4 3
Paragraph
abcx, x' A. A.
2
Font
20% increase in coca cola demanded. (4 Mar
c. Demand for coca cola is price elastic and coca
d Falling Pepsi cola prices will increase revenu
and Pepsi cola. (4 Marks)
e. A 2% price reduction would be necessary to
income. (4 Marks)
f Pepsi cola and coca cola are close substitute
QUESTION FOUR
A) Write short notes on the following [] Mark each
i. Land
Centrally-Planned Economy
iii. Price Elasticity of Demand
עו
Price​

Neon light company of kansas city ships lamps and lighting appliances throughout the country. ms. neon has determined that through the establishment of local collection centers around the country, she can speed up the collection of payments by one and one-half days. furthermore, the cash management department of her bank has indicated to her that she can defer her payments on her accounts by one-half day without affecting suppliers. the bank has a remote disbursement center in florida. a. if neon light company has $2.90 million per day in collections and $1.18 million per day in disbursements, how many dollars will the cash management system free up?

Suppose your firm is considering investing in a project with the cash flows shown as follows, that the required rate of return on projects of this risk class is 10 percent, and that the maximum allowable payback and discounted payback statistics for the project are three and a half and four and a half years, respectively. use the irr decision to evaluate this project; should it be accepted or rejected

Firms like papa john’s, domino’s, and pizza hut sell pizza and other products that are differentiated in nature. while numerous pizza chains exist in most locations, the differentiated nature of these firms’ products permits them to charge prices above marginal cost. given these observations, is the pizza industry most likely a monopoly, perfectly competitive, monopolistically competitive, or an oligopoly industry?