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Which of the following best represents management\'s objective(s) in utilizing d

ID: 1090926 • Letter: W

Question

Which of the following best represents management's objective(s) in utilizing demand analysis?

it provides insights necessary for the effective manipulation of demand

it helps to measure the efficiency of the use of company resources

it aids in the forecasting of sales and revenues

a and b

a and c

all of the above

1 points   

Question 7

As the economy emerged from the most recent recession, household income rose by 6%. Over the same period, total expenditures on beef increased by 3%. Assuming that all other economic variables were held constant,

the income elasticity of demand must be equal to 2.

beef must be a normal good.

beef must be an inferior good.

Both A and B are correct.

As the economy descended into the most recent recession household income fell by 5%. Over the same period, total expenditures on automobile repairs increased by 3%. Assuming that all other economic variables were held constant,

the income elasticity of demand is equal to 0.6.

automobile repairs must be a normal good.

automobile repairs must be an inferior good.

Both A and B are correct.

1 points   

Question 16

Price is insignificant

Income is significant

Temp is significant

As price rises for soda, people tend to drink less of it

All of the coefficients are significant

Please do not just guess !!!

it provides insights necessary for the effective manipulation of demand

it helps to measure the efficiency of the use of company resources

it aids in the forecasting of sales and revenues

a and b

a and c

all of the above

Explanation / Answer

it provides insights necessary for the effective manipulation of demand

Both A and B are correct.

automobile repairs must be an inferior good.

Income is significant

it provides insights necessary for the effective manipulation of demand

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