The sum of the balance of trade, net income on capital held abroad, and net transfer payments is the current account.
The balance of trade (BoT) is the difference between imports and exports of goods. Balance of Payments (BoP) is the difference between foreign exchange inflows and outflows. Type of transaction involved. Commodity-related transactions are included in BoT.
Balance of Payments (BOP) transactions consist of imports and exports of goods, services and capital, as well as transfer payments such as foreign aid and remittances. Together, a country's balance of payments and net international investment position make up its external account.
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Cushman company had $844,000 in sales, sales discounts of $12,660, sales returns and allowances of $18,990, cost of goods sold of $400,900, and $290,335 in operating expenses. net income equals?
The net income of Cushman company is $121,115.
What is Net Income?Sales are calculated as sales less the cost of goods sold, selling, general and administrative costs, operating costs, depreciation, interest, taxes, and other costs. Net income (NI), also known as net earnings, is the difference between these two figures.
Investors might use this figure to gauge the extent to which an organization's revenue outpaces its costs. This figure can be found on an organization's income statement and serves as a gauge of profitability. Start by determining the overall revenue of the company before calculating its net income.
The business's earnings before taxes are determined by deducting operational and spending costs from this amount. To calculate the NI, deduct tax from this amount.
Net Income = $844,000 - $12,660 - $18,990 - $400,900 - $290,335 = $121,115
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bryce is tired of waiting for his subcontractor to get his part of the deal done. the agreed-upon deadlines have come and gone, and bryce is losing money waiting for the subcontractor to meet his obligations. if the subcontractor is not going to honor his commitments, neither is bryce. he decides to consult with his attorney and then terminate the contract. of what is this an example?
Bryce is tired of waiting for his subcontractor to get his part of the deal done. the agreed-upon deadlines have come and gone, and Bryce is losing money waiting for the subcontractor to meet his obligations. if the subcontractor is not going to honor his commitments, neither is Bryce. he decides to consult with his attorney and then terminate the contract the example rescinding the contract unilaterally.
Sales contract events stay liable for the truthfulness of representations and warranties after the last. A cash offer is generally extra appealing than finance provide as the seller does not want to fear approximately whether or not the financial institution will approve your mortgage says Sam Heskel, president of Nadlan Valuation an appraisal control organization in Brooklyn.
Impossibility of performance applies whilst the debtor does now not have sufficient budget to pay a debt. A circumstance precedent should occur before a party to a settlement has a responsibility to carry out. In maximum bilateral contracts, the performances of the parties are concurrent situations.
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The project _______ usually provides the early guidance, direction and funding for the project.
The project sponsor usually supplies early guidance, direction, and funding for the project.
Who is the project sponsor?The people who support projects are known as project sponsors, and they are often senior management personnel with significant levels of influence and power. The terms "project sponsor" and "project director" are frequently used interchangeably. Other terms for project sponsors include "account manager" or "business unit manager."Project staff members, like project sponsors, have specific titles and duties and work within a bureaucratic system. Without a bureaucratic structure to coordinate action and approve adjustments, projects would quickly get out of hand. Through tracking actions and dispersing knowledge, a bureaucracy establishes order and provides efficiency.The project sponsor usually supplies early guidance, direction, and funding for the project.
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market is a group of individuals and/or organizations that have a desire or need for products in a product class and have the ability, willingness, and authority to purchase those products. there are two types of markets. cynthia's organization targets the
business market.
The question discusses more about:
What is business market?
The business market is made up of people or organizations who buy a particular sort of goods for resale, direct use in the production of other products, or usage in regular daily activities.
Therefore,
market is a group of individuals and/or organizations that have a desire or need for products in a product class and have the ability, willingness, and authority to purchase those products. there are two types of markets. cynthia's organization targets the business market.
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Irving fisher argued that deflation is most likely to:____.
a. increase aggregate supply.
b. expand the economy because the prices of goods fall.
c. decrease aggregate demand.
d. increase aggregate demand.
Irving fisher argued that deflation is the maximum probably to A decrease in aggregate supply.
Deflation is whilst client and asset fees decrease over time and buying energy increases. essentially, you can buy extra items or services tomorrow with the equal sum of money you have got these days. Economists worry about deflation due to the fact falling prices result in decreased client spending, which is a primary factor of monetary increase. groups respond to falling charges by way of slowing down their production, which leads to layoffs and income reductions. This in addition lowers call for and expenses.
