during the current year, nordsom corp. increased its warranty accrual by $30,000 based upon recent experiences with product returns resulting from manufacturing defects originating last year, but not discovered until this year.

Answers

Answer 1

Nordsom Corp. increased its warranty accrual by $30,000 in 2020, based on recent experiences with product returns caused by manufacturing defects that occurred in 2019 but were not discovered until 2020. Accounting estimate modification / prospective treatment.

What is Product returns?A product return in retail is the process of a customer returning previously purchased merchandise to a retailer and receiving a refund in the original form of payment, an exchange for another item, or a store credit. Unmet expectations, damaged or defective products, and incorrect fit are the most common reasons for purchase returns. Any of these issues could be the result of merchant failures or events over which the merchant had no control. A returns policy specifies the conditions under which a customer may return a product for cash, exchange, or store credit, as well as how the merchandise should be packaged and shipped to the manufacturer or seller.

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Related Questions

A company’s hr department is overwhelmed with a constant flood of résumés submitted through its website and in response to the ads it places for job vacancies. Derrick, the department’s manager, is concerned that the company will overlook excellent candidates because employees don’t have time to carefully evaluate or remember all the applicants. How might an applicant-tracking system help the department?.

Answers

If Derrick, the department’s manager, is concerned that the company will overlook excellent candidates . How an applicant-tracking system can help the department is : by matching information in resumes against the company's selection criteria and then storing records for future searches

What is applicant-tracking system?

An applicant-tracking system can be defined as the process of making use of computer software to track all the resumes or cv that was submitted by applicant in which the best resume or the resume that best meet the company requirement or criteria based on the skills and experience that the applicant have in their resume are ranked first above all other resume.

Most companies or organization tend to make use of applicant-tracking system as this will enables them to screen out less qualified candidate that does not meet the company requirement.

Therefore we can conclude that applicant-tracking system can enables company to choose the candidates that meet the company selection criteria.

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when an agreement fails to qualify as an enforceable contract, but one of the parties breaches the agreement, the non-breaching party: may sue for reformation. may sue for specific performance. has no remedy. may sue for unjust enrichment.

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In a contract, when an agreement fails to qualify as an enforceable contract but one of the parties breaches the agreement, the non-breaching party has no remedy.

What is a contract agreement?

As a contract means a legally binding agreement between two or more parties, the contractual agreement therein, helps to creates a promise that certain rights and obligations will be fulfilled by each party

Most often, a contract will only be enforceable if both parties have entered into the contract willingly. However, when one parties have been bullied, pressured, manipulated into entering into the contract, the contract will be unenforceable because of lack of consent.

Answers

This example shows that C. A segment must be large enough to warrant developing and maintaining a product.

What is a product?

A product can be defined as any physical object (tangible item) that is typically produced by a manufacturer so as to satisfy and meet the demands, needs or wants of every customer.

In Business management, some examples of a product include the following:

Digital cameraRefrigeratorLaptop computerSmartphones or Mobile phonesTelevisionMicrowave ovenSoftwareShampooDrugs

Based on the research conducted by Carol, we can reasonably infer and logically deduce that a market segment must be large enough before a manufacturer (producer) can develop and maintain a product, as well as making profit by selling the product.

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Complete Question:

Carol has developed a new needle threader for stitching. She has used the needle threader herself and contacted all of the other stitchers in her area. After months of research, she decided that other stitchers were satisfied with the needle threaders they already used and that she couldn't make a profit by selling her new needle threader. This example shows that

A. Carol's needle threader didn't work very well

B. People who enjoy cross-stitch and needlepoint do not form a market segment

C. A segment must be large enough to warrant developing and maintaining a product

D. Carol should keep trying to sell her product

which of these is most likely to be an unsought product? group of answer choices a swagtron hoverboard a 5-hour energy shot a flight on american airlines to phoenix roget’s thesaurus ivory soap

Answers

The most likely to be an unsought product is given as Roget's thesaurus. Option D

This is further explained below.

What are Unsought products?

Generally, Unsought goods are those that the customer either is unaware of or is aware of but does not immediately want, such as Roget's Thesaurus.

The term "unsought products" refers to items that the average customer is either unaware of or does not often consider purchasing, but may end up doing so owing to the presence of risk or the anticipation of risk combined with a deficiency of desire.

Funeral services, encyclopedias, fire extinguishers, and reference books are some of the most well-known examples of items that are not actively sought.

