Answer:
110 million. Point U.
Explanation:
This economic system is referred to as a depression and it is a downturn that has occurred over a long period of time. It is a sustained downturn that is more worse than a recession. This normally affects the economic activities. In the economic system above, the employment decreased to 10 million while the economic system is at Point U.
Suppose that identical duopoly firms have constant marginal costs of $10 per unit. Firm 1 faces a demand function of q1=100-2p1+p2 where p and q denote price and quantity and subscripts denote firm 1 and 2. Similarly, firm 2 faces q2=100-2p2+p1. Solve for Nash-Bertrand Equilibrium.
Answer
The answer and procedures of the exercise are attached in the following archives.
Step-by-step explanation:
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
Price indices"" are calculated by comparing product prices for a given year to prices for the same products in a specific year called the ______ year.
Answer:
Base year.
Explanation:
Price indices is the percentage change in the price of goods in the particular year compared to the price in the base year. Base year is taken as standard year. Price indices are used to measure inflation rate and cost of living, which may vary region to region. Vaughan is considered as inventor of price indeces.
Vista newspapers sold 6,000 of annual subscriptions at $125 each on September 1.
How much unearned revenue will exist as of December 31?
a. $0.
b. $500,000.
c. $250,000.
d. $750,000.
Answer:
Option (B) is correct.
Explanation:
Annual Subscription:
= 6000 × $125
= $750,000
Since, the payment was received for 1 Year, we will recognize 4 months revenue (1 September till 31st December) in the given year:
= $750,000 × (4/12)
= $250,000
Unearned Revenue as on 31st December:
= Total Payment Received - Revenue Recognized for 4 months
= $750,000 - $250,000
= $500,000
The unearned revenue for Vista newspapers as of December 31 is $500,000, which is the correct choice. This is found by calculating the monthly revenue from the total annual subscriptions and then multiplying it by the remaining eight months of the subscription period.
Explanation:The question pertains to the accounting concept of unearned revenue, which is relevant when a company receives payment for goods or services that have not yet been delivered or rendered. In this scenario, Vista newspapers sold 6,000 annual subscriptions at $125 each, totaling $750,000 in revenue on September 1. Since subscriptions cover an entire year, as of December 31, four months of the service will have been provided, leaving eight months unearned.
To calculate the unearned revenue as of December 31, we divide the total revenue by 12 months to get the monthly revenue and then multiply by the 8 months of service that will remain unprovided at that date:
Total Annual Revenue: $750,000Monthly Revenue: $750,000 / 12 = $62,500Unearned Revenue (8 months): $62,500 x 8 = $500,000Therefore, option b, $500,000, is the correct amount of unearned revenue that will exist as of December 31.
The management of Lanzilotta Corporation is considering a project that would require an investment of $275,000 and would last for 6 years. The annual net operating income from the project would be $113,000, which includes depreciation of $18,000. The scrap value of the project's assets at the end of the project would be $17,500. The cash inflows occur evenly throughout the year. The payback period of the project is closest to (Ignore income taxes.): __________
Answer:
With a discounted rate of 10%, the payback period of the project is closest to three years.
Explanation:
To calculate this a Net Present Value (NPV) formula is needed. With a discounted rate of 10%, the NPV is calculated for different project's length (from year 6 to year 1, with the initial investment in year zero). The closest to value zero in NPV will correspond to the year where project payback is achieved. In this case, year 3 is the closest NPV to zero
There is a 15 percent probability the economy will boom; otherwise, it will be normal. Stock G should return 15 percent in a boom and 8 percent in a normal economy. Stock H should return 9 percent in a boom and 6 percent otherwise. What is the variance of a portfolio consisting of $3,500 in Stock G and $6,500 in Stock H?
A) .000209
B) .000247
C) .002098
D) .037026
E) .073600
Answer
The answer and procedures of the exercise are attached in the following archives.
Step-by-step explanation:
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
A results-only work environment allows employees to ________.
