Lance Whittingham IV specializes in buying deep discount bonds. These represent bonds that are trading at well below par value. He has his eye on a bond issued by the Leisure Time Corporation. The $1,000 par value bond pays 6 percent annual interest and has 15 years remaining to maturity. The current yield to maturity on similar bonds is 14 percent.
(a) What is the current price of the bonds? Use Appendix B and Appendix D. (Round "PV Factor" to 3 decimal places, intermediate and final answers to 2 decimal places. Omit the "$" sign in your response.) Current price ________ $
(b) By what percent will the price of the bonds increase between now and maturity? (Round "PV Factor" to 3 decimal places, intermediate and final answers to 2 decimal places. Omit the "%" sign in your response.) Price increases by __________ %
Answers
Answer:
a. $508.63
b. 96.6%
Explanation:
a. Bond price = Present value of coupon payments + Present value of par value
Coupon = 6% * 1,000
= $60
Bond price = 60 * (( 1 - (1 + 14%)⁻¹⁵) / 14%) + 1,000 / ( 1 + 14%)¹⁵
= 508.62656
= $508.63
b. At maturity, the bond will return back to its par value of $1,000.
= (1,000 - 508.63) / 508.63
= 96.6%
Related Questions
doo u see abs?????????????????????????????
Answers
Answer:
nah and yah
Explanation:
Answer:
. . . im scared. . .
Explanation:
define foreclosure economics.
Answers
Answer:
Foreclosure is the legal process by which a lender attempts to recover
Explanation:
Savings plans A and B have both durations of 5 calendar years.
Savings plan A pays 5.7% annual interest, paid at the end of each year.
Savings plan B pays 5.4% annual interest, paid on monthly basis (12 times a year).
Which savings plan is preferred?
Answers
Based solely on the interest earned, Savings Plan A would be preferred over Savings Plan B.
To determine which savings plan is preferred, we can compare the total interest earned under each plan over the 5-year duration.
For Savings Plan A, the annual interest rate is 5.7%, and the interest is paid at the end of each year. Therefore, the total interest earned can be calculated using the simple interest formula: Principal x Rate x Time. Assuming a principal of $1,000, the total interest earned would be $1,000 x 0.057 x 5 = $285.
For Savings Plan B, the annual interest rate is 5.4%, and the interest is paid on a monthly basis (12 times a year). This means that the interest is compounded monthly.
Using the compound interest formula: A = P(1 + r/n)^(nt), where A is the final amount, P is the principal, r is the annual interest rate, n is the number of compounding periods per year, and t is the time in years, we can calculate the total interest earned. Assuming a principal of $1,000, the total interest earned would be $1,000 x [(1 + 0.054/12)^(12x5)] - $1,000 = $279.67.
Comparing the total interest earned, we can see that Savings Plan A yields a higher interest amount ($285) compared to Savings Plan B ($279.67).
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Question 7 of 10
Fred obtained a balloon mortgage and made regular payments for the period
of the loan. Which of the following is an unlikely option for him once the
balloon payment becomes due?
A. Foreclosure
B. Pay balloon payment in full
C. Sell the home
D. Refinance the balloon payment
Answers
Answer:
foreclosure
Explanation:
According to the video, what strategy do many banks use with their employees?
They transfer workers to new locations
They hire from other banks
They promote from within
They maintain the current staff
Answers
Answer: C
Explanation:
I just took the test
Answer:
The answer is c
Explanation:
Overtis-1. Beginning inventory, purchases, and sales for fem "X" are as follows Beginning Inventory April, 1 S 15 57 units at $14 29 40 units Assuming a perpetual inventory system and using the first-in. first-out (110), lost-in-first-out (LIFO) Average costing methal, determine (0) The cost of goods sold on April 29 & (i) The cost of ending inventory on April 30. 47 Quests -2 Estimate the cast of goods sold & ending inventory by the gross profit method given the following data: Beginning inventory Bir 40,000.00, net purchases Bir 100,000.00, net sales Birr 112,000.00, press profit rate of 25% of net sales. Quotes J. Machinery purchased for Br 200,000 at the beginning of the year has an estimated life of 5 years and a residual value of Br 20,000 Required: Compute the annual tyearly) depreciation expense for each of the five years, by using; a) Straight-line depreciation method. b) Double-declining balance depreciation method c) Sum-of-the-years-digits method d) If the machinery is expected to have a useful life of 18,000 operating hours & was operated during the year I through year 5. 4100 hours, 2.700 hours, 4.200 hours 3.000 hours and 100 hours Compute the annual (yeatly) depreciation expense for each of the five years, by using the Units of-Production Method. 4 Rainbow Mining Co acquired mineral rights for the 30,000,000. The mineral deposit is estimated at 75,000,000 tons. During the current year, 11,250,000 tons were mined and sold Required: A Determine the amount of depletion expense for the current year B. Joumalize the adjusting entry to recognize the depletion expers.