In conclusion, It is said that Roget's thesaurus is the product that is least likely to be in demand. The D Option

Answers

A presentation of the multiple-step income statement is presented below.

Wayman Corporation

Multiple-step income statement

As on December 31,2021

Sales revenue $397,000

Less: Cost of goods sold -$131,000

Gross profit $266,000

Less: Operating expenses

Salaries expense $41,000

Utilities expense $51,000

Advertising expense $31,000

Total operating expense -$123,000

Operating income $125,000

Less: Interest expense -$15,000

Income before taxes $110,000

Less: Income tax expense -$45,000

Net income $65,000

So, a multi-step income statement is an income statement which tends to segregate the total revenue and expenses into the operating and the non-operating heads.

Hence, the presentation of the multiple-step income statement was presented.

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interest incurred, but not yet paid during an accounting period, should be recorded as an expense and a(n) . multiple choice question. revenue contra account asset liability

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Interest incurred, but not yet paid during an accounting period, should be recorded as an Accrued Expense.

Accrued Expense is an expense which is incurred in one accounting period but not yet paid.

Recording an accrued expense means that transaction has been recorded when it incurred but not yet paid.

It is shown on the liability side of the balance sheet as a current liability because it makes obligation for the company to pay its expenses.

It helps in showing the true and fair view of the financial statements .

It requires more journal entries to record than simple cash balance accounting.

It increases both expense and liabilities as unpaid bills get accumulated.

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a company has net sales of $861,000 and cost of goods sold of $571,000. its net income is $102,900. the company's gross margin and operating expenses, respectively, are:

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A company with net sales of $861,000, COGS of $571,000, and net income $102,900 will have gross margin 33.7% and operating expenses $187,100.

Revenue is the amount of money generated from sales.

The net sales of the company is $861,000. This is the revenue.

From the revenue, we can calculate the gross profit:

Gross profit = Revenue - COGS

Where:

COGS = Cost of goods sold

Substitute COGS = $571,000 and revenue = $861,000 into the formula:

Gross profit = $861,000 - $571,000 = $290,000

Gross margin = gross profit / revenue

Gross margin = $290,000 / $861,000 = 0.337 = 33.7%

Net income = Gross profit - Operating expenses

$102,900 = $290,000 - Operating expenses

Operating expenses = $290,000 - $102,900 = $187,100

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Which asset is the most liquid?

A. A certificate of deposit

B. An individual retirement account

C. Commercial real estate

D. Residential real estate

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A. A certificate of deposit

when reimbursing the petty cash fund: multiple choice petty cash is debited. cash is debited. appropriate expense accounts are debited. petty cash is credited. no expenses are recorded.

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When reimbursing the petty cash fund appropriate expense accounts are debited.

Petty cash is any small amount of cash used for expenses where payment by check is impractical due to the hassle and cost of writing, signing, and cashing checks.

Petty cash is a small amount of cash held on company premises to meet small cash needs. Examples of these payments are office supplies, cards, flowers, etc. Postage is kept in a small cash drawer or box near where you need it most.

Every business needs petty cash to make small transactions on a daily or weekly basis. Instead of having to use a check all the time, think of it as a small amount of cash to keep on hand for "small" expenses.

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when henry receives the rfp issued by one of his customers, he notices that the company has changed its specifications since it placed a previous order with him. his company's products do not meet the new specifications. in this situation, being the current vendor

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As Gregor receives the RFP but notices that the company has changed its specification which means the company's products do not meet the new specifications. In this situation, being the current vendor will probably not be an advantage in getting the new order.

What is the meaning of RFP?

Basically, a RFP means a request for proposal; it is a business document that announces a project, does describes and solicits bids from a qualified contractors to complete it. It is also used as the project announcement that is posted publicly by an organization indicating that bids for contractors to complete the project are sought.

Whichever way, its helps to define the project for the company that issues it as well as the companies that respond to it, as well, as the project's goals and the organization that is sponsoring it and outlines the bidding process and contract terms.

Answers

(a) An example of the price of a good changing is the price of laptop which has been changing due to the increase need by its users.

(b) A major determinant factor which has been affecting the price of laptops include its price and high level of technological advancement.

Understanding the determinant factors which affects the price of commodities in the labour market.

There are several factors which usually, frequently and most of the time affect the supply or demand of a particular commodity. These factors include:

The price of the commodity The prce of others related commodities.Technological advancementGovernment policiesNatural conditions.