A. take a specified number of days off each year for any purpose
B. work whenever and wherever they wish, as long as they complete projects on time
C. take time off to volunteer for worthy causes in their communities
D. take temporary leaves of absence from work, usually at reduced pay
Answer:
Letter B is correct. Work whenever and wherever they wish, as long as they complete projects on time.
Explanation:
A Results Only Work Environment (ROWE) is a strategy devised by Jody Thompson and Cali Ressler, which is configured as human resources management whose central objective is that the monetary reward for the work of employees is performed according to their production and not according to the amount of hours worked in a period.
This is a current trend for organizational human resource management, because of the benefits of flexible job making, which gives employees more autonomy and motivation to work from anywhere and organize in the way that suits them, as long as the results are presented. This strategy also benefits the company from reducing overall office maintenance costs.
Which of the following is not an objective of the Securities and Exchange Commission?
A. Maintain integrity of the securities markets
B. Regulate major participants in securities markets
C. Advise investors about which particular stocks are good buys
D. Require firms to provide specific information to investors
Answer: C. Advise investors about which particular stocks are good buys
Explanation:
The Security and Exchange Commission (SEC) is a United states independent federal government agency or organization that is saddled with the responsibility of protecting investors and maintaining fairness, orderliness and equity in the security market, they also help to facilitate the formation of capital. SEC was created in 1934 by the congress as an agency that will help the federal government regulate the security market.
It is an organization that protects investors from being manipulated or defrauded in the security market.
Choose the statement that is true in the year 2027. A) The European Performance segment will demand 2,724,244 units B) The American Performance segment will demand 4,192,000 units C) The European Budget segment will demand 5,779,633 units D) The Asia Pacific Performance segment will demand 2,530,255 units
Answer:
A
Explanation:
The European segment will demand more unit because of high management and development
The student's question requires future market demand projections for various segments, which cannot be accurately addressed without specific data and a clear methodology for the projections. The given data offers no direct correlation to the demand units for the year 2027.
Explanation:To determine which statement is true regarding market demand in the year 2027, we must analyze the provided data. This involves interpreting growth trends, demographic shifts, consumption patterns, and other economic indicators within the given context. The statements given appear to be concerned with future projections for various segments within the automotive industry or a related market, potentially utilizing forecasting methods such as linear extrapolation or compounded growth rates.
However, without access to specific figures or a clear methodology for projection (such as historical data or trend analysis), it is impossible to verify which statement is true for the year 2027. Note that the provided data does not contain any direct information relating to future demand numbers for the mentioned regions or segments.
1st attempt Jung is willing to pay $85 for a new jacket that sells for $70. Eddie is willing to pay $65 for that same acket. What is the total consumer surplus for Jung and Eddie? Choose one:
A. $10
B. $15
C. $220
D. $150
E. $30
Answer:
Option (B) is correct.
Explanation:
Consumer surplus refers to the benefit or surplus that a consumer get from purchasing the product. It is the difference between consumer's willingness to pay and the selling price of the product.
If the outcome of this difference is positive then there will be a consumer surplus and if the outcome of this difference is negative then there will be no consumer surplus.
Total consumer surplus:
= consumer surplus for Jung + consumer surplus for Eddie
= ($85 - $70) + $0
= $15
Eddie has zero consumer surplus because selling price is higher than his willingness price for the jacket.
Digger Company purchased a truck that cost $26,000. The company expected to drive the truck 100,000 miles. The truck had an estimated salvage value of $2,000. If the truck is driven 36,000 miles in the current accounting period, which of the following amounts should be recognized as depreciation expense?
A. $8,640.
B. $9,360.
C. $8,000.
D. $8,280.
Answer:
A. $8,640.
Explanation:
Formula: Units of Production Depreciation
Annual Depreciation=Depreciable Value×Units produced during the year/Estimated total production
Annual Depreciation = $24,000 *36,000/100,000= $ 8640
Depreciable Value = Original cost – Scrap value= $26,000- $ 2000= $ 24000
Gardner Corporation purchased a truck at the beginning of 2012 for $90,000. The truck is estimated to have a salvage value of $3,600 and a useful life of 120,000 miles.