Answers
For for computation of pre-incorporation profit salary to vendor
Answers
Interest on purchase consideration, the salary of partners, and interest on vendor capital are to be charged during the pre-incorporation period.
Answer:
vendor is. OTreated as pre-incorporation.In early 2016 as the Bank of Japan began to push policy interest rates negative, there was a sharp increase in sales for homes in Japan. Why might this be, and what does it mean for the effectiveness of negative interest rate policy
Answers
The negative interest rate is also penalizing the savings done by the consumers in the form of deposits because now they are required to pay the interest rates to banks for keeping their deposits.
What is negative interest Rate?An uncommon and ostensibly paradoxical tool for monetary policy is the use of negative interest rates. When central banks worry that their countries' economy are heading into a deflationary spiral, in which there is no spending and hence no money made, there are negative interest rates implemented.
Effectiveness of negative interest rate in bank of JapanThe central bank of Japan, the bank of Japan, is in charge of preserving the financial stability of the economy by modifying the money supply through monetary policy. The Bank of Japan attempted to make the policy rate negative in the beginning of 2016. The Bank of Japan is attempting to boost investment and consumption spending by making the policy rate negative. This is because a lower policy rate also reflects lower borrowing costs for businesses and households, and as residential investment increases as a result of lower borrowing costs, so do home sales.
The negative interest rate policy is able to destabilise the commercial banking system of Japan by reducing liquidity in the banking system and at the same time decreasing the amount of money available for lending in the commercial banking system because due to negative interest rate now. The negative interest rate policy may increase investment and consumption expenditure in the economy by reducing borrowing cost and therefore it may be able to increase the aggregate demand in the economy. the effectiveness of negative interest rate policy will be reduced. In this situation, the demand for loanable funds for investment is going to become more than the supply of loanable funds and there will be continuous pressure on the interest rate to increase.
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Jeff gets a job on the other side of town that requires him to start work 15 minutes after his last class ends. He doesn't have any form of transportation other than walking.
Answers
Jeff will need to plan his route in advance and leave himself enough time to walk to his job.
What is job?A job is an activity, often regular and often performed in exchange for payment. It may be an activity in which a person is employed, usually by a company, business, or another organization. Jobs may be categorized as full-time, part-time, casual, seasonal, and contract work. Full-time jobs usually involve working a set number of hours per week, depending on the particular job and the employer's requirements.
He should measure the walking distance between his school and his job and calculate how long it will take him to walk to his job. Jeff should then adjust his class schedule, if possible, so he can end his last class at least 15 minutes before he needs to start work. He should also leave himself some extra time in case of any delays during his walk.
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New Venture Management (1)
1. Discuss the below pricing strategies that would be suitable at each stage based on the product life cycle.
1.
Product Life Cycle Stage
Introductory Stage
* Unique product
* Non-unique product
Pricing Strategy
* Skimming
* Penetration
2.
Product Life Cycle Stage
* Growth stage
Pricing Strategy
* Consumer pricing
3.
Product Life Cycle Stage
* Maturity stage -
Pricing Strategy
* Demand-oriented pricing
4.