In economics, deflation is lower than the well-known charge level of products and offerings. Deflation happens whilst the inflation charge falls below 0%. Inflation reduces the value of foreign money through the years, however surprising deflation will increase it. deflation advantages clients due to the fact they can buy extra items and services with the same nominal earnings through the years. however, no longer every person wins from lower prices, and economists are regularly concerned approximately the outcomes of falling fees on diverse sectors of the economy, especially in financial topics.
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If a university passed a rule stating that university students must live in university dormitories, what effect would this have on the price elasticity of demand for dorm space? how might this rule affect room rates?.
If a university passed a rule stating that university students must live in university dormitories, the price elasticity of demand would be more inelastic, and room rates would increase. The correct answer is option(d).
A good's quantity sought is calculated using its price elasticity of demand. Almost all items see a decline in demand when prices rise, but certain goods are more affected than others.
Price elastic demand is the term used to describe the relationship between the percentage change in a product's quantity sought and the percentage change in price. The demand's elasticity at any particular time is dependent on a number of variables.
To implement a successful pricing strategy and determine the weight of price in consumers' purchasing decisions, it is necessary to understand how sensitive consumers are to price changes. This is made possible by measuring the price elasticity of demand. The following elements have a tendency to increase demand's inelasticity:
● The elasticity of demand is lower when they are unavailable or when there are few substitutes.
● Demand for items that consumers view as essentials is less elastic (for example, insulin).
● Demand is more elastic in the short term.
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A continuous process of measuring a company's own products, services, or activities against competitors'; performance is called?
Benchmarking
Benchmarking is defined as measuring the company's product with the best product in the industry to know the internal opportunities for improvement.
Benchmarking sets standard for comparison of the product.
It helps in becoming the more competitive by improving the product to best.
It depends upon the company whether to implement changes in the product or not after knowing the shortcomings compared with the best product.
Monitoring performance is the characteristic of the benchmarking. it is a continuous process.
It aims to improve a certain element of a business.
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trying to prepare a budget, wesley has done research and found that he spends an average of $190$190 on his phone/internet/cable service, $318$318 on his electric bill, and $288$288 on his health insurance premium. if he earns $2800$2800 per month, estimate the amount of money he will have after paying these bills each month.
The amount of money Wesley will have after paying these bills each month is $2,004 which means he will be able to save $2,004 after subtracting his expenses from his earnings by creating a personal budget.
Expenses of Wesley:
Phone/Cable/Internet service = 190
Electric Bill = 318
Health Insurance Premium = 288
Total Expenses = 190+318+288 = 796
Earnings of Wesley = 2,800
Savings of Wesley = Total Earnings - Total Expenses =2,800 - 796 = 2,004
Hence Wesley will have $2,004 after paying the above said bills in a month.
A personal budget, or household budget, simply tracks a household’s money in versus money out. Though a budget is accustomed help a personal or family spend less and save more, it is, at its most elementary, a planning and tracking tool.
Budgeting is all about being intentional with the ways you spend money, and planning ahead to assist make sure you don’t run into any inconvenient – or, potentially, financially ruinous – surprises before you receive your next paycheck. This planning ahead also means you'll save cash for future goals and determine exactly how long it'll take you to succeed in them.
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What's+the+present+value+of+$1,650+discounted+back+5+years+if+the+appropriate+interest+rate+is+6%,+compounded+monthly?
The Present value is $ 1223.26.
Future value = $1650
n = 5 years
Interest = 6%
Calculation of present value:
Rate = 6.1678 %
Present value = future value / [tex](1+rate)^{n}[/tex]
= $ 1223.26.
Present value is a technique of accounting based on the value of replacing assets on the fees that would be paid now, instead of on the charges they had been at first sold for modern cost accounting can yield consequences which can be materially extraordinary from traditional accounting based totally on ancient fees.
The fair price of the stock is a subjective term calculated using the contemporary monetary statements, marketplace function, and feasible growth cost from a fixed of metrics. In comparison, the market fee is the cutting-edge percentage price at which the inventory or asset is traded.
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Most retail experts agree that _____ will not be one of the four new retail formats to be successful in the near future. liquidators recyclers off-pricers supercenters rental operations
Most retail experts agree that off-pricers will not be one of the four new retail formats to be successful in the near future.
Retailers who offer premium products at discount prices are known as off-price retailers. They typically market used stuff, off-season merchandise, etc. These stores provide a sporadic selection of cheap soft goods from well-known brands and fashion-forward manufacturers. They purchase end-of-season closeout merchandise, end-of-season manufacturer irregulars, seconds, closeouts, cancelled orders, overruns, and overruns. A trading structure based on discount pricing is called off-price. Independent from the manufacturers, off-price sellers purchase significant quantities of branded products directly from them. The off-price retail business depends on the acquisition of over-produced, or excess, branded items at a lower cost in order to sell to customers at a cheaper price than other stores that bought an initial run. TJX Companies is one of the major such stores.
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individuals x, y, and z are trying to decide between options a, b, and c. what can we say if we know that all three individuals are rational utility maximizers?
If we know that all three individuals are rational utility maximizers, we can say:
a. The preferences of each individual will be transitive.
b. It is possible for the preferences of the group to cycle.
c. If the group is voting on these alternatives in pairs, one or more of these individuals may have an incentive to vote differently from his or her preferences.
Option D is correct
This is further explained below.
What are individuals?Generally, a single individual person, as contrast to a collection of people.
In conclusion, The correct Option is Option D " All of the above."
a. The preferences of each individual will be transitive.
b. It is possible for the preferences of the group to cycle.
c. If the group is voting on these alternatives in pairs, one or more of these individuals may have an incentive to vote differently from his or her preferences.
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complete question
Individuals X, Y, and Z are trying to decide between options A, B, and C. What can we say if we know that all three individuals are rational utility maximizers?
a. The preferences of each individual will be transitive.
b. It is possible for the preferences of the group to cycle.
c. If the group is voting on these alternatives in pairs, one or more of these individuals may have an incentive to vote differently from his or her preferences.
d. All of the above.
a retailer owns a large online business selling antiques. they want to create a display campaign. what are two of the three inputs they must supply to create a display campaign? choose two.
The two inputs they must supply to create a display campaign are the budget amount and creative assets.
What is a display campaign?A display campaign is a marketing approach used by marketers to get the word about their products or services to the general services through the use of banners, and other visual ads on ground locations, internet websites/apps, or on social media. To achieve the display campaign objective, inputs such as the budget amount and creative assets to be displayed must be supplied.
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The missing options are:
a) bids
b) budget amount
c) creative assets.
Consider an economy characterized by the production function where the productivity parameter is equal to 1.2. how many units of output can be produced with 25 units of capital and 64 workers?
The production function is a mathematical equation determining the relationship between the elements and quantity of entries for production and the variety of goods it produces most successfully. It solutions the queries related to marginal productiveness, level of manufacturing, and cheapest mode of manufacturing of products.
The production function is expressed in the formula: Q = f(ok, L, P, H), wherein the amount produced is a characteristic of the blended enter quantities of everything. Of path, not all companies require the same elements of production or range of inputs.
One quite simple instance of a Production function is probably Q=ok+L, wherein Q is the quantity of output, okay is the quantity of capital, and L is the number of exertions utilized in production. This manufacturing feature says that a firm can produce one unit of output for every unit of capital or exertions it employs.
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macroeconomics is best described as the study of group of answer choices very large issues. the choices made by individual households, firms, and governments. the nation's economy as a whole. the relationship between inflation and wage inequality.
The study of decisions made by individuals in the face of scarcity is how macroeconomics is best defined.
The field of economics known as macroeconomics examines the functioning, makeup, behavior, and decision-making of an economy as a whole. Macro- is a Greek word meaning "big" and economics. As an illustration, controlling an economy's expansion and stability through interest rates, taxes, and expenditures by the government Economies at the local, state, and international levels are included. Researchers Emi Nakamura and Jón Steinsson concluded in 2018 that the economic "data addressing the consequences of different macroeconomic strategies is still highly imperfect and vulnerable to substantial critique."
The Gross Domestic Product (GDP), unemployment (including unemployment rates), national income, price indices, output, consumption, inflation, saving, investment, energy, international commerce, and international finance are some of the subjects that macroeconomists research.
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A customer has a restricted margin account with $2,500 of sma. the customer wishes to buy $10,000 of a marginable listed stock. the customer must deposit? a $0 b $2,500 c $5,000 d $7,500
$0 is the amount that a customer must deposit. As a customer has a restricted margin account with $2,500 of SMA. The customer wishes to buy $10,000 of a marginable listed stock. Hence, option A is correct.
