Ask Question
BusinessBusiness
12 May, 17:51

Do higher prices lead to increased revenues for a company? a. alwaysb. sometimesc. neverd. only when demand is elastic

+2
Answers (1)
  1. 12 May, 19:05
    0
    sometimes

    Explanation:

    Rising prices will lead to an increase in a firm's revenue if it does not cause a decrease in the quantity demanded. The way to measure the impact of price increases on the quantity demanded is by calculating elasticity. If demand is elastic, small variations in price are sufficient to have a considerable impact on demand. When demand is inelastic, the increase in price does not significantly impact demand, so demand will be inelastic. In this case, the price increase increases the firm's revenue.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Do higher prices lead to increased revenues for a company? a. alwaysb. sometimesc. neverd. only when demand is elastic ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Suppose a country's labor supply increases in a year while its physical capital stock remains constant. Which of the following is likely to happen in this case if output is a function of capital and the total efficiency units of labor? A.
Answers (1)
A note receivable is a written promise by the maker to the payee to pay a specified amount of money at a definite time. True False
Answers (1)
If the cost object were the "mixing department" rather than units of production of each kind of bread, which preceding costs would now be direct instead of indirect costs: (only complete the necessary answer boxes. leave all other boxes blank.)
Answers (1)
An employee at a grocery store chain is studying an analysis of data regarding the purchasing behavior of its stores' customers. Based on the analysis, the employee will develop customized marketing plans for each store.
Answers (1)
When a person returns to work after a period of total disability but cannot earn as much as he or she did before the disability, this situation is called which of the following?
Answers (1)
New Questions in Business
Joel operates his business, carson collectibles, by himself. he has made no election with his state regarding his business. what is the most likely form of joel's business?
Answers (1)
Sheridan Company received $135000 in cash and a used computer with a fair value of $318000 from Carla Vista Co. for Sheridan Company's existing computer having a fair value of $453000 and an undepreciated cost of $420300 recorded on its books.
Answers (1)
A profit-maximizing firm in a monopolistically competitive market differs from a firm in a perfectly competitive market because the firm in the monopolistically competitive market a. sells its product in a highly-concentrated market. b.
Answers (1)
At the end of the accounting period, Isaac Company had a balance of $4,000 in its common stock account, additional paid in capital of $4,000, retained earnings of $3,000, and $1,000 of treasury stock. The total amount of stockholders' equity is:a.
Answers (1)
If the findings and the results are not presented properly, the research completed was a waste of time and money. True False
Answers (1)
Home » Business » Do higher prices lead to increased revenues for a company? a. alwaysb. sometimesc. neverd. only when demand is elastic
Sign Up Forgot Password?