Product Life Cycle Stage
* Decline stage
Pricing Strategy
* Loss leader pricing
Answers
In the context of the product life cycle, different pricing strategies are suitable for each stage. Let's discuss the pricing strategies that would be suitable at each stage:
Introductory Stage:
Unique product: Skimming Pricing Strategy: This strategy involves setting a high initial price to capture the early adopters and customers who are willing to pay a premium for the innovative and unique features of the product. Over time, as competition increases, the price can be gradually lowered.
Non-unique product: Penetration Pricing Strategy: This strategy involves setting a low initial price to quickly gain market share and attract customers. The goal is to penetrate the market by offering competitive pricing and capturing a large customer base. As the product gains traction and demand increases, the price can be adjusted upwards.
Growth Stage:
Pricing Strategy: Consumer Pricing: At this stage, the product has gained market acceptance, and competition may be intensifying. Consumer pricing strategies involve setting prices based on the perceived value of the product to the target customers. Prices can be set at a level that provides a balance between profitability and customer satisfaction, considering factors such as competition, customer preferences, and market dynamics.
Maturity Stage:
Pricing Strategy: Demand-Oriented Pricing: In the maturity stage, the market becomes saturated, and there may be a slowdown in customer growth. Demand-oriented pricing strategies focus on adjusting prices based on the current market demand and customer sensitivity to price changes. This may include pricing tactics such as discounts, promotional offers, and pricing bundles to maintain market share and stimulate demand.
Decline Stage:
Pricing Strategy: Loss Leader Pricing: In the decline stage, the market demand decreases as the product becomes outdated or faces competition from newer alternatives. Loss leader pricing involves setting the price of the product below cost or at a minimal profit to attract customers and generate sales. The goal is not necessarily to make a profit but to liquidate inventory, retain some loyal customers, or create opportunities for upselling or cross-selling other products.
It is important to note that these pricing strategies are not fixed and can be adjusted based on specific market conditions, competitive factors, and the overall business strategy. Flexibility and adaptability in pricing decisions are crucial throughout the product life cycle to ensure sustained success and profitability.
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What can Lena do to avoid the risk of having short supplies in times of need?
Lena works in an artificial jewelry-manufacturing unit. It is a family run business, and they have been depending on a single supplier for years.
As Lena is a proactive person, she can avoid the risk of being in short supplies of raw material by keeping a _______ supplier for every one main supplier.
Answers
Answer:
Backup
Explanation:
Answer:
Backup
Explanation:
Correct on Plato
To improve its standard of living, a nation’s economy must _____.
A.
grow through innovation
B.
remain stable
C.
reach economic equity
D.
let the government make economic decisions
Answers
Answer:
A.grow through innovation
Create Transactions, a Deposit and a Report
In this exercise, you will create all the transactions for April 8, 2026, and then create a bank deposit and
report.
1. Use this information to create the appropriate transactions:
• Esther Green paid her outstanding invoice with cheque #598.
• Roy Fisher decided to hire Melanie for the custom flower design for $550 and wants to be
invoiced; Melanie reminds you apply the credit.
• Karuna Ramachandran pays both of her outstanding invoices with debit.
• One of the birthday vases Sharon McColl bought in February had a crack, so Melanie wants to
create and apply a credit memo of $25, plus HST, before she pays her invoice. Sharon then pays
the new balance with cash.
Hint: Once you create the credit, it may apply automatically depending on your settings.
• Mary Beth Dunham made a recommendation to a friend of hers to hire Melanie for their
wedding. Melanie tells Mary Beth that if her friend hires her, Melanie will give Mary Beth $75
as a credit on her next invoice for the wedding arrangements. Enter the delayed credit on Mary
Beth’s account for Sharon’s wedding.
2. Melanie will take the cheques from today’s sales and all cash received to the bank and deposit
them. You will need to record a bank deposit for those items and any debit card payments that
were also received up through April 8 (the deposit amount should be $2,570.75). Then, run an
Open Invoices report and an Unbilled Charges report for all dates.
3. Export both reports to Excel and save to your Chapter 04 folder as: CH04 Open Invoices
and CH04 Unbilled Charges 2
Answers
Using QuickBooks Online, you must begin by clicking the " Receive Payments " option. Intuit created and sells the accounting software suite known as QuickBooks.
