How does elasticity affect a company’s pricing policy?
if demand is unitary elastic, the company knows that a decrease in price would decrease total revenues.
if demand is unitary elastic, the company knows that an increase in price would increase total revenues.
if demand is elastic at the current price, the company knows that an increase in price would reduce total revenues.
if demand is inelastic at the current price, the company knows that an increase in price would reduce total revenues.

10.     lucy is catering an important luncheon and wants to make sure her bisque has the perfect consistency. for her bisque to turn out right, it should have the consistency of a. cold heavy cream. b. warm milk. c. foie gras. d. thick oatmeal. student d   incorrect

The cook corporation has two divisions--east and west. the divisions have the following revenues and expenses: east west sales $ 603,000 $ 506,000 variable costs 231,000 300,000 traceable fixed costs 151,500 192,000 allocated common corporate costs 128,600 156,000 net operating income (loss) $ 91,900 $ (142,000 ) the management of cook is considering the elimination of the west division. if the west division were eliminated, its traceable fixed costs could be avoided. total common corporate costs would be unaffected by this decision. given these data, the elimination of the west division would result in an overall company net operating income (loss)

Taking commercial paper means the holder acts honestly