It was driven 18,000 miles in 2012 and 32,000 miles in 2013.
What is the depreciation expense for 2012?
a. $13,500b. $12,960c. $21,600d. $36,000
Answer:
Option (b) $12,960
Explanation:
Data provided in the question:
Cost = $90,000
Salvage value = $3,600
Useful life = 120,000 miles
Number of miles driven in 2012 = 18,000
Number of miles driven in 2013 = 32,000
Now,
Using the straight line method of depreciation
Rate of annual depreciation = [ Cost - Salvage value ] ÷ Useful life
= [ $90,000 - $3,600 ] ÷ 120,000
= $0.72 per mile
Therefore,
The depreciation expense for 2012
= Rate of annual depreciation × Number of miles driven in 2012
= $0.72 per mile × 18,000
= $12,960
Hence,
Option (b) $12,960
Paul Company completed the salary and wage payroll for the month of March. The payroll provided the following details: Salaries and wages earned by employees $ 212,000 Employee income taxes withheld 42,400 Employee government insurance premiums withheld 4,000 FICA payroll taxes* 16,900 *Assessed on both employer and employee (i.e., $16,900 each). Required: 1. Prepare the journal entry to record the payroll for March, including employee deductions. Assume employees have been paid, but that Paul has yet to transfer any withholdings to the government. 2. Prepare the journal entry to record the employer's payroll taxes, which have not yet been paid to the government. 3. Provide a combined journal entry to show the payment of all amounts owed to governmental agencies. (For all requirements, If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Answer:
wages expense 212,000 debit
Income tax payroll payable 42,400 credit
FICA payable 16,900 credit
insurnace premium payable 4,000 credit
wages payable 148,700 credit
--to record wages to employees--
payroll tax expense 19,400 debit
FICA payable 19,400 credit
--to record employeed payroll taxes--
Income tax payroll payable 42,400 debit
FICA payable 33,800 debit
insurnace premium payable 4,000 debit
Cash 80,200 credit
--to record payment to gevernment agencies--
Explanation:
We have to deduct from the wages the employee deductions
the remaining is the wages payable
Then, we record the same amount of fica as expense as we, the employer are paying them
Then we debit all the liaiblities which arise from the employees and credit cash for the total amount
1. How is GE changing its business strategy and business model? What is the role of information technology in GE’s business? 2. On what business functions and level of decision-making is GE focusing? 3. Describe three kinds of decisions that can be supported using Predix. What is the value to the firm of each of those decisions? Explain. 4. To what extent is GE becoming a software company? Explain your answer.
Answer:
See explanation section.
Explanation:
Requirement 1
General Electric (GE) is always helping people with a variety of modern technology. Therefore, its main aim is to focus on technology that assists the world with a faster data collection medium. The company is converting its business towards technology. With the help of Jet engines and oil-refining material, it can generate electric power. The cloud-based software changed the whole company. Now, the company is monitoring only about technology to become a successful software servicing company.
Requirement 2
As the future of the world is getting modernized, General Electric company is focusing on software and the Internet of Things. GE is trying to take its customers base from traditional on-site manufacturing to digital software-based operations. The launch of sensor-generating data has revolutionized the success. Using cloud-based data make the company more productive and reliable. The overall thinking towards the future is superlative.
Requirement 3
General Electric company launched Predix in 2015 to accumulate data. The three decisions to use Predix are -
1. As Predix can operate on each cloud infrastructure, it can provide sensor and analyze the data quite quickly.
2. Since Predix is a high standard cloud-based protocol, it enables customers to join quickly to the mechanical market.
3. With the help of Predix, each customer can adjust the size and range of the current levels of use to understand their requirements.
Requirement 4
People like to use from all over the world, General Electric (GE) equipment. They also like to mix that equipment with other companies' equipment to produce a high-qualified machine. As people are using more GE equipment with others, it is discussing the customers to handle the GE related equipment for a permanent basis. Therefore, it is becoming a software company.