How can transactions be created in QuickBooks?
The procedures listed below can be used to create transactions on QuickBooks Online based on transactions that have already occurred:
Choose "Receive Payment" by clicking the "+" button in the dashboard's upper right corner.
Choose "Esther Green" as the client, and then enter the sum paid as the invoice's unpaid balance. Choose "Cheque" as the payment option and input the 598-digit check number. Transaction saved.
Choose "Invoice" by clicking on the "+" symbol once again. Choose "Roy Fisher" as the client and type $550 as the balance owed. Choose Melanie's unique floral design service in the products/services area to apply the credit of $25 + GST to the bill. Transaction saved.
Refresh your browser and choose "Receive Payment" from the "+" menu. Choose "Karuna Ramachandran" as the client and input the sum owed for the two unpaid bills. Choose "Debit" as the mode of payment, then save the deal.
Choose "Credit Note" by clicking on the "+" button once again. Choose "Sharon McColl" as the customer, then input a credit amount of $25 + GST. Save the transaction and apply the credit to the birthday vase invoice.
Refresh your browser and choose "Receive Payment" from the "+" menu. When the credit has been applied, choose "Sharon McColl" as the client and input the new balance. Choose "Cash" as the mode of payment, then save the deal.
Click the "+" symbol and choose "Bank Deposit" to make a deposit. Choose the payments made by Karuna Ramachandran, Sharon McColl, and Esther Green as the deposit items, then save the transaction.
Go to the Reports tab on the left-side menu and choose "Profit and Loss" to create a report. Run the report with April 8, 2026 as the date range.
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What strategy should be applied when other strategies are ineffective and the company needs to change quickly
Answers
Answer:
Plan Carefully. ...
Be as Transparent as Possible. ...
Tell the Truth. ...
Communicate. ...
Create a Roadmap. ...
Provide Training. ...
Invite Participation. ...
Don't Expect to Implement Change Overnight.
Explanation:
The TSA suits:
A.
Engineering students.
B.
Construction students.
C.
Technology students.
D.
STEM students.
Answers
Answer:
STEM Students - TSA focuses on all areas of stem, not just technology.
Explanation:
got it correct
One of Shanice's team members is not happy with their performance review and refuses to accept the rating she gave. What should Shanice do?
Answers
Shanice should aim to resolve the issue through open communication, active listening, and a willingness to address the team member's concerns.
Listen and understand: Shanice should create an open and safe space for the team member to express their concerns. She should actively listen and seek to understand their perspective. This demonstrates empathy and shows that she values their input.
Provide clarity: Shanice should provide a clear explanation of the performance review process, including the criteria used to evaluate performance and the specific examples that led to the assigned rating. This can help address any misunderstandings or misconceptions.
Address concerns and offer feedback: Shanice should address the team member's specific concerns and provide constructive feedback. She can highlight areas for improvement and offer guidance on how to enhance performance. It's important for Shanice to focus on specific behaviors and outcomes rather than personal attacks or generalizations.
Seek input and involve the team member: Shanice can ask the team member for their suggestions on how to improve their performance or address their concerns. Involving them in the process can foster a sense of ownership and encourage collaboration.
Consider a reevaluation: If Shanice believes there may have been an oversight or if the team member presents compelling evidence, she can consider a reevaluation of the performance review. This may involve gathering additional feedback or revisiting the evaluation criteria.
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Next
Unit 1 Quiz
6
This holiday season, the hottest gift was a doll named Sparkle Princess within a few hours all of the stores sold out their stack of this
People who had been fortunate enough to buy a doll began to sell their dolls on the internet. Thousands of people logged on to try to
be a
the few dolls that were being sold on the Internet. What MOST likely happened with the internet sales?
CA The price went down because the supply was low and the demand was high
B. The price went up because the supply was low and the demand was high
CC The price went down because the supply was high and the demand was low
D. The price went up because the supply was high and the demand was low
Reser
Answers
Answer:
The price went up because the supply was low and the demand was high.
I believe
Explanation:
A sushi chef prepares a California roll for a customer. Which of the following factors is physical capital?