What is margin account?A margin account allows the broker to lend the customer money, so they can purchase stocks or other financial products. For the loan in the account, which has a recurring interest rate, the cash and the assets purchased serve as collateral.
A particular type of brokerage account known as a "margin account" is one in which the broker-dealer lends the investor money to purchase securities while using the account as security.
Thus, option A is correct.
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Gizmo+industries+stock+is+currently+selling+for+$80.+it+just+paid+its+annual+dividend+of+$1,+which+have+consistently+grown+at+a+rate+of+3.1%.+what+is+the+expected+return+of+this+stock?
4.38875% is the expected return of this stock.
Expected return=(D1/Current price)+Growth rate
=(1×1.031)/80+0.031
Which is equal to 4.38875%.
In finance, inventory includes the stocks of which ownership of a organization or organization is split. A unmarried share of the stock method fractional possession of the corporation in percentage to the entire variety of stocks.
A stock is a shape of safety that indicates the holder has proportionate ownership within the issuing company and is sold predominantly on stock exchanges. groups issue inventory to elevate finances to function their organizations. There are most important styles of inventory: commonplace and preferred.
Stocks are funding which means you very own a proportion in the organization that issued the stock. surely positioned, shares are a manner to build wealth. This is how everyday people invest in some of the most successful agencies inside the international.
Disclaimer:- your question is in wrong format, please see below for correct format.
Q. Gizmo industries stock is currently selling for $80. it just paid+its+annual+dividend+of+$1, which have consistently grown at a rate of 3.1%. what is the expected return of this stock?
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the practice management is ancient but the formal study of the body of management know;edge is relatively new,why is this?answer
The formal study of the body of management knowledge is relatively new because it is in stage of becoming a profession.
Management is defined as the process of managing, and organizing the activities to achieve the goals and objectives.
The profession is defined as well defined body of knowledge which is learned intellectually. It requires special skills. To enter in the profession, a person has to clear the written test.
In order to fulfill any task , management is required. In ancient times every task has management but there is no formal study of the body of management knowledge because they do it manually but not by applying any concept.
To fulfill any task effectively and efficiently study of management is required.
Therefore the study of management is relatively new and is in stage of becoming profession as it is not a full-fledged profession yet.
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Backwards compatibility is where new devices continue to support ____________ operations
Backward compatibility is where new devices continue to support legacy operations.
What is a Business legacy?A legacy is defined by the dictionary as a gift of real estate or anything passed down from the past.
The towns or areas where they operate are proud of them, as are the staff members, advisers, and others who contributed to the development of legacy enterprises.
As a result, legacy enterprises can be employed as a source of income for people who founded them so they can pursue other interests, sold or bought for a top price, or passed down to heirs.
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enhancing qualitative characteristics of accounting information include each of the following except:multiple choice
The correct Option is All of the above, except comparability, are beneficial characteristics of accounting information.
What are qualitative characteristics?
The qualities that make financial data useful to users are known as qualitative characteristics. Qualitative qualities can be divided into Fundamental and Enhancing quality dimensions for analytical reasons. Comparability, verifiability, timeliness, and understandability are the four qualitative traits that can be improved. For users to make and evaluate economic decisions, the information must, according to the feature of relevance, be both confirmatory and predictive. Qualitative traits are the features that satisfy the decision utility of financial information, according to the framework. Relevance, reporting quality, comparability, understandability, verifiability, and timeliness were the attributes mentioned by the framework.
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advertising claims sometimes state that adding something mechanical to a car's engine will allow it to recover 100 percent of the energy that comes from burning gasoline. you should be skeptical of such claims because they violate the
Transfers of mass and energy between bodies of matter and radiation make up a thermodynamic process. State functions are a name for these characteristics.
On the other hand, depending on the precise details of how the expansion takes place, the work that is done as the piston moves, the gas expands, and the heat that the gas receives from its surroundings.
Second Law of Thermodynamics.
Describe thermodynamics?The science of thermodynamics examines how heat, work, temperature, and energy are related.
The general topic of thermodynamics is the transfer of energy from one location or form to another.
Before around 1798, when British military engineer Count Rumford (Sir Benjamin Thompson) discovered that endless amounts of heat could be produced in the drilling of cannon barrels, heat was not technically acknowledged as a kind of energy.
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how does having knowledge of marketing and its many applications help an individual? (select all that apply)
Option (B). It can make the individual a better consumer; Option (C). It can help the individual be a more informed citizen and Option (D). It can help the individual in career planning are the correct options.
When an individual has knowledge of marketing and its applications an individual can make the individual a better consumer, can help the individual be a more informed citizen, It can help the individual in career planning.
What are the benefits of having marketing knowledge?The essence of what makes us human is marketing. Marketing is more than just pushing chewing gum, automobiles, cell phones, and vacation packages. Every aspect of life entails trying to sell something to someone. In the market for mating, we advertise ourselves. The labor market is where we advertise ourselves. Through our personal websites and social media platforms, we promote ourselves online. We promote ourselves to potential new buddies. We pitch our concepts to academic reviewers, investment capitalists, colleagues, and book publishers. We are born marketers since we belong to a gregarious species with vast brains. Marketing is the foundation of capitalism, the economic system that has lifted countless people out of utter poverty and misery. Everything that characterizes your day-to-day life bears the inescapable imprint of marketing.
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The complete question is: "How does having knowledge of marketing and its many applications help an individual? (Select all that apply)
A. It can help the individual understand world events.
B. It can make the individual a better consumer.
C. It can help the individual be a more informed citizen.
D. It can help the individual in career planning."
the benefits and costs of jtpa title ii-a programs: key findings from the national job training partnership act study
For the job outcomes for female and male teenagers who had not previously been arrested, the study's causal evidence is of a high quality.
Thus, we are certain that the anticipated consequences are purely due to JTPA and not due to any other variables.
The job results for male youngsters who had previously been arrested and the educational outcomes for all groups exhibit a mediocre causal relationship. This indicates that while we have some confidence that the anticipated effects would be attributed to JTPA, it's possible that other factors also had a role.
What major conclusions did the National Job Training Partnership Act research yield?In order to compare the effects of the offer to enroll in Job Training Partnership Act (JTPA) Title II-A programs on welfare receipt, participation in and attainment in education and training, and labor market earnings to a control group who were not permitted to enroll in JTPA services.
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an operations manager is performing a factor-rating analysis to help her choose an outsourcing provider. she is focusing on three factors: a, b, and c, with weights of 0.50, 0.20, and 0.30, respectively. she has scored one potential outsourcing provider, linko services, on each of the factors using a scale of 10-50. linko services received a score of 30 for factor a, 46 for factor b, and 22 for factor c. what is the factor-rating score for linko services
An operations manager performing a factor-rating analysis to help her choose an outsourcing provider is 30.8. The factor-rating score for Linko services is 30.8. This Factor rating analysis offers a way for steam to compare projects on multiple dimensions, which are weighted to reflect their relative importance.
In most businesses, operations managers oversee the big picture of their organization. They are responsible for managing processes, purchasing, accounting, human resources, inventory, and IT. There are different levels to an operations manager's career path.
The operations management career outlook is positive and can be an excellent profession for those who are highly organized and enjoy the planning and scheduling of activities related to the creation and on-time delivery of quality products at an acceptable cost.
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mark's consulting services experienced the following transactions for year 1, its first year of operations, and year 2. assume that all transactions involve the receipt or payment of cash. transactions for year 1 acquired $50,000 by issuing common stock. received $135,000 for providing services to customers. borrowed $23,000 cash from creditors. paid expenses amounting to $60,000. purchased land for $30,000 cash. transactions for year 2 beginning account balances for year 2 are: cash $ 118,000 land 30,000 notes payable 23,000 common stock 50,000 retained earnings 75,000 acquired an additional $28,000 from the issue of common stock. received $130,000 for providing services in year 2. paid $18,000 to reduce notes payable. paid expenses amounting to $67,000. paid a $11,000 dividend to the stockholders. determined that the market value of the land is $40,000.
The market value of the land is $40,000 Require balance after Event 2 is
Year 1 = 130,000
Year 2= 261,000
What is meant by retained earnings?
Retained earnings are the quantity of income a agency has left over after paying all its direct costs, oblique costs, profits taxes and its dividends to shareholders. This represents the part of the business enterprise's fairness that may be used, for instance, to put money into new equipment, R&D, and marketing.