The way in which GE is changing its business strategy and model is to make different technology and the aim is to provide a faster data collection medium.
What is Business Model?
This refers to the general plan for the successful running of a business and the identification of customer base and sources of revenue.
Hence, we can see that the decision-making that GE focuses on is the use of software and they make use of Predix to take advantage of cloud technology to push their business to more users.
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Portions of the financial statements for a company are provided below. Income Statement For the year ended December 31, Year 2 Net sales $ 1,600,000 Expenses: Cost of goods sold $ 970,000 Operating expenses 480,000 Depreciation expense 42,000 Income tax expense 32,000 Total expenses 1,524,000 Net income $ 76,000 Selected Balance Sheet Data December 31 Year 2 Year 1 Increase (I) or Decrease (D) Cash $ 94,000 $ 81,000 $ 13,000 (I) Accounts receivable 46,800 53,000 6,200 (D) Inventory 67,000 51,000 16,000 (I) Prepaid rent 2,200 3,400 1,200 (D) Accounts payable 37,000 33,000 4,000 (I) Income tax payable 4,200 6,000 1,800 (D) Required: Prepare the operating activities section of the statement of cash flows for the company using the indirect method.
Answer:
Explanation:
The preparation of the Cash Flows from Operating Activities—Indirect Method is shown below:
Cash flow from Operating activities - Indirect method
Net income $76,000
Adjustment made:
Add : Depreciation expense $42,000
Add: Decrease in accounts receivable $6,200
Less: Increase in inventory -$16,000
Add: Increase in accounts payable $4,000
Less: Decrease in income tax payable -$1,800
Add: Decrease in prepaid rent $1,200
Total of Adjustments $35,600
Net Cash flow from Operating activities $111,600
Tyler purchased a home eight months ago for $160,000. The assessed value of his home is $120,000 and the appraised level currently is $167,000. What amount will Tyler's real estate taxes be based on?
Tyler's real estate taxes will be based on the assessed value of his home, which is $120,000.
Explanation:The amount of Tyler's real estate taxes will be based on the assessed value of his home. In this case, the assessed value is $120,000. Real estate taxes are usually calculated based on a percentage of the assessed value, known as the tax rate. For example, if the tax rate is 1%, then Tyler's real estate taxes would be $1,200 (1% of $120,000). However, the specific tax rate depends on the local municipality and may vary.
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Norman Co. wants to purchase a machine for $40,000, but needs to earn an 8% return. The expected year-end net cash flows are $12,000 in each of the first three years, and $16,000 in the fourth year. What is the machine's net present value (round to the nearest whole dollar)?
Answer:
Year Cashflow D@8% PV
$ $
0 (40,000) 1 (40,000)
1 12,000 0.9259 11,111
2 12,000 0.8573 10,288
3 12,000 0.7938 9,526
4 16,000 0.7350 11,760
NPV 2,685
Explanation:
Net present value is the difference between present value of cash inflows and initial outlay. The present value of cash inflows were obtained by multiplying the cash inflows by discount factors. The discount factors were calculated using the formula (1 + r)-n, where n represents number of years and r denotes discount rate.
A company's overhead rate is 60% of direct labor cost. Using the following incomplete accounts, determine the cost of direct materials used. Work in Process Inventory Finished Goods Inventory DR CR DR CR Beg. Bal. 100,800 Beg. Bal. 118,200 D.M. ? 324,800 301,000 D.L. ? O.H. ? F.G. ? End. Bal. 131,040 End. Bal. 142,000 Factory Overhead DR CR 93,240 90,720
Answer:
Materials used in production 113,120
Explanation:
The credited overehad will be 60% of direct labor
thus: 90,720/0.6 = 151,200 direct labor
Then debit for finished good is the WIP completed during the period so we can use it to solbe for material now:
Beginning WIP 100,800
Materials X
Labor 151,200
Overhead 90,720
Transferred-out (324,800)
Ending WIP 131,040
Materials = Ending WIP + transferred-out - DL - MO
Materials = 113,120
Johnson Corp. has an 8% required rate of return. It's considering a project that would provide annual cost savings of $50,000 for 5 years. The most that Johnson would be willing to spend on this project is Present Value PV of an Annuity
Year of 1 at 8% of 1 at 8%
1 .926 .926
2 .857 1.783
3 .794 2.577
4 .735 3.312
5 .681 3.993
Select one:
a. $125,910.