As a result of the fact that people demand alot for laptops, it price changes from time to time in order to meet its supply.

That being said, because the internet is the future, many now need laptops to access or trap into several online opportunities which in the long run affect the price, demand and supply of laptops and other commodities.

In conclusion, the determinant of demand and supply which led to decrease in price of laptop computers is technological change because at improved technology, the cost of producing laptop decrease thereby causing a decrease in price of laptop and increase in demand for laptop.

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what could be a less dangerous alternative that is economically feasible for a manufacturer to prevent legal exposure for a product being unreasonably dangerous?

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A product is considered unreasonably dangerous if it is dangerous beyond the ordinary consumer's expectations or if a less dangerous alternative was economically feasible for the manufacturer but was not produced.

What does the phrase "unreasonably dangerous" mean?A product that is unreasonably dangerous is one that poses greater risks than a reasonable user would expect when using the product as intended. This definition distinguishes between dangerous products, such as drain cleaners or chainsaws, and those that pose risks beyond their intended purpose. Unreasonably dangerous means dangerous when used normally, and dangerous to a greater extent than a typical consumer would consider. Because of its dangerous design, the product injures a user. If either of these flaws renders the product unreasonably dangerous when used as intended, any seller (from manufacturer to retailer) may be held liable for any injuries caused by the defective product.

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xercise 11-6 (algo) stock issuance for noncash assets lo p1 sudoku company issues 30,000 shares of $5 par value common stock in exchange for land and a building. the land is valued at $241,000 and the building at $372,000. prepare the journal entry to record issuance of the stock in exchange for the land and building.

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11-4 Stock issuance for noncash assets LO P1 Sudoku Company issues 17,000 shares of
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suppose that the price of corn, a crop produced in a perfectly (or purely) competitive industry, increased 208% last year as demand for corn‑based ethanol fuel increased. what do you expect to happen in the long run for the corn industry given this recent success?

Answers

I expect to happen in the long run for the corn industry given this recent success profits would be equal to zero.

What is corn?

Corn was first domesticated by local peoples in southern Mexico some 10,000 years ago. Modern corn is thought to have evolved from the wild grass Balsas teosinte. By the time of European arrival of North America, its civilization had expanded as far north as southern Maine, and Native Americans taught European colonists how to harvest indigenous grains. Corn has expanded to all areas of the world that are suitable for agriculture since its introduction into Europe by Christopher Columbus and other explorers and colonisers.

There is perfect entry and exit of enterprises in a perfectly competitive industry. When there is a profit in the short run, new firms will enter the industry, driving earnings to zero in the long run. If, on the other hand, a firm earns negative profits, firms will exit the industry in the long run, bringing earnings to zero.

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sterling glass company uses the high-low method to analyze mixed costs. the following information relates to the production data for the first six months of the year. month cost hours january $ 4,610 360 february $ 4,975 520 march $ 5,780 610 april $ 4,575 320 may $ 5,775 920 june $ 5,410 560 what is the estimated total cost at an operating level of 210 hours?

Answers

The estimated total cost at an operating level of 210 hours is $4355.

Total cost

Total cost (TC) is the lowest dollar cost of producing some quantity of output in economics. This is the total economic cost of production, which consists of variable cost, which varies according to the quantity of a good produced and includes inputs such as labour and raw materials, and fixed cost, which is independent of the quantity of a good produced and includes inputs that cannot be changed in the short term, such as buildings and machinery, as well as possibly sunk costs. In economics, total cost includes the total opportunity cost (benefits from the next-best alternative) of each factor of production as part of its fixed or variable costs.

Fixed cost = Total cost at highest level - (Total hours at highest level × Variable cost/hour)

= $5,775

(920 x 2)

= $3,935

Cost for 210 hours Fixed costs + Variable costs =

= $3,935+ 210× 2

= $4,355

The estimated total cost at an operating level of 210 hours is $4355.

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a is an entity created by law that is separate from its owners. owners are called stockholders or shareholders. these entities can be privately or publicly held. multiple choice question. limited liability partnership sole proprietorship corporation partnership

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A corporation, also known as a C corporation, is a legal entity distinct from its owners. Owners are called stockholders or shareholders.

