Are the stores customers making a systematic error

Assignment Help Business Economics
Reference no: EM13997423

The coffee shop near the local college normally sells 10 ounces of roasted coffee beans for $10. But the shop sometimes puts the beans on sale. During some sales, it offers "33 percent more for free." Other weeks, it takes "33 percent off" the normal price. After reviewing the shop's sales data, the shop's manager finds that "33 percent more for free" sells a lot more coffee than $33 percent off." Are the store's customers making a systematic error? Which is actually the better deal?

Reference no: EM13997423

Questions Cloud

Compare and contrast strategic planning-strategic thinking : Compare and contrast Strategic Planning, Strategic Thinking and how they impact and shape Strategy and Operational Effectiveness. Limit your sources to the text book and the relevant articles by Porter and Mintzberg
Belltone company made the following expenditures : All of the machinery on the assembly line in the plant was rearranged at a cost of $50,000. The rearrangement clearly increases the productive capacity of the plant.
Research paper on business intelligence and analytics : Advanced and critical issues in a specific area of data mining and its applications in business intelligence and analytics. Your research paper should emphasize not only breadth of coverage, but also depth of coverage in the specific area.
Adjusted gross income-responsibility concerning the error : While preparing Margaret's 20X4 tax return. John discovers an error on her 20X3 tax return, which Margaret prepared herself, in which Margaret's adjust gross income was understated by $ 10,000, roughly ten percent of her Adjusted Gross Income (AGI). ..
Are the stores customers making a systematic error : The coffee shop near the local college normally sells 10 ounces of roasted coffee beans for $10. But the shop sometimes puts the beans on sale. During some sales, it offers "33 percent more for free." Other weeks, it takes "33 percent off" the normal..
Financial statements according to ifrs : Repeat requirements 2 and 3 assuming that Leeds prepares its financial statements according to IFRS.
Supply curve to shift to right in market for gasoline : Which of the following would cause the supply curve to shift to the right in the market for gasoline?
Suppose the demand-represents the price of good : Suppose the demand for X is given by Qxd = 100 – 2PX – 4PY + 10M + 2A, where PX represents the price of good X, PY is the price of good Y, M is income, and A is the amount of advertising on good X. Based on this information, we know that good X is a:
Show the quantity of domestic production of apples : Initially Country A imports apples because the world price (PW, blue) is below the price that would apply (PA), in the absence of trade, in A; illustrated in diagram 1. Consumer and producer surplus are shaded in green and yellow respectively. show t..

Reviews

Write a Review

Business Economics Questions & Answers

  Consumer product safety commission

The Consumer Product Safety Commission is reconsidering a rule it first proposed in 1997 that would require child-restraint caps on household products, including cosmetics. What process must the CPSC follow to promulgate the rules? What do you think ..

  Delivery also demand cruve

Suppose which equilibrium income is 3200 also the multiplier is 2.38. Equilibrium income would rise to 3400 if planned investment.

  Does a persistent balance of payment deficits

Does a persistent balance of payment deficits result in a pressure to devaluate the currency.

  Consider a positive AD shock hitting the economy

Consider a positive AD shock hitting the economy. Draw an AS/AD diagram and show both the short-run and long-run effects of the shock. And then, explain step by step the adjustment process after the shock, i.e. both the short run deviation from LRAS ..

  Write a formula which describes the marginal product

Write a formula which describes the marginal product of labor in the short run as a function of the amount of the labor used.

  If production of an item results in negative external costs

If production of an item results in negative external costs, then the market price is below the socially referred price that reflects the external costs the market price is above the socially preferred price that reflects the external costs market fo..

  Define the three types of agency authority

Define the three types of agency authority. List and discuss the provisions of the Family Medical Leave Act. What technology company recently adopted very generous provisions for medical leave for pregnancy?

  Frequent large price changes as are markets

The market for autographs including letters o other documents signed by famous people is subject to frequent large price changes as are markets for most collectables.

  Explain how the price-specie-flow mechanism operates

Explain how the price-specie-flow mechanism operates to maintain balanced trade between countries. What are the assumptions that are critical to the mechanism's successful operation?

  Two examples of price discrimination

Two examples of price discrimination? and Think about a firm and its investments. Describe different types of capital. Describe the behavior of oligopolistic firm. how does the firm use Game Theory? define and explain the two types of game theory ass..

  Illustrate what were you thinking about the economy

Illustrate what were you thinking about the economy in 2005 and did you ever foresee a crisis of this magnitude.

  Perfect competitive market-monopolized market

If the on-campus demand for soda is as follows: what price will students end up paying in a perfect competitive market? a monopolized market?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd