Q1. Suppose a firm in each of the two markets listed below were to increase its price by 30 percent. In which pair would the firm in the first market listed experience a dramatic decline in sales, but the firm in the second market listed would not
Q2. How might (a) seasonal factors and (2) different growth rates distort a comparative ratio analysis? Give some examples. How might these problems be alleviated?
Q3. Consider decision making process used by consumers as they budget their money to maximize use of their resources, what step do rational consumers take in order to optimize their spending of discretionary income?