A corporation, also known as a C corporation, is a legal entity distinct from its owners. Corporations can profit, be taxed, and be held legally responsible. Corporations provide the best protection against personal liability for their owners, but they are more expensive to form than other structures. Corporations have many of the same legal rights and responsibilities as individuals. They have the ability to enter into contracts, lend and borrow money, and pay taxes.

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when walmart founder sam walton drove his old pick-up truck to work, his employees embraced his ethic of frugality. what type of power did he display?

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When Walmart founder Sam Walton drove his old pick-up truck to work, his employees embraced his frugal business philosophy. He exhibited the referent type of power.

Who is Sam Walton?Samuel Moore Walton was an American businessman and entrepreneur who founded the retail chains Walmart and Sam's Club. Wal-Mart Stores Inc. grew to become the world's largest corporation by revenue as well as the world's largest private employer. Walton was the wealthiest man in America for a time. The Walton family remains Walmart Inc.'s largest shareholder. According to official company documents, the children of Walmart founder Sam Walton own roughly half of all Walmart shares. Sam opened the first Walmart in Rogers, Arkansas, at the age of 44, inspired by the early success of his dime store and driven to provide even greater opportunity and value to his customers.

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The lowest payment does not necessarily mean the best credit plan. If your car loan is a long period of time, you may end up owing more than the car is worth, which is called.

Answers

That's called “negative equity, also considered as the “upside down” or “underwater” on a loan — which means to owe more on a vehicle than its actual worth.

Negative equity is when your goods become worth less than the remaining value of your mortgage. To be in it, the value must be less than the amount you still owe on your mortgage.

A spinning line of credit is a course of action between a person and a bank to borrow a loan on a short-term premise to meet brief cash setbacks.

Banks that issue a spinning line of credit ordinarily charge a start expense to begin the credit and set a most extreme for the sum borrowed which is regularly the customer's credit restrain.

Falling local property values and missing the number of payments can cause negative equity. This is a problem that can make selling more difficult. if the negative equity is too much to calculate the Loan-to-Value ratio (LTV).

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it is generally neither necessary nor useful to have every single function represented on the core project team, as that would make communications and scheduling meetings more difficult.

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The statement is True.

The required details about core project team is mentioned in below paragraph.

A Core Team (CT) is a group of subject matter specialists who work together on a specific project under the direction of the core team manager. These professionals collaborate to identify solutions for the project's implementation, keeping their management informed of their choices and any potential dangers they may have.

The methods that organize and coordinate the project crew are included in Project Human Resources Management. The project team is made up of the persons who have been allocated tasks and duties to accomplish the project. While it is typical to discuss the assignment of roles and duties, team members should be involved in project planning and decision making to a great extent. Team members that participate early in the planning phase gain experience and increase their commitment to the project. As the project continues, the kind and number of project team members may change. The methods that organize and coordinate the project crew are included in Project Human Resources Management.

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which one of the following statements is correct? group of answer choices if a partner of a liquidating partnership is unable to pay a capital account deficit, the deficit is absorbed by the other partners in the profit and loss ratio of those partners.

Answers

The correct option is A.

The required details about profit and loss are mentioned in the below paragraph.

A profit and loss (P&L) statement is a financial statement that describes the revenues, expenditures, and expenses incurred over a certain time, which is commonly a quarter or fiscal year.

Profit or loss on the net. Add any extra money to your gross profits, then subtract your expenses. This is your net income; a positive net income indicates a profit; a negative net income indicates a loss. Even businesses with large gross earnings might incur losses if their expenses spiral out of control.

a statement that shows how net revenue is converted into net income

This statement will help you decide if you have enough cash to pay your payments and forecast how much cash you'll need in the future to fund your business activities.

Thus, option A is the correct option.

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Which one of the following statements is correct?

A. If a partner of a liquidating partnership is unable to pay a capital account deficit, the deficit is absorbed by the other partners in the profit and loss ratio of those partners.

B. Gains and losses from the sale of noncash assets are divided in the ratio of the partners' capital account balances if there is no income-sharing plan in the partnership contract.

C. A loan receivable from a partner is added to the partner's capital account balance in the preparation of a cash distribution plan.

D. Partners may not receive any cash before partnership creditors receive cash when liquidating a partnership.

E. All cash payments to partners are made using their profit and loss ratio when liquidating the partnership.

(COMPLETE QUESTION)

analytics llc processes misinterpreted data furnished by botch services to propose a marketing plan for clientele inc. analytics and clientele are both ignorant of the mistaken data. their contract can be rescinded on the basis of

Answers

Their contract can be rescinded on the basis of a bilateral mistake.

The required details about analytics is mentioned in below paragraph.

Discovering, understanding, and communicating meaningful patterns in data is the process of analytics. Simply put, analytics enables us to recognize insights and valuable data that we might not otherwise notice.

A joint legal mistake is another term for a bilateral error. It arises when both parties are acting incorrectly on faulty information. Bilateral errors can be troublesome since both parties misunderstand the contract and its terms. When one partner falls unexpectedly ill, when an expected product inventory does not arrive at its intended place, or when parties are mistaken about legal title of a property or object, a bilateral mistake can develop. A joint legal mistake is another term for a bilateral error. It arises when both parties are acting incorrectly on faulty information. Bilateral errors can be troublesome since both parties misunderstand the contract and its terms.

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Suppose televisions are a normal good and buyers of televisions experience a decrease in income. As a result, consumer surplus in the television market.

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Answer:

Explanation:

Consumer surplus always increases as the price of a good falls and decreases as the price of a good rises.

Consumer surplus in the television market may increase, decrease, or remain unchanged.

What do you mean by Experience?

The fact or condition of having been impacted by or learning anything by direct observation or engagement is known as experience.

Consumer advantages from market competition are measured economically as consumer surplus. When customers pay less for a good or service than they are willing to, this is known as a consumer surplus.

The consumer surplus would be lower and inequality would be higher if markets lacked competition. Higher producer surplus and greater inequality result from lower consumer surplus. Because of the consumer surplus, consumers can choose from a broader variety of goods.

Therefore, it may increase, decrease, or remain unchanged.

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The lowest payment does not necessarily mean the best credit plan. If your car loan is a long period of time, you may end up owing more than the car is worth, which is called.

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The lowest payment does not necessarily mean the best credit plan. If your car loan is a long period of time, you may end up owing more than the car is worth, which is called Negative Equity.

When the value of an item used as collateral for a loan is lower than the loan's outstanding balance, there is a deficit in owner equity known as negative equity.

When a real estate property's worth is lower than the balance still owed on the mortgage used to buy it, negative equity is created. Simply deducting the balance of the mortgage from the property's current market value yields the amount of negative equity.

You have negative equity if you owe more on your current auto loan than the car is worth. In other words, you couldn't get the amount you owe on your car if you tried to sell it.

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information that is free from error or bias and accurately represents the events or activities of the organization is group of answer choices relevant. accurate. verifiable. timely.

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information that is free from error or bias and accurately represents the events or activities of the organization is reliable.

is found in information that is dependable and free from error or bias?

If information correctly depicts the events or operations of the organization and is free from bias or inaccuracy, it is considered dependable. If significant components of the underlying events or actions that it measures are not left out, the information is comprehensive.Information that doesn't leave out crucial details of the underlying activities or occurrences that it measures Complete the value of information is the benefits produced by possessing and using the information minus the cost of producing it

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it is 2017, and you work for a prestigious man- management consultant firm whose client is a large agribusiness company that is considering acquiring an ownership stake in several u.s. yellow perch farming operations. (the yellow perch is a fresh fish found in the united states and raised commercially for sale as food.) as a member of the consulting team working on this project, you have been assigned the task of understanding why the u.s. farm-raised perch industry has evolved as it has over the last six years.

Answers

To identify organizational difficulties, collect and evaluate data, develop and implement solutions, and engage with company executives and business leaders.

Man management skills: what are they?

Technical talents are easier to define than people management abilities, commonly referred to as "soft skills." Simply said, they are the abilities you need to manage your employees effectively and to effectively handle, engage with, and lead them. They include abilities like workplace communication, trust, and patience, to mention a few.

What are the three categories of skills?

There are three categories of skills: self-management, functional, and specialized knowledge. Functional skills are innate aptitudes or capabilities that are refined through practice and education. Examples include choosing a course of action, fixing machinery, or figuring taxes.

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a project team discovers an efficient process to more quickly develop a product. the program manager implements the idea in several other projects. when the portfolio manager learns that the more efficient process is working across several projects, they recommend it to several programs. this scenario exemplifies which best practice?

Answers

The portfolio manager suggests it to several programs once they discover that the more effective procedure is being used across a number of projects. The best example of continuous improvement practice is this scenario.

What is a practice of continuous improvement?

