The business does not have enough gross income to pay all of the expenses of the business operation under the present conditions and may need to take steps to reduce the expenses to a level that would produce sufficient income for this purpose.
it can reduce business production -it can decrese income of business -
Purchase of treasury stock has no effect on the net income of a business. The purchase may affect cash flow of the business. No profit or loss is claimed when shares are re-issued at above or below cost.
Yes, Price effect = substitution effect + income effect
Business income is the amount of money received through your business.
chnage in consumer's equilbrium due to change in income of the consumer..known as income effect.
yes it is speculative business
Determine how much you can afford to lease and how much that will effect your income. You can make it possible by shopping around and advertising your business. Bring in more customers.
19. What effect will the declaration and distribution of a stock dividend have on net income and cash flows? (Points : 2)No effect on net income or cash flowsNo effect on net income, decrease cash flowsDecrease net income, decrease cash flowsIncrease net income, no effect on cash flows
Income effect-change in the amount that consumers will buy because their income changed.substitution effect-change in the amount that consumers will buy because they purchase goods instead.substitution effect the change in demand for a good when the relative price between a good and its substitute changes. income effect the change in demand for a good when the income of the consumer change.
body temperature
It indicates that a lower price increases the purchasing power of a buyer's money income, enabling the buyer to purchase more of the product than before.
The income effect is the change in the individualâ??s income and how it will impact the change in quantity of a service. As the income increases, the quantity of demand of service also increases.