When a person receives an increase in wealth, Consumption increases and saving decreases
Both present and future consumption rises as a consumer's current income does as well. Savings increase because current spending increases but does so at a slower rate than current income growth. Again, both present and future consumption rises when the customer receives an increase in predicted future income.
Savings declines because current consumption rises while current income does not. Current and future consumption both grow when the consumer's wealth increases. Again, because current income has not increased, saving has decreased. These individual actions to adjust one's consumption and saving habits have a cumulative effect on the aggregate amount of desired consumption and saving.
To learn more about consumption here,
brainly.com/question/14975005
#SPJ4
Answer:
False
Explanation:
Commodity money is money whose value comes from a commodity of which it is made. Commodity money consists of objects having value or use in themselves (intrinsic value) as well as their value in buying goods.
Fiat money is a currency without intrinsic value that has been established as money, often by government regulation. Fiat money does not have use value.
Answer: 3500
Explanation:
The company would report net cash provided by (used in) financing activities based on the following:
Cash proceeds from bank loan 9,800
Less: Cash dividends paid to stockholders 3,600
Less: Cash payment (principal) on bank loan 2,700
Cash flow on financing activity will now be:
= (9800 - 3600 - 2700)
= 9800 - 6300
= 3500
Therefore, the The company would report net cash provided by (used in) financing activities of 3500
Answer:
The Silverside Company
Project 1's Payback Period
= Initial Investment/Annual cash flows
= $400,000 / $90,000
= 4.44 years.
Explanation:
Project 1:
Initial Investment = $400,000
Useful life = 5 years
Annual cash inflows for useful life = $90,000
The Silverside Company's payback period calculates the time or number of years that it would take the company to recover from its initial investment in Project 1. This is the simple payback period calculation. There is also the discounted payback period calculation. This method discounts the annual cash inflows to their present values before the calculation is carried out. This second method gives a present value perspective on the issue.
The answer is true.
In business, you have to prioritize what is the most important task to
do for the day as this might affect your business. You have to choose which is the most to the
least important things to do. The most
important things come first especially if it has a big impact on your career.