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when a computer manufacturer makes 250 personal computers on monday and 100 on tuesday, it is experiencing in supply, which is a type of system inhibitor.
Variance is a type of system inhibitor when a computer manufacturer makes 250 personal computers on monday and 100 on tuesday, it is experiencing in supply
What is meant by Variance in supply ?
The difference between an expected value and the actual value is referred to as variation. A cost overrun would provide a negative variance; for instance, a cost variance would be computed by deducting the actual cost from the anticipated cost. If the physical stock differs from the ledger stock during a stock count in inventory control, this is a variance, and the result of the stock check will be a variance report showing the scope and direction of the stock check discrepancy.
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Which term refers to the percentage of visitors or potential customers who click, buy, or donate to a site?
Conversion rate refers to the percentage of visitors or potential customers who click, buy, or donate to a site.
What is the conversion rate?Out of all the traffic or interactions, the conversion rate is the proportion of people that take an action that results in your business's acquisition goals being met. You can immediately determine if a specific client touchpoint is operating well thanks to measurement.
Many crucial times in a customer's experience are measured by conversion rates. Let's examine each stage where the conversion rate is concerned with acquiring a new client, for instance:
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The purchaser of a bond pays the ______ price, whereas the investor who already owns the bond and sells it receives the ________ price.
The purchaser of a bond pays the bid price, whereas the investor who already owns the bond and sells it receives the spread price.
Buyers or purchasers are responsible for purchasing products, materials, and services for their organization. This may include office supplies, retail products, or manufacturing facilities. Duties include assessing the market, evaluating pricing and availability, ordering new products, and keeping accurate records.
Buyers and buyers buy goods and services for business. A person who buys a finished product such as clothing or furniture is called a buyer. A person who purchases parts or materials used in the manufacture of goods is called a buyer or purchaser. These two kinds of workers have similar duties. Buyers sometimes referred to as buyers or buyers, purchase goods, tools, and equipment for their own business or for resale to customers. Buyers work full-time and perform market research, inventory monitoring, and a variety of other duties in the office.
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The ending inventory of finished goods has a total cost of $10,000 and consists of 500 units. If the overhead applied to these goods is $2,000, and the overhead rate is 50% of direct labor, how much direct materials cost was incurred in producing these units?.
The ending inventory of finished goods has a total cost of $10,000 and consists of 500 units. If the overhead applied to these goods is $2,000, and the overhead rate is 50% of direct labor,$1,000 direct materials cost was incurred in producing these units.
Subtract the value of products sold during that period from your total inventory to calculate the finished goods inventory for a replacement period. From the $60 inventory, if you sold goods that cost you $50 to supply during that period, then your finished goods inventory for the amount is $10.
The finished goods inventory formula (finished goods inventory = beginning finished goods + cost of manufactured goods - COGS) refers to the calculation businesses use to see what number of inventory items are ready purchasable.
The total amount of finished goods inventory available as of the tip of a reporting period is usually aggregated with the prices of raw materials and work-in-process, and is reported within one "Inventory" item on the record.
To determine beginning inventory cost at the beginning of an accounting period, add together the previous period's cost of products sold with its ending inventory. From that sum, subtract the number of inventory purchased during that period.
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Assume an initial equilibrium at d1 and s1 with a price of $1.20 million per machine. if the government places a $100,000 excise tax on each new scanner sold, the new equilibrium price will be:_______
Assume an initial equilibrium at d1 and s1 with a price of $1.20 million per machine. if the government places a $100,000 excise tax on each new scanner sold, the new equilibrium price will be less than $1.30 million.
Economic equilibrium is a condition or state in which monetary forces are balanced. In impact, economic variables stay unchanged from their equilibrium values in the absence of external impacts. The regulation of demand, tells us the slope of the demand curve the regulation of delivery offers us the slope of the supply curve, and the shift variables for demand
The equilibrium fee is the handiest price wherein the plans of customers and the plans of producers agree that is, where the quantity clients want to shop for of the product, the amount demanded is equal to the amount manufacturers need to sell the quantity provided. This commonplace amount is referred to as the equilibrium amount.
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According to the law of demand, during a given period of time, the quantity of a good demanded.
Answer:
The Law of demand expresses the relationship between price and quantity demanded of a given commodity. It states that “ the quantity demanded increases with a fall in price and diminishes with rising in price, other things being equal.” This happens because of the law of diminishing marginal utility.
Explanation: