, Nicole, the general manager concluded that one of the first things she has to attend involves developing the job description of her store supervisor. During her first few weeks on the job, Nicole found herself asking one of her supervisors, Jet, why was he violating what she knew to be part of the company policies and procedures. Jet’s only response was that he was not aware of that policy and was not aware it was part of his job. Nicole knew that a job description, along with a set of standards and procedures that specify what was to be done and how to do it, will go a long way toward alleviating the problem. Discuss the process that Nicole should follow to solve this problem.
In order to Nicole to solve this problem, she must reevaluate the job description and company policies and procedures, and then include certain specifications that will make employees more aware of their roles within the company.
Nicole is the general manager of the Reyes Department Store, so she acted correctly when she noticed inconsistent conduct by one of her supervisors and identified the problem.
She then realized that she should carry out a job description along with standards and procedures that specify what should be done and how to do it.
A job description is a document that specifies the responsibilities and activities of each organizational role.
Its objective is to adapt professionals to their work position according to their profile and optimize people management, creating greater standardization of processes and agility in decisions.
Therefore, job descriptions must always be monitored and revised so that new needs are included and so that employees can carry out their role effectively.
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Which of the following statements about strategic groups is false?
1. Two assumptions are made: (1) no two firms are totally different, (2) no two firms are exactly the same.
2. The forces in the "Five-Forces Model of Industry Competition" may be somewhat different for different strategic groups within the same "industry".
3. Strategic groups are helpful in thinking through the implications of each industry trend for the group as a whole.
4. Strategic groupings are of little help to a firm in assessing mobility barriers that protect a group from attacks by other groups.
5. Strategic groups help chart the future directions of firms' strategies.
In summary, strategic groupings are not only helpful in understanding industry trends and charting future directions but also in assessing mobility barriers that can protect or expose a group to attacks by other groups. They provide valuable insights into the competitive dynamics within an industry and enable firms to make informed strategic choices to enhance their competitive position.
Strategic groups play a crucial role in analyzing the competitive landscape of an industry and identifying patterns of similarities and differences among firms. While all the statements about strategic groups are generally true, statement number 4 is false.
Strategic groupings are, in fact, valuable in assessing mobility barriers that protect a group from attacks by other groups. Mobility barriers refer to the obstacles that prevent firms from moving easily between strategic groups within an industry. These barriers can include factors such as brand loyalty, economies of scale, unique capabilities, intellectual property rights, distribution networks, and regulatory restrictions.
By understanding the mobility barriers that exist within an industry, firms can assess the challenges and opportunities associated with entering or exiting specific strategic groups. For example, if a strategic group has strong barriers to entry, it may be difficult for new firms to enter and compete effectively. On the other hand, if a firm is part of a strategic group with weak barriers to entry, it may face increased competition from new entrants.
Moreover, analyzing mobility barriers can help firms identify potential sources of competitive advantage or disadvantage. It allows them to evaluate the attractiveness of different strategic groups and make informed decisions about resource allocation, differentiation strategies, competitive positioning, and potential collaborations or alliances.
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Determine the financial effect on the balance sheet and income statement for each of the following independent events using the Transaction Analysis Template. A. Paid $8,000 to supplier for purchases made on account. B. Received cash for services rendered during the current month, $6,000. C. Paid wages for the week, $1,800. D. Paid interest on a note payable, $400
Received cash for services rendered during current month, $6,000 is the financial effect on balance sheet and income statement for independent events using Transaction Analysis Template.
What is an income statement?An income statement is a financial report that shows a company's revenues and expenses over a specific period of time, usually a month, quarter or year. It is one of the core financial statements used by companies to measure their financial performance. The income statement shows the company's gross profit, operating expenses, net income, and other financial metrics that help stakeholders evaluate the company's financial health. The income statement is used by investors, analysts, and company management to assess the company's ability to generate profits, manage expenses, and grow over time. By analyzing the income statement, companies can make informed decisions about their financial strategies and take steps to improve their financial performance.
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In order for a check to be legal tender it must be?
O Authorized
O Certified
Signed
O Processed
Answer:
certified signed
Explanation:
that signature come from police
Answer:
certified signed
Explanation:
The check only have power or in other words legit when only have the certification from the bank or the treasury.
An individual client purchased his residence 5 years ago for $200,000. For 3 of the last 5 years, the client rented out the property for income, and lived in the house of 2 of those years. The client sells the house for $500,000. How much of the gain is taxable
Chapter 6 focused on how to and the importance of establishing a sampling plan. As mentioned in the textbook: "A sampling plan is a description of the approach that is used to obtain samples from a population prior to any data collection activity.
Using the following case study, create a sampling marketing plan:
Orlando University wants to obtain reliable information about student perceptions of administrative communication. Describe how to design a sampling plan for this situation based on your knowledge of structure and organization of the college. Answer the following questions:
The objective of the sampling activity
The target population
The population frame (the list you think the sample will be selected)
The method of sampling
The operational procedures for collecting data
The statistical tools that will used to analyze the data
Orlando University can design a robust sampling plan that captures student perceptions of administrative communication accurately.