Answers
Physical capital consists of things like money, real estate, equipment, and stock. Physical capital is made up of physical, man-made items that businesses invest in or purchase and employ to manufacture things.
when a demand for products and services exceeds the supply?Scarcity is one of the core concepts of economics. It indicates that there is a gap between the supply and demand for an item or service.
What occurs when markets fail to become efficient?Government action can raise social welfare when markets are inefficient. To fulfil the objectives of society, resources should be used as effectively as feasible. The level of overall spending occasionally exceeds the economy's capacity for production.
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Complete Part 2 of Form 940 based on the following information: (Round your answers to two decimal places, if necessary.) Total payroll for the year $913,590 Payroll to employees in excess of $7,000 $421,930 Employer contributions into employees' 401(k) plans $23,710
Answers
5481.54 is the amount for the FUTA tax before adjustment. As Total payroll for the year $913,590 Payroll to employees in excess of $7,000 $421,930 Employer contributions into employees' 401(k) plans $23,710.
What does a tax adjustment mean?Numerous expenses, payments, donations, fees, etc. may be deducted from a taxpayer's gross income. To calculate the adjusted gross income on Form 1040, the adjustments are deducted from the total income.
Income can be modified to account for expenses like college tuition, student loan interest, alimony payments, or retirement account contributions. Your AGI will never be higher than your gross total income reported on the tax return, though it may occasionally be lower. See Schedule 1 of the 1040 instructions PDF for further information.
Thus, 5481.54 is the amount.
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Wat is the main advantage of using The Sentence Method
Answers
1. Which of the following words is generally used to describe what managers do as opposed to what leaders do?
O A. Organize
O B. Inspire
O C. Innovate
O D. Influence
Answers
Emma started a business called memories and melodies she recognized that music socialization and memory challenging activities for senior citizens helped maintain their cognitive skills for longer periods of time
Answers
As Emma started a business called memories and melodies she recognized that music socialization The Non-profit work is thereby the Emma.
What is Business?An innovative company or group that engages in professional activities is referred to as a business. They could be industrial, commercial, or something else. Businesses that are for-profit operate to make a profit, whereas those that are nonprofit do so to further a philanthropic cause.
The organization through striving for profits but is intended to use the profits for the social welfare of specific society sections. Such an organization is termed a nonprofit organization
Therefore, Thus option(C) is correct.
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The options are:
Profit
Business
Non-profit.
Molly Ellen, bookkeeper for Keystone Company, forgot to send in the payroll taxes due on April 15. She sent the payment November 8. The IRS sent her a penalty charge of 9.20% simple interest on the unpaid taxes of $4,000. Calculate the penalty. (Remember that the government uses exact interest.) (Use Days in a year table.)
Answers
The penalty charge is $728.04.
To find the penalty charge in the given scenario where Molly Ellen forgot to send the payroll taxes due on April 15th and sent the payment on November 8th, we will follow these steps:Calculate the days from April 15 to November 8 which is 207 daysCompute the exact interest on the unpaid taxes using the exact interest formula: I=P*R*T/100I: Exact interestP: Unpaid taxes ($4,000)R: Rate (9.20%)T: Time in years (207 days/365 days = 0.57 years)
Calculate the penalty by subtracting the unpaid taxes from the total amount due including the interestPenalty = Total amount due - Unpaid taxesGiven that the unpaid taxes were $4,000, and the IRS sent a penalty charge of 9.20% simple interest on the unpaid taxes. Using the above information, we will calculate the penalty as follows:
Days from April 15th to November 8th is 207 days.The exact interest formula is I=P*R*T/100, where I is the exact interest, P is the principal, R is the rate and T is the time in years.I = (4000 * 9.20 * 207)/100 * 365 = $728.04The total amount due including the interest is $4,728.04.Penalty = Total amount due - Unpaid taxesPenalty = $4728.04 - $4000Penalty = $728.04Therefore, the penalty charge is $728.04.
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E
Which is considered an administrative penalty that may be imposed by the ABC for violations?
