Macy’s increased the price of one of its dresses from $100 to $120. The increase caused a decrease in the quantity demanded from 1,000 coats to 900 coats. Calculate the price elasticity of demand using the simple method. 3 marks
Identify whether each of the following takes place in factor market (F)or the product market (P). 2 marks each
Carla buys a brand new handbag from the retail store, Dooney and Bourke.
Honda sells a factory to Toyota so that its operations can be expanded.
Stacy works 40 hours a week as a Bartender at Curtain Bluff hotel.
The School Meals Factory purchases utensils from Shoul’s Toys and Gifts.
Karl spends $200 to purchase flash drives from Best Buy.
Fredericka earns $625 an hour as a journalist.
g.Taj spends $8 to order a mojito drink