b. $165,600.
c. $199,650.
d. $34,050.
Answer:
The answer is c. $199,650.
Explanation:
The most that Johnson would be willing to spend initially on this project is equal to the net present value of the cost savings the project generates discounted at the required rate of return of 8%.
As the project generates 5 equal annual cost saving, each at $50,000 annually, the net present value of the cost savings the project generates is calculated as:
Annual cost saving x Present value factor = 50,000 x 3.993 = $199,650. which is also the most that Johnson would be willing to spend initially on this project as explained above.
Thus, the answer is c. $199,650.
Final answer:
The most that Johnson Corp. would be willing to spend on this project is $199,650.
Explanation:
The present value of an annuity is calculated by multiplying the annual cash flow by the present value factor for each year and then summing up these values. In this case, the annual cash flow is $50,000 and the required rate of return is 8%. Using the given present value factor for each year, we can calculate the present value of the annuity as follows:
The total present value of the annuity is $199,650 (c. $199,650). Therefore, the most that Johnson Corp. would be willing to spend on this project is $199,650.
Alan Meer inherits a hotel from his grandmother, Mary, on February 11 of the current year. Mary bought the hotel for $730,000 three years ago. Mary deducted $27,000 of cost recovery on the hotel before her death. The fair market value of the hotel in February is $725,000. (Assume that the alternative valuation date is not used.)A. What is Alan’s adjusted basis in the hotel?B. If the fair market value of the hotel at the time of Mary’s death was $500,000, what is Alan’s basis?
Final answer:
Alan's adjusted basis in the hotel would be $725,000, which is the fair market value at the time of Mary's death. If the fair market value was $500,000 instead, Alan's basis would be this lower amount. Neither the original purchase price nor previous cost recovery affects Alan's basis.
Explanation:
Basis in Inherited Property
The adjusted basis for tax purposes in inherited property is typically the fair market value of the property at the date of the previous owner's death. In this case, the adjusted basis for Alan in the hotel would be the fair market value at the time of Mary's death, which is $725,000. This assumes that there has not been any depreciation recapture or other adjustments since the time of inheritance.
If, however, the fair market value were $500,000 at the time of Mary's death, then Alan's basis in the hotel would be $500,000. It's important to note that the purchase price or cost recovery deductions prior to Mary's death are generally irrelevant to Alan's basis on the inherited property.
In the given comparisons, Freda and Ben illustrate different scenarios of property ownership and value appreciation. Freda's situation shows a straightforward appreciation in property value from the purchase price, whereas Ben demonstrates an appreciation in property value coupled with a reduction of mortgage liability.
On January 1, 2016, Pharoah Co. purchased a patent for $1,680,875. The patent is being amortized over its remaining legal life of 15 years expiring on January 1, 2031. During 2019, Pharoah determined that the economic benefits of the patent would not last longer than 10 years from the date of acquisition. What amount should be reported in the balance sheet for the patent, net of accumulated amortization, at December 31, 2019
Answer:
$1,152,600.00
Explanation:
Given
Cost of purchase = $1,680,875
Initial useful life = 15 years
Yearly amortization expense = $1,680,875/15
= $112,058.33
Between January 1, 2016 and 2018, the amount amortized
= $112,058.33 × 3
= $336,175.00
Net book value as at the beginning of 2019 = $1,680,875 - $336,175.00
= $ 1,344,700.00
Since during 2019, Pharoah determined that the economic benefits of the patent would not last longer than 10 years from the date of acquisition, it means the patent can only be amortized for 7 more years (10 - 3).
Therefore amortization charge for 2019
= $1,344,700.00/7
= $192,100
Net book value of patent at 31 December 2019 (net of accumulated amortization)
= $1,344,700.00 - $192,100.00
= $1,152,600.00
Suppose an industry has a four-firm concentration ratio of 20 percent and a Herfindahl index of 600. According to the cartel model, the industry would be more likely to have: a. a price war. b. either a monopolistic or a competitive price, depending on barriers to entry and exit. c. a competitive price. d. a monopolistic price.
Answer:
a competitive price
Explanation:
a competitive price
A four firm concentration ratio being just 20% shows and it is not mentioning any monopoly. Also a Herfindahl index of 600 is considered low
therefore a firm in mentioned industry likely to have a competitive price as lot of firms are competing with same market shares.
competitive price is referred to that tactics where all competitor sells all items at same price.
I would like to take this opportunity to inform you that the changes to your account will post soon.
1) I am taking this opportunity to inform you that changes to your account will post on Tuesday.
2) As per your verbal instruction, changes to your account will post on Tuesday.
3) The changes to your account will post on Tuesday.
Answer: 2) As per your verbal instruction, changes to your account will post on Tuesday.
Explanation: This sounds the most professional and businesslike.
Hope this helps! :)
Answer:
3) The changes to your account will post on Tuesday.
Explanation:
The sentence “The changes to your account will post on Tuesday” is short, simple, and to the point. It is written to express, not to impress. The other two options are wordy and unclear. To improve clarity, apply the KISS (keep it short and simple) formula to writing business messages.
Gwinnett Barbecue Sauce Corporation manufactures a specialty barbecue sauce. Gwinnett has the capacity to manufacture and sell 10,000 cases of sauce each year but is currently only manufacturing and selling 9,000. The following costs relate to annual operations at 9,000 cases: Total Cost Variable manufacturing cost $126,000 Fixed manufacturing cost $45,000 Variable selling and administrative cost $18,000 Fixed selling and administrative cost $27,000 Gwinnett normally sells its sauce for $30 per case. A local school district is interested in purchasing Gwinnett's excess capacity of 1,000 cases of sauce but only if they can get the sauce for $15 per case. This special order would not affect regular sales or total fixed costs or variable costs per unit. If this special order is accepted, Gwinnett's profits for the year will:
Answer:
b. decrease by $1,000
Explanation:
There is an option below the question ask for details
For computing the profit or loss, first we have to determine the variable cost per unit which is shown below:
= Total variable cost ÷ Number of cases sold
= $144,000 ÷ 9,000 cases
= $16 per cases
The total variable cost would be
= $126,000 + $18,000
= $144,000
And, profit per case is $15
So, the loss per case would be
= $15 per case - $16 per case
= -$1 per case
So, the total loss would be
= 1,000 cases × $1
= $1,000 decrease
An example of a tying arrangement is______ a. a restaurant offering both Pepsi and Coca-Cola products. b. a car manufacturer installing expensive onboard GPS/navigation systems in all the cars it sells. c. a landlord offering free rent for the first month when a tenant signs a one-year lease. d. two companies competing on price. e. a coffee shop offering
Answer:
The correct answer is letter "B": A car manufacturer installing expensive onboard GPS/navigation systems in all the cars it sells.
Explanation:
A tying agreement is the type of contractual arrangement where a seller offers other(s) product for the purchase of one good as a part of only one bundle. The secondary product might not be necessary but the seller offers it mainly to generate more profit. Tying arrangements are considered anti-competitive practices.
The example of a tying arrangement is a car manufacturer installing GPS/navigation systems in all of its cars, requiring customers to purchase the additional system with the car.
