Answer:
The total number of firms in this industry will decrease in the long run because increased competition will mean lower profit margins which will lead to some firms earning sub normal profits which will force them to leave the industry.
Explanation:
If a certain household earns and spends $24,000 per year and, on average, holds a money balance of $6,000, then the velocity of money for this household is 4.
A household consists of one or more people who live in the same dwelling and share meals. It can also consist of a single-family or another group. Households are the basic unit of analysis in many social, microeconomic, and government models and are important to economics and inheritance.
The definition of household relates to family or social units living together, or household behavior. You and your family members who live with you are an example of your household. Budgets and checkbooks are examples of household budget tools.
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Let understand that "short-term investment" are investments that can be easily converted to cash and has a maturity period of less than a year. Example of this investment are Money Market.
"Long term investment" are investment that runs over a long period of time and yield higher return than the short-term investment". Example of these investment are stocks, bonds, real estate
- People invest in "Long term investment" because its offers more risk for higher rewards.
In conclusion, long-term investment has a greater return because it has greater risk.
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Answer:
The answer is: $0
Explanation:
Government entities have to record grant revenue during the period that they occur. The city received notice of this grant last year, so they recorded the grant revenue in last year's financial statements. If they recognize any grant revenue this year, it must come from a new grant.