Define the target population: Determine the specific group of students from which you want to gather information. For example, you might focus on undergraduate students, graduate students, or students from specific departments or programs.
Determine the sample size: Decide on the number of students you want to include in your sample. The sample size should be large enough to provide meaningful results but manageable in terms of resources and time constraints.
Choose a sampling method: There are various sampling methods to consider, such as random sampling, stratified sampling, or cluster sampling. Select the most appropriate method based on the characteristics of the target population and the resources available.
Determine the sampling frame: Create a list or database of all the eligible students within the target population. This list will serve as the sampling frame from which you will draw your sample.
Consider stratification: If the target population can be divided into meaningful subgroups (e.g., by program or year), consider using stratified sampling to ensure representation from each subgroup. Determine the appropriate number of students to select from each stratum.
Determine the data collection method: Decide on the method for collecting data on student perceptions of administrative communication. This could involve surveys, interviews, or focus groups. Ensure the chosen method aligns with the research objectives and resources available.
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Multiple Choice
Which of the following illustrates why corn was such a precious commodity to Native Americans?
The kernels were easy to transport.
It was easy to plant and grew quickly.
o One kernel could produce one to two ears.
It could be grown in any type of soil.
Sidwan, owner of Jacuzzi Warehouse, said, "We have to focus on our customers and how we can beat the competition, so we have to be flexible." He encourages his R&D department to develop innovative products and focuses on being quick to respond to market changes. Jacuzzi Warehouse has a(n)
Answer:
The remaining part of the question is:
A) clan culture.
B) goal-driven agenda.
C) adhocracy culture.
D) market culture.
E) focused approach.
Correct Answer:
D) market culture.
Explanation:
His suggestion of his research and development team to develop innovative products for the emerging changes in markets for his customers shows that, Jacuzzi Warehouse has a market culture.
the period before you can receive benefits in a disability plan is called the probationary period. t/f
The statement "the period before you can receive benefits in a disability plan is called the probationary period." is False.
The period before you can receive benefits in a disability plan is typically called the "elimination period" or "waiting period." The probationary period, on the other hand, generally refers to a period of time at the beginning of employment during which an employee's performance is evaluated before becoming eligible for certain benefits or privileges.
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the network advertising initiative is an industry association that: regulates the use of customer information by firms. encourages self-regulation to develop a set of privacy guidelines for its members. has established technical guidelines for ensuring privacy. protects user privacy during interactions with websites. is a safe harbor program established by the u.s. government.
The Network Advertising Initiative is an industry association that A) encourages self-regulation to develop a set of privacy guidelines for its members.
The Network Advertising Initiative, created in 2000, is an industry trade organization that establishes self-regulatory standards for online advertising.
The organisation was founded in response to the Federal Trade Commission's and consumer groups' concerns that online advertising, particularly targeted or behavioral advertising, violated user privacy.
In order to sustain the value of online advertising while safeguarding consumer privacy, the NAI strives to create self-regulatory norms for participating networks and opt-out solutions for consumers.
Membership in the NAI has shifted dramatically over time, and both the organisation and its self-regulatory mechanism have been chastised for failing to promote privacy.
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Correct question:
The Network Advertising Initiative is an industry association that:
A) encourages self-regulation to develop a set of privacy guidelines for its members.
B) protects user privacy during interactions with websites.
C) has established technical guidelines for ensuring privacy.
D) regulates the use of customer information by firms.
E) is a safe harbor program established by the U.S. government.
Describe the potential risks associated with certain automated transactions that involve credit card information.
To mitigate these risks, it is important for organizations to implement robust security measures, such as encryption, tokenization, multi-factor authentication, and regular security audits to protect credit card information and prevent unauthorized access.
Potential risks associated with automated transactions involving credit card information include:
1. Unauthorized access: Hackers or malicious actors may gain unauthorized access to the automated transaction system, leading to the theft of credit card information.
2. Data breaches: Automated transaction systems may be vulnerable to data breaches, where a large amount of sensitive credit card information is stolen or compromised.
3. Fraudulent transactions: If credit card information is intercepted or obtained through unauthorized means, it can be used to make fraudulent transactions, leading to financial loss for the cardholder.
4. Identity theft: Stolen credit card information can be used to commit identity theft, where the thief impersonates the cardholder and engages in various fraudulent activities.
5. Lack of security measures: Inadequate security measures in automated transaction systems can make them susceptible to attacks, increasing the risk of credit card information being compromised.
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True or false: When working for a company, a comprehensive benefit plan may add up to 30 percent or more to a worker's salary
True, When working for a company, a comprehensive benefit plan may add up to 30 percent or more to a worker's salary.
A comprehensive benefit plan can add a significant amount to a worker's salary. In fact, some estimates suggest that benefits can add up to 30 percent or more to an employee's overall compensation package. This includes things like health insurance, retirement plans, paid time off, and other perks that can be offered by an employer. It's important for employees to understand the full value of their benefits package in order to make informed decisions about their compensation and overall financial well-being.
