Question
Aman and Bhanu started a business with initial investments
of Rs. 1824 and Rs. 1248, respectively. After 7 months, Aman increased his investment by Rs. 330, whereas Bhanu reduced his investment by Rs. 90. If the total profit after 15 months is Rs. 9792, determine Aman's share of the profit.Solution
ATQ;
Ratio of profit share of Aman and Bhanu = [1824 × 15 + 330 × 8]:[1248 × 15 – 90 × 8] = 30000:18000 = 5:3
Profit share of Aman = 5/8 × 9792 = Rs.6120
If the firms under perfect competition have different costs, abnormal profits can be earned in the long run only by
In case of Giffens goods, price effect is
From the resource allocation point of view, perfect competition is preferable becauseÂ
Shifts in demand curve as shown in the figure below represents
A movement along a demand curve indicates that a different quantity is being demanded
This movement is due to
When the economist speaks of an increase in demand, he is usually referring to a ____________________
Elasticity of demand measures the
Pricing decision includes
Which one of the following is not the function of a managerial economist?
Elasticity of demand is based on which of the following factors?