O a. jail time
O b. restitution to victims
O c. imposition of license conditions
O d. community service
NEXT PAGE
Answers
Answer:
c is correct on
Explanation:
Option C. imposition of license conditions. is considered an administrative penalty that may be imposed by the ABC for violations.
What is an ABC violation?These are the violations that have to do with the fact that alcohol is sold to people that are considered as minors in the United States.
The violations may carry punishments such as jail time or it may require hours of community service.
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how many board of directors members does apple have?
Answers
Answer:
seven members
Explanation:
Answer:
At seven, Apple Inc. (NASDAQ: AAPL) has a relatively small number of directors for a huge public company. The board is particularly stable, too. Besides CEO Tim Cook, four other directors have been members since before Steve Jobs died in October 2011.
Explanation:
Following Putin's initiation of a war with Ukraine, countries around the world responded with bans on Russian oil and other imports. These politically motivated trade sanctions can best be described by which concept?
Trade embargos
Export control
Deadweight cost
Tariff barriers
Answers
Following Putin's initiation of war with Ukraine, countries around the world responded with bans on Russian oil and other imports. These politically motivated trade sanctions can best be described by the concept of Option A. trade embargos.
A trade embargo refers to the complete prohibition of commerce and trade between two countries. This prohibition includes import and export activities and is usually enforced by the state or government as a political or economic sanction against another nation. An embargo can be placed by a nation on another as an act of economic or political retaliation.
The United Nations Security Council is authorized to enforce embargos on any nation that violates international law or becomes a threat to world peace or safety. The blockade of trade between nations is referred to as a complete embargo. The trade embargo was one of the consequences of Putin's initiation of war with Ukraine.
The politically motivated trade sanctions can be best described by the concept of trade embargos. It is a type of economic sanction or restriction that one nation imposes on another to assert political pressure or punish them. Such sanctions are politically motivated and are typically enforced by one nation to another as a form of diplomatic pressure to impose their political will over the other. Therefore, the correct option is A.
The question was incomplete, Find the full content below:
Following Putin's initiation of war with Ukraine, countries around the world responded with bans on Russian oil and other imports. These politically motivated trade sanctions can best be described by which concept?
A. Trade embargos
B. Export control
C. Deadweight cost
D. Tariff barriers
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Definition of businnes
Answers
Answer:
a person's regular occupation, profession, or trade.
or
the practice of making one's living by engaging in commerce.
Explanation:
person's regular occupation, profession, or trade.
Consider the following BPMN diagram:
Answers
If we look at the process model, we can see that Task A is the first task and must always be completed in order for the model to be run. Further observation reveals that because an exclusive gateway is employed, any of the two jobs, B and C, is carried out individually rather than simultaneously. As we continue to move through the BPMN diagram, we see that task M is the conversing task and is therefore always run along with a networks message flow from it to task F, which is done as soon as a message is received in pool 2 and finishes.
An item of networking hardware or software called a gateway is used in telecommunications networks to allow data to go from one distinct network to another.
The way that gateway differ from routers and switches is that they can join various networks using more than one protocol to communicate and that they can function at any of the seven OSI levels.
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Question 6 of 17:
Select the best answer for the question.
6. The inventory term that describes the ability to scan large volumes of inventory or tagged items at a time:
O A. Retail Federation ID
O B. Radio Frequency Identification Device
C. Retail Frequency ID
D. Retail Federal ID
Answers
The inventory term that describes the ability to scan large volumes of inventory or tagged items at a time is known as Retail Frequency ID. The Option C is correct.
What is a Retail Frequency ID?It is fully known as Radio-frequency identification technolog, which is the way for retailers to identify items using radio waves. The technology transmits data from the RFID tag to a reader, thereby giving an accurate and real-time tracking data of inventory.
With the supply chain visibility and inventory accuracy becoming more important, the technology has gone from “nice to have” to foundational for today’s omnichannel retailers.
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You decide to decrease the price of your product to increase total sales revenue, because you believe your product's demand is
A) perfectly inelastic
B) unit elastic
C) price elastic
D) price inelastic
Answers
Answer:
C) price elastic.
Explanation: