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2 years ago

Which of the following statements are true about recession?

Business

1 answer:

timofeeve [1]2 years ago

4 0

The TRUE statements about recession are as follows:

a. After a recession, the rate of change in government spending tends to increase, which leads to an increase in the real GDP.

c. During a recession, the rate of change in government spending tends to increase, which leads to an increase in the real GDP.

<h3>What are recessions?</h3>

Recessions are significant declines in economic activities. They are felt greatly in real GDP, income, and employment.

Recessions are characterized by many business and bank failures, slow or negative growth in productive activities, and elevated unemployment.

Thus, the true statements about recessions are <u>Options A and C</u>.

Learn more about recessions at brainly.com/question/532515

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Joe bought a stock at $57 per share. The price promptly fell to $55. Joe held on to the stock until it again reached $57, and th

Y_Kistochka [10]

Answer: Weak form EMH

Explanation:

Weak form efficiency is also called the random walk theory states that past volume, price movements and earnings do not affect the price of a stock and can not be used to forecast its future direction. Weak form efficiency states that prices of future securities are random and not determined by past events and that there is no relationship between past information and current market prices.

The principle of weak form efficiency has been contradicted because other investors are making use of Joe's past information to create a trading pattern.

4 0

3 years ago

Evergreen Corporation distributes land with a fair market value of $200,000 to its sole shareholder. Evergreen's tax basis in th

Lady_Fox [76]

Answer:

True

Explanation:

As for calculating the gain or loss on distribution of any asset, in any case the company shall consider the fair market value at the time of distribution, and accordingly, the gain or loss shall be:

Fair market value - Tax basis of such asset.

Here, in the given instance

Fair market value of land = $200,000

Tax basis of land = $50,000

Thus, gain on distribution = $200,000 - $50,000 = $150,000

This will not be different in any case, whether the earnings are positive or negative.

Therefore, the statement is True

4 0

3 years ago

What are the four scope levels available for dimensions and metrics in google analytics?

lbvjy [14]

The correct answer is: Hit-level, session-level, product-level, or user-level scope

Explanation: http://www.certificationanswers.com/en/what-are-the-four-scope-levels-available-for-dimensions-and-m...

5 0

4 years ago

Terrell Foods reported $ 660,000 in net income and its weighted - average shares outstanding for the year is 100,000 shares. In

Solnce55 [7]

Answer:

Basic EPS = $6.6

Diluted EPS = $5.06

Explanation:

The computation of basic and diluted EPS is shown below:-

Basic EPS = Net income ÷ Weighted average shares outstanding

= $660,000 ÷ 100,000

= $6.6

Interest on convertible bonds = 1,000,000 × 8%

= 80,000

Diluted EPS = (Net income + Interest on convertible bonds × (1 - Tax%)) ÷ (Weighted average shares outstanding + Shares from Convertible bonds)

= ($660,000 + 80,000 × 60%) ÷ (100,000 + 40,000)

= ($660,000 + 48,000) ÷ (140,000)

= $708,000 ÷ 140,000

= $5.06

3 0

3 years ago

"At the market opening, a customer purchases 200 shares of an S&P 500 Inverse ETF (-1x) at $50 per share. At the end of that

zhenek [66]

Answer:

<h2>Market Value of the 200 share position:</h2>

= 200 x $47.25

= $9,450

Explanation:

a) Data and Calculations:

Purchase of 200 shares of an S&P 500 Inverse ETF (-1x) at $50 per share

= $10,000 at beginning on purchase date.

Value at the end of the day = $9,000 ($10,000 x 0.90)

Value at the end of the next day = $9,450 ($9,000 x 1.05)

Another way to calculate the above is to concentrate on the unit price

Therefore, purchase price = $50 per share

Value on purchase date = 200 x $50 = $10,000

End of the purchase day price = $45 ($50 x 90%)

Value at the end of the day = 200 x $45 = $9,000

Next day price = $47.25 ($45 x 1.05)

Value next day = 200 x $47.25 = $9,450

3 0

3 years ago