Answer:
$537.78
Explanation:
In order to find the present value of a future payment we discount it using a discount rate. The formula for that is
Present value = Future value/(1+Rate)^Number of years.
In this case we know the future value is $20,000, the discount rate is 7.5% and the number of years are 50, so we just input these numbers in the formula to find the present value or worth today.
Present value = 20,000/(1+0.075)^50
=537.78
$20,000 due in 50 years would be worth $537.78 today if discounted by 7.5%
If the government cuts taxes by $40 billion, this puts more money in consumers' pockets. Given an MPC of 0.8, this means they will spend $32 billion
Evaluating :
(0.8 × $40 = $32).
The correct answer is an increase of $32 billion.
GDP:
Gross domestic product (GDP) is a measure of the final goods and services produced with a specific region over a specified period of time. It is computed as follows:
GDP = Consumption + Government Spend + Investment + Net Exports
What is Marginal Propensity to Consume (MPC)?
Marginal propensity to consume (MPC) is measured as the portion of an increase in pay that a consumer would spend on goods and services as opposed to saving. Essentially, it is measuring how sensitive consumption in an economy is to increases in income. MPC is important in economics because it illustrates the effect that increased government spending has on the economy.
Learn more about Marginal propensity :
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Answer:
directive behaviors
Explanation:
Path-goal theory is a theory developed on the concept of leadership.
It believes that when the leader that is the management follows a directive behavior that is it straight away provides guidance about the responsibility of the job, the nature of work to be done and the method of doing such job, then it automatically creates a aim and objective of the work done.
Directive behavior influences lower management about the technique of doing job early and that the work is done in the manner defined.
This itself aims at descriptive in nature, along with being directive.
Answer:
6.383%
Explanation:
Calculation for the What is the yield to maturity
Using this formula
YTM=n√Face value/Bond price -1
Where,
n=one-year
Face value=10,000
Bond price=9,400
Let plug in the formula
YTM=1√10,000/9,400−1
YTM=1.06383-1
YTM=0.06383*100
YTM=6.383%
Therefore the yield to maturity will be 6.383%