Explanation:An example of a tying arrangement is b. a car manufacturer installing expensive onboard GPS/navigation systems in all the cars it sells. This is because a tying arrangement occurs when a customer is required to buy one product in order to purchase another. In this example, the car is the main product, and the GPS/navigation system is the tied product that the consumer is forced to purchase as part of the car purchase. This is a controversial practice as it can force consumers to acquire an additional, potentially unwanted product and can be seen as anticompetitive. It is different from bundling, which tends to offer an advantage for the consumer by providing multiple products or services for a better price and allows for separate purchases of the products if preferred.
Tying sales are often viewed as anticompetitive and can be contrasted with bundling which is a legal and common practice. For instance, bundling is used when customers buy season tickets or when computer software manufacturers include a suite of programs with a new computer purchase, even if all the included software is not desired by the customer.
Regarding economic growth, which of the following is true?
(A) In recent decades, the rich countries of the world have consistently grown more rapidly than poor countries.
(B) No LDC was able to achieve a more rapid growth rate than the United States during the 1980 through 2005 period.
(C) During recent decades, most LDCs have stagnated economically.
(D) During 1980 through 2005, the fastest growing countries in the world were mostly LDCs.
Answer: The answer is D
Explanation:
Economic growth can be defined as an increase in Gross National product (GNP) of a country, or an increase in the national income or output of a country. It is a steady process of increasing the productive capacity of the economy. The increase in the output per head is the major determinant of the standard of living. The economic growth can be influenced by the following factors which are
Labour force : The quality of labour force is a critical factor in the determination of economic growth of a country. The quality of labour force of a country must be improved, in the sense that, faster economic growth requires an efficient system of industrial training which are lacking in developing countries.
The rate of investment : This is the increase in the stock of capital in relation to labour and land which will raise the level of productivity. The rate of capital accumulation depends on the level of preparedness of the people to sacrifice current consumption for future investment in the economy as a result of savings. The level of investment in infrastructural facilities will have more impact in raising output per head which is absent in developing countries.
Improvement in technology : This is the introduction of new and better machines for production of goods. It is the introduction of new and cheaper ways of doing things.It is one of the major driving force of economic growth which is also lacking in developing countries of the world.
Availability of natural resources : The existence of natural resources within a country is a matter of luck. The extent to which a country is able to discover and exploit its mineral resources will determine economic growth. While most developing countries are blessed with natural resources such as crude oil, gold, bitumen, and so on. The problems they have is the exploitation of these natural resources in a way that will drive economic growth.
Based upon acquiring equity or wealth, purchasing a car is to purchasing a home as leasing a car is toa. improving a house.b. repairing a house.c. buying a condominium.d. joining a cooperative.e. renting an apartment.
Answer:
renting an apartment
Explanation:
A lease refers to a business agreement that allows for a resource to be used by the lessee (user) to compensate the lessor (owner). Land, houses, and automobiles are commonly leased assets. In addition, manufacturing or business machinery is rented.
A lease agreement , generally speaking, relates to a contract around two sides, the leaseholder and the tenant. The lessor is indeed the rightful holder of the commodity; in exchange for periodic rental pays, the lessee gets the opportunity to use the resource.
The lessee, therefore, intends to comply with different conditions with respect to their being the estate or facilities. Thus, from the above we can conclude that the correct option is E.
Suppose that video game discs are a normal good. If the incomeof video game players increase, you predict that in the market forvideo games,
a) both equilibrium price and quantity will fall
b) equilibrium price will fall but quantity willincrease
c) equilibrium price will increase and quantity willdecrease
d) both equilibrium price and quantity will increase
Answer:
Option (D) is correct.
Explanation:
It was given that video game is a normal good. We know that there is a positive relationship between the demand for a normal good and income of the consumer, hence, if there is an increase in the income level of the consumer then as a result the demand for a normal good increases which shifts the demand curve for normal good rightwards.
Therefore, this will lead to increase both equilibrium price and equilibrium quantity in the market for video games.
Final answer:
If the income of video game players increases, d) both the equilibrium price and quantity in the market for video games will increase.
Explanation:
Equilibrium price and quantity refer to the point in a market where the demand for a good or service equals its supply, establishing a balance between buyers and sellers. At this equilibrium, the market-clearing price and quantity are determined, ensuring that all units offered by producers are bought by consumers. Changes in demand or supply can shift the equilibrium, leading to adjustments in price and quantity.
In the market for video games, if the income of video game players increases, it will result in an increase in demand for video games. This can be seen as a shift in the demand curve to the right. As a result, both the equilibrium price and quantity will increase.
Dixie is a product of the Digby company. Digby's sales forecast for Dixie is 506 units. Digby wants to have an extra 10% of units on hand above and beyond their forecast in case sales are better than expected. (They would risk the possibility of excess inventory carrying charges rather than risk lost profits on a stock out.) Taking current inventory into account, what will Dixie's Production After Adjustment have to be in order to have a 10% reserve of units available for sale?
Answer:
556.6 or 557 units
Explanation:
Given that,
Digby's sales forecast for Dixie = 506 units
Digby wants to have an extra units on hand above and beyond their forecast = 10%
Production units = Sales × (1 + Reserve Percentage)
= 506 × (1 + 10%)
= 506 × 110%
= 556.6 or 557 units
Therefore, the Dixie's will produce 557 units in order to have a 10% reserve of units available for sale.
Walter reached age 70 1/2 in September of 2018. By what date is he required to begin taking the RMD from his traditional IRA?A. December 31, 2018.B. April 1, 2019.C. April 18, 2019.D. December 31, 2019.
Answer: A. December 31, 2018
Explanation: RMD also known as required minimum distribution is a withdrawal one has to take from his or her retirement plan once he or she attains the age of 70and a half years old.
According to IRAs, once a person attains the age of 70.5 which is six months after the person's 70th birthday, the individual is entitled to take his or her RMD by the 31st of December following his or her 70.5 birthday.
According to the above question, Walter is entitled to take his RMD on the 31st of Dec, 2018.
The medium-run equilibrium is characterized by four conditions: Output is equal to potential output Y = Yn. The unemployment rate is equal to the natural rate u = un. The real policy interest rate is equal to the natural rate of interest rn where aggregate demand equals Yn. The expected rate of inflation pe is equal to the actual rate of inflation p. a. If the level of expected inflation is formed so pe equals p1-12, characterize the behavior of inflation in a mediumrun equilibrium. b. If the level of expected inflation is pQ , what is the level of actual inflation in the medium-run equilibrium? c. Write the IS relation as Y = C1Y - T2 + I1Y, r + x2 + G. Suppose rn is 2%. If x increases from 3 to 5%, how must the
Answer
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Step-by-step explanation:
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In a medium-run equilibrium, expected and actual inflation rates are equal. Therefore, inflation rates would follow the values assigned to expected inflation. If the interest sensitivity parameter x in the IS relation increases, this will shift the IS curve and alter output levels in the medium run.
Explanation:In a medium-run equilibrium, the expected inflation rate is equal to the actual inflation rate. Therefore, in scenario a where expected inflation is formed as pe equals p1-12, inflation in the medium-run equilibrium would be the same as this expected rate. Similarly, in scenario b, if the level of expected inflation is pQ, the level of actual inflation in the medium-run equilibrium would again equal this expected rate pQ.
For the IS relation Y = C1Y - T2 + I1Y, r + x2 + G, if the real policy interest rate rn is 2% and x increases from 3 to 5%, the overall interest rate effect on output would increase, leading to a shift in the IS curve and altering the output level in the medium run. This shifts because of the change in x, a parameter affecting the interest rate.
The concepts here echo the notion from the great economist Milton Friedman, who suggested that there exists a temporary trade-off between inflation and unemployment, but no permanent trade-off. This corresponds to the vertical long-run Phillips curve, where the unemployment rate remains consistent with the natural rate of unemployment at various inflation rates.
Learn more about Medium-run equilibrium here:https://brainly.com/question/32725972
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