Kaizen, or continuous improvement, is a process for finding opportunities to eliminate waste and streamline work. The practice, which is now utilized by thousands of businesses worldwide to find cost-saving opportunities, was formalized by the success of Lean, Agile, and Kaizen in manufacturing and business.

Numerous of these ideologies work well when combined. For continuous improvement, Kaizen and Kanban, for instance, can work together. The right tool for the enterprise integrates continuous improvement in an automated, scalable solution, even though it can be practiced without a formalized version of a Lean and Agile method.

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pan american refineries, headquartered in houston, must decide among three sites for the construction of a new oilprocessing center. the firm has selected the six factors listed

Answers

The revenue maximum is 22.1 million. We see that is equal to 2.50 by the table by linear programming problem.

Set up a linear programming problem and because the problem mentions Boston and New York. Now, for this revenue calculation, multiply 25094 by 76.4 million 3/4 and 279 minutes. 279 4 15 minutes per 60 minutes or more That there is one, so they get six thousand states point. And 21 million divided by four equals four. One million and four seconds. 217 100,000. And the revenue maximum is 22.1 million. We see that is equal to 2.50 by the table.

Here is the complete question-

Pan American Refineries, headquartered in Houston, must decide among three sites for the construction of a new oil-processing center. The firm has selected the six factors listed below as a basis for evaluation and has assigned rating weights from 1 to 5 on each factor: FACTOR FACTOR NAME RATING WEIGHT1 Proximity to port facilities 52 Power-source availability and cost 33 Workforce attitude and cost 44 Distance from Houston 25 Community desirability 26 Equipment suppliers in area 3Subhajit Chakraborty, the CEO, has rated each location for each factor on a 1- to 100-point basis. FACTOR LOCATION A LOCATION B LOCATION C1 100 80 802 80 70 1003 30 60 704 10 80 605 90 60 806 50 60 90. Use linear programming to get weighted score.

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blake is in the process of buying a new car. he is highly involved in the purchase and perceives significant differences among his three favorite models. blake's next step is most likely to be

Answers

Based on the fact that Blake has perceived significant differences between the models, the next step in buying is most likely evaluation of alternatives.

What is the next step in purchasing?

Blake wants to buy a car and already knows that there are significant differences between the models of cars that he wants to buy.

This means that his next step would then be to evaluate those cars based on those significant differences that they have, and his preferences.

Options for this question include:

A)postpurchase behaviourB)evaluation of alternativesC)opinion leadershipD)cognitive dissonanceE)purchase decision

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brushes and co. produces toothbrushes and is considering adding a new production line with newer technology. this process is consistent with decisions because . group of answer choices long-run production, capital is being changed short-run production, capital is being changed. long-run production, raw materials are being changed. short-run production, raw materials are being changed.

Answers

brushes and co. produces toothbrushes and is considering adding a new production line with newer technology. this process is consistent with decisions because long-run production, capital is being changed.

What is capital?

This is the term that is used to describe the amount of money that a person would have put into a business. The capital has to do with the financial aspect and all of the machineries that would be used in the production process.

What is the long run production?

At a period of time when all of the factors that are used in the production of goods and services would fluctuate, the long run production is one that is known to happen.

This is what happens despite the factors that businesses would have to incorporate in order to be able to achieve the goods and the services that they produce.

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when the loacal grocvery store puts cereal on sale, reducing its prie form 4.40 per item to 3.40 per item, the quanitiy sold increases from 220 per week to 230 per week

Answers

The price elasticity of demand is 0.17, which means it is inelastic.

The price elasticity of demand is defined as % change in quantity divided by % change in price.

Formula for:

% change in price = (P2 - P1) / [(P1 + P2)/2] x 100%

% change in quantity = (Q2 - Q1) / [(Q1 + Q2)/2] x 100%

Then,

Price elasticity of demand = % change in quantity / % change in price

Parameters given in the problem:

% change in price = (3.40 - 4.40) / [(3.40 + 4.40)/2] x 100%

= - 25.64%

% change in quantity = (230 - 220) / [(230 + 220)/2] x 100%

= 4.44%

Price elasticity of demand = % change in quantity / % change in price

= 4.44% / (- 25.64%)

= 0.17

Complete question:

When the local grocery store puts cereal on sale, reducing its price from 4.40 per item to 3.40 per item, the quantity sold increases from 220 per week to 230 per week, what is the price elasticity of demand?

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