Kremi Ice Cream Factory manufactures vanilla ice cream and chocolate ice cream. There are times when vanilla ice cream is eaten with sprinkles. Illustrate giving reasons for your answer what would happen to the demand for VANILLA ice cream in the situations below: (a) Government cuts wages by 10% (b) The price of chocolate ice cream increase (c) The price of sprinkles decreased (d) The price of vanilla ice cream decreased.
Kremi Ice Cream Factory manufactures vanilla ice cream and chocolate ice cream. There are times when vanilla ice cream is eaten with sprinkles. Illustrate giving reasons for your answer what would happen to the demand for VANILLA ice cream in the situations below: (a) Government cuts wages by 10% (b) The price of chocolate ice cream increase (c) The price of sprinkles decreased (d) The price of vanilla ice cream decreased.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Kremi Ice Cream Factory manufactures vanilla ice cream and chocolate ice cream. There are
times when vanilla ice cream is eaten with sprinkles. Illustrate giving reasons for your
answer what would happen to the demand for VANILLA ice cream in the situations below:
(a) Government cuts wages by 10%
(b) The price of chocolate ice cream increase
(c) The price of sprinkles decreased
(d) The price of vanilla ice cream decreased.
(e) Government increased income tax.
(f) More people moved into the community where Kris Kros is located.
(g) There was an announcement that the price of vanilla ice cream will decrease in the
next two (2) weeks.
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