Author Question: Suppose that accountants increase the price for calculating income taxes owed by 20 percent. The ... (Read 32 times)

fnuegbu · **on:** Jun 29, 2018

Suppose that accountants increase the price for calculating income taxes owed by 20 percent. The short-run demand for their service is less elastic than the long-run demand because in the long run consumers will ________.

A) spend less on this service
B) experience an increase in income
C) try to avoid paying their income tax
D) find other ways to calculate the income tax they must pay

Question 2

The above table gives some of Tammy's total and marginal utilities from comedy videos. Which of the following statements is TRUE?

A) Tammy's marginal utility from the third comedy video is equal to 580/3.
B) Tammy's total utility from five comedy videos is 800.
C) Tammy's marginal utility from the first comedy video is less than her marginal utility from the third comedy video.
D) None of the above answers are correct.