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2 1 points The halo effect in observation is cause by an observer spending long hours without a break. True or False True False
The statement "The halo effect in observation is caused by an observer spending long hours without a break" is false ( the halo effect is a cognitive bias that occurs when an observer's overall impression of a person, product, or company influences their evaluation of specific traits or characteristics).
It is not related to the amount of time an observer spends observing a particular subject.The halo effect is commonly seen in the workplace, where a positive overall impression of an employee can lead to positive evaluations of their work, even if specific aspects of their work are subpar.
Similarly, a negative overall impression can lead to negative evaluations, even if certain aspects of their work are objectively good.
Factors that can contribute to the halo effect include physical attractiveness, charisma, expertise, and perceived success. It can be difficult to avoid the halo effect, but being aware of it and consciously evaluating specific traits independently can help to mitigate its impact.
In summary, the halo effect is not caused by spending long hours without a break, but rather by an observer's overall impression influencing their evaluation of specific traits.
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beck seeks information about donatello and other well-known businesspersons under the freedom of information act. to obtain the information, beck must
Under the Freedom of Information Act (FOIA), Beck would need to follow the prescribed process to obtain information about Donatello and other well-known businesspersons.
To obtain the information, Beck must typically adhere to the following steps:
1. Determine the appropriate government agency: Identify the government agency or department that likely possesses the desired information about Donatello and other businesspersons. This could be a regulatory agency, government office, or any entity that might have the requested records.
2. Submit a written FOIA request: Prepare a written request that specifically identifies the information being sought. Include details such as the names of the individuals, the scope of the information needed, and any specific timeframes or relevant context. It is crucial to follow the agency's guidelines for submitting FOIA requests, including any required forms or formats.
3. Pay any applicable fees: Depending on the agency and the nature of the request, there may be fees associated with processing and retrieving the requested information. Agencies typically provide fee schedules outlining the costs involved. If the fees are substantial, Beck may need to consider whether to proceed with the request.
4. Await agency response: Once the FOIA request is submitted, the agency has a specified period, usually 20 to 30 days, to respond. They may grant the request in full or in part, deny it, or request additional clarification.
5. Appeal if necessary: If the agency denies the request or provides an incomplete response, Beck may have the option to file an appeal. This involves following the agency's established appeals process, which typically includes submitting a written appeal explaining the grounds for reconsideration.
It's important to note that the specific procedures and timelines for obtaining information under the FOIA can vary between jurisdictions. Therefore, Beck should consult the relevant legislation and guidelines provided by the specific government agency involved in order to ensure compliance with the applicable rules and regulations.
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The government of Eastlandia uses measures of monetary aggregates similar to those used by the United States, and the central bank of Eastlandia imposes a required reserve ratio of 10%. Given the following information, answer the questions below. [8] Bank deposits at the central bank - $200 million Currency held by public = $150 million Currency in bank vaults = $100 million Checkable bank deposits = $500 million Traveler's checks = $10 million a. What is MI? [2p] b. What is the monetary base? (2p] c. Are the commercial banks holding excess reserves? (2p) d. Can the commercial banks increase checkable bank deposits? If yes, by how much can checkable bank deposits increase?
Part a: M1 is the total amount of cash in circulation: $660 million.
Part b: monetary base: $450 million.
Part c: commercial banks holding: $50 million.
Define the term monetary aggregates?The country's money stock is gauged by the monetary aggregates.The sum of the dollar quantities of circulated cash plus nonbank travelers checks plus checkable deposits is known as the M1 monetary aggregate, which is the most specifically specified monetary aggregate.Part a: M1 is the total amount of cash in circulation:
public ($150 million), checkable deposits ($500 million), traveler's checks ($10 million), or $660 million.Part b: monetary base:
The total of the public's currency holdings ($150 million) plus the commercial banks' reserves [cash in bank vaults ($100 million) plus bank deposits ($200 million)] makes up the monetary base.
The base amount of money is $450 million.
Part c: commercial banks holding.
$50 million (or 10% of $500 million) in reserves are necessary.
The commercial banks have holding $250 million ($300 million $50 million) in surplus reserves because the total reserves are $300 million ($100 million in cash in bank vaults plus $200 million in bank deposits at the central bank).
Part d: checkable bank deposits:
The commercial banks are able to raise deposits because they have extra reserves. Reserves of $300 million can cover deposits of $300 million/0.1 = $3,000 million with a required reserve ratio of 10%. Deposits at commercial banks can rise by an additional $2,500 million.To know more about the monetary aggregates, here
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If quantity demanded exceeds quantity supplied, what most likely needs to happen to achieve equilibrium?
The supply needs to increase
The price needs to decrease (answer edg)
The price needs to increase
The demand needs to increase
The supply needs to increase, to achieve equilibrium If quantity demanded exceeds quantity supplied.
Hence, the correct answer is a. The supply needs to increase.
Demand?Demand is the consumer's intention to buy a certain item or service. Market demand is the desire for a certain item in the market. The entire demand for goods and services across the economy is known as aggregate demand.
The price of the commodity or service is determined by how well supply and demand match. comprehending the idea of demand.
Economic demand is the quantity of customers eager to buy products or services at a specific price. The opposing force to demand is supply.
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